The light from the stars, click to discover

This web site is safe From McAfee

This free Financial astrology column for the week ahead is not the same as our service titled :
MMA Weekly Comments and Recommendations on Financial Markets,
 which is available by subscription only (read a sample with the above link).

Add to favorites
The best market timing for Silver

MMA COMMENTS FOR THE WEEK BEGINNING
February 5 - 2007

Raymond A. Merriman©

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.

The Market Week in Review :

             Many stock markets of the world continued higher last week, with several setting new all-time highs, and others setting new multi-year highs. This happened in spite of the highs formed the prior week when Jupiter formed its first of three squares to Uranus, a signature that coincided with an expected decline afterwards. However, the amplitude and duration of that decline was anemic compared to past historical cases. In fact, in the case of the Dow Jones Industrial Average in the United States, there has been no decline of over 4%, or lasting over one week, since the 50-week cycle trough of July 18, 2006. That was 29 weeks ago. I don't recall this market ever being up this long without a decline lasting more than one week, and at least 4%. To say it is overdue for a decline is an understatement. To continually suggest that a decline is coming whenever we reach a time band of several geocosmic signatures - which historically has corresponded to market reversals in approximately 80% of instances - begins to lose credibility.

            So what is the cause of this amazing rally that seems like it will never end? As I stated last week, "Technically, last week looks like another optimal set up for this decline to begin. But fundamentally, this is not the expected season for a major decline to begin, because so much new money typically comes into funds now in the form of retirement accounts. For tax purposes these funds are received in the first quarter of every year, and it is one of the best tax deferments available to Americans. So those monies tend to end up in equities, driving stock prices higher around this time every year now." OK. That's a valid fundamental explanation, which very few investors will have trouble accepting.

            But astrologers want astrological answers. Here it is not so easy, for I am not aware of any astrologer who called for this prolonged bullishness without a single multi-week decline in 29 weeks. We have to realize that there will be times when fundamental issues will have a more dominant impact upon the market than astrological factors, and even technical factors. It happens. But it would not be wise to assume that therefore there is no correlation between astrology and market behavior. We have seen too often that there is a correlation that cannot be explained any other way. And, in spite of the fact that the stock market has not responded so closely to these geocosmic studies as of late, the same cannot be said about other financial markets. The currency markets, precious metals, energy, and grain markets have reversed beautifully during these projected times of reversals, much as one would expect. It is just the stock market that has been behaving.. oddly.

            Perhaps it is Jupiter in Sagittarius. As pointed out in previous columns, Jupiter is the ruler of Sagittarius, and both pertain to the principle of expansion, growth and optimism. Jupiter transits each sign for about one year, and it will remain in Sagittarius until the end of this year. In most previous cases over the past 110 years, this has coincided with bull markets in equities. Or perhaps it is the opposition of Saturn and Neptune, which is in effect August 30, 2006 through June 25, 2007. Saturn rules control and government, and Neptune pertains to manipulation. Could the U.S. government be intervening in the equity markets to artificially keep prices high? It is certainly conceivable under the principles of Saturn and Neptune, especially as they hit natal planets dealing with "money" of top government officials. Or is it just that my own personal judgment on the matter has entered a slump? Well, that's always possible, for market analysts - like everyone else - have periods of "good judgment" and bad judgment," as shown by transits to their natal charts. Except in my case, it is only the stock market that has mystified me with its performance since September. I've never seen a stock market rally for 29 consecutive weeks without a 4% decline of more than one-week correction. And all of my work is based upon historical probabilities between market prices, cycles, technical; studies, and astrology. Take stocks out of the picture (or even leave it in), and I have been enjoying one of the most profitable trading year's of my life.

            So where do we go from here? As a market analyst who deals strictly in probabilities, I cannot tell readers to give up the idea of a corrective decline. I am not stubborn. It's just that we are in uncharted waters now, where there have been no cases that I can find readily in which there has not been a correction at this point in a market cycle.

            In other markets, Crude Oil rallied smartly last week, as we now approach the critical 60.00 level. This market sprung very well from the 49.90 level of January 18, just two trading days before the Jupiter-Uranus square, as anticipated in this column.  Both Gold and Silver continued to soar into Thursday of last week, to their highest level in several weeks, before pulling back on Friday. The same was true with the Euro. All of this fits very well with the astrological factors in place for the past couple of weeks, and sets the stage for explosive breakouts if they can continue above last week's high. But first, a correction is due here too.

Short-Term Geocosmics :

             We are now entering the next cluster of geocosmic signatures that have a strong correlation to reversals in many financial markets. On Wednesday, February 7, Venus will conjunct Uranus in Pisces, a level 1 (strongest) signature to U.S. stocks market reversals within 12 trading days (72% probability). On February 8, the Sun will conjunct Neptune, another level 1 signature that has a 79% correlation to primary or greater cycles within 14 trading days. Venus will then square Jupiter on February 9, which is followed by the opposition of the Sun and Saturn on February 10. The later is also a level 1 signature with a 73% correlation to primary or greater cycles within 11 trading days. The conjunction and opposition are very important, for they represent the beginning and the peak of a cycle. Markets could turn within - or very nearby to - this period.

            There is astrological cause to think that this could correspond to a crest in the stock market (again). Previously we had stated the importance of the Jupiter-Uranus square. Now this week the first "fast planet" (Venus) translates to that square. It conjuncts Uranus and therefore also squares Jupiter. Sometimes it is the "translation" of a fast planet to the slower moving planets that act as the catalyst for the slower moving planet's correlation to a cycle reversal.

Long-Term Thoughts :

             February will begin the 52nd month of the bull market off the October 10, 2002 4-year cycle trough. There have only been three cases since 1893 in which the stock market has rallied this long following a 4-year bottom. The last time was from August 1982 until August 1987, a rally that lasted 60 months, the longest on record for a 4-year cycle. Following that crest in August 1987, the DJIA fell over 40% in slightly less than 2 months (under a Jupiter-Uranus trine). The time before that was from the 72-year cycle trough in July 1932 through the crest of March 1937. It lasted 56 months, and was followed by a one-year decline where the DJIA lost 50% of its value. So we are in rare territory with this cycle too. The lesson? When markets go up this high and this long, they usually end with a stunning plunge. Everyone says “it can't happen this time, because the economy and inflation doing so well.” However, stunning and dramatic declines hardly ever have to do with changes in the economy or inflation. They usually begin with flaws in the mechanics of the market itself, such as over-leverage, and once the decline happens, then the economic data starts to turn south too. So it's the other way around from conventional wisdom. Problems in the markets lead to problems in the economy, not vice-versa. Could there be problems in the market mechanics this year? Sure. After all, Jupiter is in square to Uranus and Saturn is in opposition to Neptune. Surprises and malfunctions, and sudden large losses by hedge finds (or even governments) are very possible this year. And sop will be the effort by those entities to cover it up. That's the nature of Neptune, and that's the reason why so many cases of manipulation are not discovered right away under this signature. The last time it occurred was in 1971-72, during the Watergate Burglaries. But it wasn't brought to the public's awareness until; 1973-74.
            Enjoy this run while it lasts. But be smart enough to step aside once the decline starts, because most likely, it will be a stunner.

Announcements :

               If you are interested in receiving our free 2007 catalogue of products and services, please let us know. Go to our web site (front page) and click the link to make the request, or send email, with your postal address, to ordersmma@msn.com . The catalogue will be coming out in about 2 weeks.             

     The SOS Stock Market Cycles Report came out last week, January 29 and 30. These reports come out every 6-8 weeks to subscribers of these reports. This report is in two parts. The first report - SOS Stock Market Cycles - focuses purely upon the long-term cycles in the U.S. stock market, specifically the Dow Jones Industrial Average, followed by discussions on both intermediate and short-term cycles. It is the big picture ahead.
The second part is the SOS Global Stock Markets Report. This covers the German DAX, London FTSE, Netherlands AEX, the Australian All Ordinaries, Hang Seng of Hong Kong, the NASDAQ Composite Index, and the XAU Gold and Silver Mining index. For ordering information

               The Forecast for 2007
books are now out (English and German editions)! If you ordered an English copy and have not received it by the end of this coming week, let us know. If you have ordered the German edition and have not received your copy by the first week of January, let us know.
This year's book is a little larger than previous year's (8 pages longer), but as always, it shapes up to be another exciting year. All years of this decade are significant due to the “Triple Saturn” oppositions which started in 2001. Utilizing the study of cycles and geocosmic factors, the annual Forecasts book outlines forthcoming trends pertaining to political, economic, and financial markets throughout the world. Special sections included on The United States and its President, Interest Rates, Stock Markets, Precious Metals, Currencies, Crude Oil, Weather, and Grain markets. And of course: the all-important Critical Reversal Dates for financial markets in 2007. If you wish to order a copy online of this year's book, or call us at 1-800-MMA-3349.

When they are gone, they are gone. Despite the fact that we increase our printing orders every year, we have still sold out two of the past three years. So order now and make sure you get a copy - if you wish one.

For more information.

             The Forecast for 2007 CD is now available! This 2-set CD was created from the speech given January 6, 2007 in Birmingham , Michigan . It is about 2.5 hours long, and covers both the long-term political and cultural cycles we are currently in, as well as those that pertain specifically to 2007. Special areas of discussion include the Crude Oil and the coming energy transformation, the long and short-term economic cycles, the USA and its President, and of course, financial market cycles of stocks, interest rates, housing, and precious metals. The cost is $45.00 plus postage for the CD set. To order, please write to odersmma@msn.com, or call us at 1-800-662-3349, or 248-626-3034.             

             The newly revised The Sun, The Moon, and Silver Book : Secrets of a Silver Trader, is printed and we are just waiting for delivery as this is being written (Friday). This is a book that you will use as a reference guide for...many, many years. It identifies all the key Sun-Moon combinations that have a higher (and lower) than expected probability of correlating with 4% or greater reversals in COMEX Silver. It also identifies “Big Range Days” - those days in which the range of Silver is most likely to be 3.5% or more of the price of Silver, which is a great tool for day traders. This book fulfills the dream of all traders: high probability winning trade possibilities, with minimal market exposure. It is that “extra edge.” And Silver is a great market to trade now. The cost is $125.00. For ordering on line .

             If you are an active short-term trader, you may wish to consider subscribing to our Weekly or even Daily Market Reports with short-term trading recommendations. 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, T-Bonds, Soybeans, Wheat, Gold and Silver. The daily reports cover all stock indices listed above, as well as futures in Euro, T-Bonds, Soybeans, Gold and Silver. Subscription to the daily report also includes the weekly report. For more information, or call our offices at 1-248-626-3034.

             The next “MMA Cycles Report” and “MMA Japan Markets Cycles Report” will came out this Monday-Tuesday. These reports come out every three weeks to subscribers of these reports. The “MMA Cycles Report” (Monday night by email) is our market advisory report for traders of the U.S. stock indices, T-Notes, Gold, Silver, Euro, Swiss Franc, Grains, and Crude Oil. The “MMA Japan Cycles Report” covers the Nikkei, Dollar/Yen, and JGB Bonds, and comes out Tuesday afternoon. For more information

             I have had several calls regarding a “crisis investing” portfolio that I suggested could be developed with the help of a money manager who subscribes to my reports, and shares my views about the next few years. If you are interested, you can contact him at ted.fisher@comcast.net.
He will be more than happy to assist you.

Valid HTML 4.01 Transitional

Valid CSS!

Mail to MMA Cycles
Subscribe NOW

and get the cutting edge of news and trading strategies before others!

Copyright © 2006
MMACYCLES@msn.com
vaScript1.2" src="/Menu/menu.js">