MMA Comments for the Week Beginning October 31, 2011
Written by Raymond Merriman
Review and Preview
In the grand tradition of Sagittarius and Jupiter, it was a very big week for financial markets, and especially stock indices around the world. Jupiter rules Sagittarius and both represent the principles of exaggeration, excess, and large price moves, especially if aspects involving Mars and Uranus are nearby. That was the case indeed last week, as heliocentric Mercury completed its 12-day transit of Sagittarius on October 26, Mars was squared by Venus on October 26, and Jupiter was involved in both a powerful opposition to the Sun and trine to Pluto on October 28. Next week will witness Venus making a waning trine aspect to Uranus on November 3. All the ingredients were there for a huge feast, and on Thursday, the political and banking leaders of Europe served up the main course: a very generous dose of more financial bailout monies for Greece and a bigger reserve in preparation for additional bailouts that may be necessary shortly for Spain and Italy. Investors celebrated by opening their pocketbooks and buying everything in sight except the U.S. Dollar and Treasuries. Stock markets, precious metals, crude oil and other currencies soared to multi-week and even multi-month highs. In fact, October is now on track to be the biggest monthly point gainer in the history of the Dow Jones Industrial Average.
Let's look at the past month and see what has happened in world stock indices. In Europe, the Netherlands AEX rallied to 318.02 on Friday, October 28, its highest level since the first week of August. That represents a gain of 24% from its 2-year low of 256.36 registered on September 23. The German DAX raced to its highest level since early August too, reaching 6430 on Friday, a gain of nearly 30% from its 2-year lows of September 12 and 23. The SMI index of Zurich has now rallied 24% since its yearly lows of August 9, and the London FTSE nearly 20% from the same mark. By the standard of 20% gains, most of Europe's indices are now officially in new bull markets following their yearly lows in August or September. They have turned completely around that quickly.
In Asia and the Pacific Rim, the turnaround has not been nearly as dramatic. Australia's All Ordinaries index has now appreciated 14.5% since its yearly lows of August 9. The Nifty Index of India appreciated nearly the same amount between its high of last week and its low of October 4, which was a double bottom to its lowest level since February 2010. The Japanese Nikkei appreciated nearly 9% from its secondary low of the year at 8343 on October 4 to Friday's high of 9086. It was even more subdued in China where the Shanghai Index only had a modest rally off its 2-year low of 2307 on October 24. By Friday, it had risen only to 2483, a gain of just 7.6%. The most spectacular advance in this region occurred in Hong Kong, where the Hang Seng soared from a 2-year low of 16,170 on October 4 to 20,272 on Friday, October 28, a gain of 25%. However, keep in mind it had suffered a huge decline before that. It was at 24,488 in April and nearly 25,000 in November 2010.
In the Americas, the gains have been similar to that of Europe. The Dow Jones Industrial Average soared above 12,000 again on the announcement of the European debt crisis plan. From a yearly low of 10,404 on October 4, the DJIA rallied up to 12,238 on Thursday for a three-week gain of 17.6% The NASDAQ Composite advanced to 2753 from 2298 during the same three-week period, an appreciation of almost 20%. But this was nothing compared to what happened in Argentina's Merval index, which just exploded 36% off the yearly lows of 2274 on October 4 to 3094 on Thursday, October 27. The Bovespa index of Brazil also registered an impressive gain of 25% since its yearly low of 47,793 on August 8 to its high of 59,901, also on Thursday October 27. These types of gains are truly consistent with the grand nature of Jupiter and Sagittarius, the land where nothing small or insignificant is acknowledged to exist.
Yet these large price movements were not limited to stock indices. Silver, for example, took off to 3570, up over 35% from a low of 2615 just one month ago. In that same time, Gold has appreciated over $200/ounce, from a low of 1535 on September 26 to over 1750 late last week. Crude Oil has also soared over 25%, from just under $75.00/barrel three weeks ago (October 4) to nearly $95.00 late last week. The Euro currency is back above 1.4000 to the U.S. Dollar, which also fell to a new all-time low against the Japanese Yen on Friday, October 28.
The huge Jupiterian price moves should not have been a surprise to Financial Astrologers. As stated in last week's column, "Did you hang on to your seats last week as advised? Then don't let go, because there are more thrills in store for this week and into Halloween, the following week. Heliocentric Mercury is well into Sagittarius now. But that will end (October 15-27). However, that will not end the volatility and big price swings because the "big daddy" of them all – the Sun in opposition to the biggest planet in the solar system (Jupiter) – occurs October 28. Interestingly enough, Jupiter will also form a long-term trine aspect (120 degree arc) to Pluto, the longest orbiting (dwarf) planet of this solar system. That's a lot of "big stuff" coming up! And just in time too for some big announcements, such as the European leaders announcing their long awaited plan to solve their too long-standing debt crisis. The hope is that this will be a real constructive reform plan, as Jupiter in trine to Pluto would suggest."
The European banking and political community did indeed deliver the type of Jupiterian reform the market wanted to see. And in response, money managers bought everything in sight as if Christmas and the holiday season had arrived early. This is the way it goes when Zeus (Jupiter) rules from his own home in Sagittarian-land.
But now what? That is always the question, isn't it? Thank God for astrology, the cosmic instruction manual. Heliocentric Mercury leaves Sagittarius for the more somber and serious Capricorn. Jupiter begins to separate away from its generous trine to the reform-minded Pluto. And the biggest aspects of them all – the Sun in opposition to Jupiter – ends its waxing phase between these two fiery planets and begins its half-year waning phase. If we just examine this aspect alone – the Sun-Jupiter opposition – from the studies presented in "The Ultimate Book on Stock Market Timing Volume 3: Geocosmic Correlations to Trading Cycles," we will note that in 50% of historical cases cited, a 50-week or greater cycle has unfolded within 10 trading days. That's huge for a geocosmic correlation to a long-term stock market cycle! And in 75% of instances observed, a primary or greater cycle has unfolded within 10 trading days. But we just saw those cycles – and the even longer-term 15.5-month cycle – completed on October 4, only 19 trading days ago. Since that time stock prices have risen – and risen in the grand fashion of Sagittarius and Jupiter, which means they haven't just risen, but have exploded like a cannon pointed straight up. So if this signature is going to be valid as a leading reversal indicator this time, it won't be from a low. Prices in many markets are already up 15-25% and more as this unfolds.
Yet there are reasons based on Financial Astrology that suggest prices will go higher before taking out those lows of three weeks ago. Geocentric Mercury and Venus start their multi-week treks through the land of Zeus (Sagittarius) on November 2. And Jupiter is still within the 0-7° sector of Taurus, the region which we have continually identified in this column as coinciding with long-term stock market peaks, as shown by studies going back to the 1870's. That sector is highlighted from October 7, 2011 through March 7, 2012. We expect another long-term cycle high then, just as we observed (and forecasted as long ago as November 2010) for May 2-July 22, 2011, which still stands as the three-year high in U.S. stocks. But that is being challenged now as Jupiter returns to early Taurus, just as we said it would. When will this crest finally be attained? Well, my guess is that we have to get closer to the point when Jupiter turns stationary direct at 0° Taurus, which takes place December 25, 2011. Still, this is Halloween and a geocosmic critical reversal zone and prices have had a great Jupiterian lift for the past three weeks, so I don't expect the market to go straight up into the holiday season. We may just be at the top of another peak on this roller coaster ride, readying for the next dizzying dive down before another peak that follows. It is, after all, the season of tricks and treats. The last three weeks have been the treats. But here comes another trick.
Due to the length of this column already, there will be no Longer-Term Thoughts this week.
Our new 2012 MMA Catalogue is now out!! You can download this catalogue directly at http://www.mmacycles.com/index.php?option=com_docman&task=cat_view&gid=41&Itemid=63.
It's that time of the year again! MMA's annual Forecast Book is now being written. The Forecast 2012 Book will be completed in early December and sent out to those who pre-order it by December 15. This year's rate will remain at the same rate it has been for past two years, $55.00 (plus postage, unless ordering the EBook version. The annual Forecasts Book, written by Raymond A. Merriman since 1976, is one of the most unique, affordable, and accurate glimpses into the coming year. Utilizing the study of cycles and geocosmic factors, this annual Forecasts book outlines forthcoming trends pertaining to political, economic, and financial markets throughout the world. Although 2011 is only a little more than 75% over, several forecasts made in the 2011 book have already unfolded. For a list of some of these forecasts, please go to the front page of our web site at www.mmacycles.com and scroll down to "Scorecard for 2011 Forecasts." There you can also place your order for the Forecast 2012 and assure your order goes out in the first mailing of December 15. Or call us at 1-248-626-3034.
The printed version of Forecast 2012 will be translated into several different languages (including English) again this year, and many of these publishers are currently offering pre-publication specials as follows: Dutch: at www.markettiming.nl Italian: at www.astrofinanza.com, and http://www.astrofinanza.com/mma/shop.html German: at http://www.mma-europe.ch/ Japanese: at http://merriman.jp Russian: at http://www.mmafinance.ru/ Spanish: at www.mmacycles-spanish.com.
Each of these will also offer the English version of Forecast 2012, as will our Chinese distributor at http://www.zzdcycles.com. "Your work is essential to anyone who is serious in this field. I can't thank you enough for it." R. F., Vice President at one of America's largest investment banks. "I never go to the office without it--wish there was a bound edition to buy." Chuck S, Money Manager, Casper, WY.
The first of several "Forecasts 2012" speeches will take place in our live webcast to the world on December 18. From the comfort of your own home or office, you can tune in to this first presentation. All you need is a computer (PC) with speakers and internet connection. The cost for this live webcast is $45.00. The starting time will be 1:54 PM, Eastern Time. For information to be a part of this event, go to our got to website at www.mmacycles.com, under EVENTS. Or call us at 1-248-626-3034. Instructions to log in will be sent upon making reservations. Sign up now and reserve your space for the first Forecasts for 2012 presentation of the year!!!
If you are an active short-term trader, or even if you are an investor who likes to keep up with our current thoughts on financial markets, you may be interested in our Weekly or even Daily Market reports with short-term trading recommendations. It is the only way I keep in touch with traders on a daily or even weekly basis, as I no longer offer personal consultations. These reports give in-depth analysis of the DJIA, S&P and NASDAQ futures, Euro currency (cash and futures), Swiss Franc, Dollar/Yen cash and Yen futures, Euro-Yen cash, T-Notes, Soybeans, Crude Oil, Gold and Silver. The daily reports cover all stock indices listed above, as well as futures in Euro, T-Notes, Soybeans, Gold and Silver. Both reports provide trading strategies and recommendations for position traders as well as for shorter-term aggressive traders. Subscription to the daily report also includes the weekly report. For more information, go to http://www.mmacycles.com/services, or call our offices at 1-248-626-3034. These reports are extremely valuable to those who trade ETF's (Exchange Traded Funds). In the words of one of our subscribers: "I am really pleased with your recommendations through the Daily and Weekly Trade Recommendations. I have used them to trade gold and silver stocks in my IRA. In the last eight years I increased my account from $60,000 to $712,000. Thanks for your excellent publications." -Bryden C., Small Business Owner, Illinois. "The Ultimate Book on Stock Market Timing, Volume 5: Price Objectives and Technical Analysis" is now out as of just two weeks ago! The comments and reviews are starting to come in, and we will post them here over the next few weeks. "This book is the fifth and last volume of Ray Merriman's series on Stock Market Timing. In his previous four volumes his focus has been on teaching the reader how to recognize and use astronomical patterns of planet cycles that he calls "Geo-cosmic correlations" to accurately time market movements. Each progressive volume is thoroughly researched, documented in detail and easily testable… His final offering, The Ultimate Book on Stock Market Trading-Volume 5, changes focus from geo-cosmic correlation analysis to chart pattern technical analysis and provides the reader a last refining level of detail for capturing price targets. The book is just as impressive in its presentation as the first four. I was especially appreciative of the glossary in the opening pages with detailed descriptions of 50 or so commonly used terms that I have heard or read but didn't necessarily completely understand. After an overview of some of the key elements from previous books he jumps into the new material on technical charting. He doesn't try to describe every type of technical market indicator ever invented—which I am grateful for. Ray presents a selection of indicators that he considers the most useful. He devotes a chapter to each and explains in his patient thorough fashion exactly what to look for, how to measure it, and how to project it. I tried out the chapter on the "head and shoulders" configuration. I recognized one. I drew the trend lines just as he instructed, and it is still trending as projected, right on the money. Yea! So now, it's on to the next chapter. This is a great book. I can really use it." J. Purdy, Amazon.com review
This book is 300 pages, printed in perfect bind format, gloss cover, 8-1/2" x 11" size. The retail price of this new book is $144.00. If you are interested in this unique and integrated methodology for analyzing and forecasting stock indices, you can save big bucks by ordering all five volumes, or choice of any four now athttp://www.mmacycles.com/catalogue/books/the-ultimate-book-on-stock-market-timing-volume-5/, or just go towww.mmacycles.com and scroll down to the announcement. If ordering all five volumes, you will save $99.00! For more information on this book, go to YouTube athttp://www.youtube.com/watch?v=PnplAS5m2AI, describing this new book. It is "the missing link." You may want to check this video out, as it contains some interesting long-term tips.Events:
December 18, 2011: "Webcast" for Forecast 2012!!!" A "Virtual On-line Discussion and Forecasts for 2012 with Ray Merriman!" will take place on Sunday, December 18, 2011, starting at 1:54 PM EST. The cost for this live webcast is $45.00. For information to be a part of this event, go to our got to website at www.mmacycles.com, under EVENTS. Or call us at 1-248-626-3034. Instructions to log in will be sent upon making reservations.
January 6-7, 2012: Zurich Switzerland. "Forecast 2012 Symposia" sponsored by AstroData. January 6 lecture on "Uranus Square Pluto: Consequences of the Debt Crisis for Financial Markets." January 7 workshop on "Financial Astrology and Perspectives for 2012: This workshop will discuss the projection of these studies onto today's financial, markets, including precious metals, equity markets, and currency prices – where are we in the cycle and where are we headed. For more information, go to www.mma-europe.ch or contact ASTRODATA AG, Tel. 41 (0) 43 343 33 66, or firstname.lastname@example.org.
January 21, 2012: Amsterdam, Netherlands. "Forecasts for 2012," 1:00 PM – 3:30 PM, followed by a 60-minute private meeting with MMA Subscribers. Sponsored by Schogt Market Timing and to take place at. Call 31-(0) 294-415-917 for further more information,www.markettiming.nl. orhttp://www.markettiming.nl/en/producten/forecast-2012-amsterdamor, or www.markettiming.nl.
March 1 and 3, 2012: Hong Kong. "Forecast 2012" on Thursday, March 1, and a full day intensive on "Financial Market Timing" on Saturday, March 3, with emphasis on Gold, Silver, Currencies, and Equity Markets for 2012. Organized by Earlthorn.Com at the Excelsior Hotel, Causeway Bay, Hong Kong. Contact Teresa Wong at852-2529 1211 (phone), or by e-mail at email@example.com. A special 90-minute private meeting with MMA Subscribers will follow the workshop on March 3.
March 9-11, 2012: The 12th Annual Balkan International Conference, Belgrade, Serbia. Featuring a pre-seminar workshop on Financial Astrology with Raymond Merriman. For further information on this fantastic gathering, contact www.keplerunited.org.+381-11-267-31-92 or email firstname.lastname@example.org.
April 19 and 21, Boulder, Colorado. "Forecast 2012" with Raymond Merriman, plus a workshop on "Financial Market Timing," focusing on equities and precious metals. Sponsored by ROMA. For more information and registration, contact email@example.com. Once again, a private meeting for MMA subscribers will follow the workshop.
May 24-29, 2012: UAC!!! The world's largest astrological conference. Taking place at the New Orleans Marriott Hotel. Go towww.uacastrology.com. There will be an awesome Financial Track, featuring some of the top Financial Astrologers and researchers in the world. There will be private meeting for MMA on Friday or Sunday evening on the top floor of the Marriott.
Disclaimer and statement of purpose:
The purpose of this column is not to predict the future movement of various financial markets. However, that is the purpose of the MMA (Merriman Market Analyst) subscription services. This column is not a subscription service. It is a free service, except in those cases where a fee may be assessed to cover the cost of translating this column from English into a non-English language.
This weekly report is written with the intent to educate the reader on the relationship between astrological factors and collective human activities as they are happening. In this regard, this report will oftentimes report what happened in various stock and financial markets throughout the world in the past week, and discuss that movement in light of the geocosmic signatures that were in effect. It will then identify the geocosmic factors that will be in effect in the next week, or even month, or even years, and the author's understanding of how these signatures will likely affect human activity in the times to come. The author (Merriman) will do this from a perspective of a cycle's analyst looking at the military, political, economic, and even financial markets of the world.
It is possible that some forecasts will be made based on these factors. However, the primary goal is to both educate and alert the reader as to the psychological climate we are in, from an astrological perspective. The hope is that it will help the reader understand these psychological dynamics that underlie (or coincide with) the news events and hence financial markets of the day.
No guarantee as to the accuracy of this report is being made here. Any decisions in financial markets are solely the responsibility of the reader, and neither the author nor the publishers assume any responsibility at all for those individual decisions. Reader should understand that futures and options trading are considered high risk.
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