MMA Weekly Comments

Review and Preview:

Last week’s market activity did not disappoint those who follow astrology. As stated in last week’s column, “Hold on to your seat. Here we go. Friday, June 2 began the first trading day of the third powerful cluster of geocosmic signatures for this year… The other Level One signature is the Sun forming a waxing square to Uranus on Monday, June 5. This is an even more impressive correlation to cycle culminations than the Venus-Saturn square (June 4). The Sun-Uranus signature is a very volatile one. The nature of Uranus is to either reverse suddenly and without much warning, or to move extremely sharply, well past well defined support or resistance levels. This is the signature that worries me right now with stocks. Because they could not rally above the 25-day moving averages last week, it makes one wonder if they might not suddenly roll right back over again and fall hard into the middle of this June 4-22 cluster zone.” After rallying into the end of that prior week, stock throughout the world suddenly reversed on Monday and fell hard into Thursday-Friday, with many making new multi-week lows.

In Europe, all the major indices we track fell to new multi-month lows on Thursday, except the London FTSE. In the Pacific Rim, all the indices we track also fell to their lowest multi-month levels on Friday. The Japanese Nikkei was particularly hard hit, falling to 14,389, its lowest level since November, and now down nearly 20% off its multi-year highs of April. This is in accordance with our forecast that many major equity indices would fall at least 20% this year, as three- and/or four-year cycle lows are due.

The same phenomenon was evidenced in the Americas. The Dow Jones Industrial Average fell to 10,753 on Thursday, well off its 11,670 multi-year high of May 10. The NASDAQ Composite was down to 2100 on Thursday, its lowest level since November. Brazil’s Bovespa was down to 34,360 on Thursday, also down nearly 20% from its all-time high of 42,062 on May 11. But in Argentina, the Merval Index did not make a new low, creating a possible case of intermarket bullish divergence. Many of these indices are actually flashing bullish technical triggers, which mean a bottom of importance just happened, or is nearby. But all are still well below their 25-day moving averages, which also mean they can still go lower before confirming this bottom is completed.

In other markets, both Gold and Silver plunged steeply too, to their lowest levels since their multi-year highs of May. Silver has already fallen over 27% from those highs, while Gold is down over 15%. The currencies also declined against the Dollar.

So here we are, right in the middle of the third big geocosmic zone of the year. As stated last week, “The previous two (March 1-17 and April 30-May 10) were extremely dynamic in terms of providing exceptional trading opportunities. Based on the past two trading days (June 1-2), it appears that this current time band will be just as significant.” It’s not disappointing us. In fact, it should be very exciting to us.

Short-Term Geocosmics:

This week will begin the second half of this huge reversal zone. Within it is another tight cluster of powerful geocosmic signatures, spanning a period of June 15-22. During this period we will find six Level One signatures (most powerful correlates to primary or greater cycles, as identified in the studies reported in The Ultimate Book on Stock Market Timing Volume 3: Geocosmic Correlations to Trading Cycles). The first is the Sun in opposition to Pluto, which has a 67% correlation to primary or greater cycles within 10 trading days. This is followed by the war-like conjunction of Mars and Saturn, another Level 1 signature with a 65% correlation to primary cycles within 8 trading days. One day later (June 19), two other Level 1 signatures unfold: Mars in waning square to Jupiter and Uranus stationary retrograde. The first has a 71% correlation to primary cycles within 12 trading days, and the second has a 77% correlation to the same within 11 trading days. And finally, the “big daddy” of them all – Jupiter in waxing square to Saturn – on June 22. This is a longer-term 20-year planetary cycle, so it has correspondence to longer-term stock market cycles, like the 4-year type. This will be the second of three passages of this Jupiter-Saturn square. The first occurred on December 17, 2005, and the final passage will take place on October 25, 2006. As stated in previous columns, I expect the period in between the first and last passage to correlate with the 4-year cycle crest, and very possibly the 4-year cycle trough as well, in the Dow Jones Industrial Average. It is looking more and more like that forecast will be accurate, as the 4-year cycle crest very possibly was completed on May 10.

With these aspects coming up June 15-22, the world (and investment community) is still in an astrologically stressful period. Jupiter pertains to exaggeration and excess, and Saturn pertains to worry and fear. There is a lot of worry and fear in the market place today. However, it is during such periods that favorable buying opportunities usually arise. For when in fear, people tend to sell at overly depressed levels.

Long-Term Thoughts:

This may be an opportune time to consider the chart of USA President George W. Bush, given the events of this past week, and the fact that the mid-term congressional elections are on the horizon – elections that could very likely determine his legacy in American and even world history. In the last week, there were at least two important news events that reflect the themes of transiting planets aspecting key points in his natal chart. The first was the killing of Jordanian terrorist Abu Musab al Zarqawi, a major step forward in the White House’s military campaign in Iraq. The second was the accusation by Senate Judiciary Chair Arlen Specter of Vice-President Dick Cheney “interfering with his panel’s attempt to examine the National Security Agency’s use of private phone records,” according to Knight Ridder News. According to the article, Cheney “blocked telephone companies from testifying before the Judiciary Committee.” This in turn caused Senator Patrick Leahy, the committee’s ranking Democrat, to state, “Why don’t we just recess for the rest of the year, pass a resolution… and just simply say: We’ll have no more hearings and Vice-President Cheney will just tell the nation what laws we’ll have.”

In the first case, the killing of Zarqawi will likely embolden President Bush as the election campaign begins. This is his best chance to restore his extremely low approval ratings and help Republicans maintain control of the House and Senate in the November elections. As pointed out in earlier columns, as well as the Forecast for 2006 book, Bush now finds the trine of Jupiter and Uranus making a grand trine to his natal Sun, an energizing combination that will last through August 2006. Under this signature, his popularity and confidence could very well improve. If he is going to make a move to improve his standing with the electorate, now is the time to do it, and this is the event that should trigger it.

The second case, however, reflects the continued strain of Saturn transiting his Ascendant, Mercury and Pluto, a combination that has been present since September 2005. That is when the first cracks within his conservative support block began to falter with the unsuccessful attempt to put Harriet Meier on the Supreme Court, followed by a slew of scandals involving top White House aides. These scandals, and disappointments from within his own party, have led to the lowest approval ratings of his presidency, as reflected by Saturn’s transit. And until Zarqawi’s death Thursday, these events appeared to doom the Republican’s chances of holding onto their majority in the House in the November elections. Saturn leaves Mr. Bush’s ascendant and rising planets by mid-July, and Jupiter will be in free reign with Uranus, making the grand trine to his natal Sun into early September, a signature of a potentially strong comeback. It will be very interesting to see how this affects his approval ratings, his personal sense of confidence, and of course, the U.S. stock market. They are all related. For the grand trine also takes place to the U.S.A.’s natal Sun, which is near Mr. Bush’s, as they are both Cancers, and “born” close to the same day in early July. Will this spurt of energy and confidence last until November? I am not so sure, because on Election Day, the “chart of day” suggests many upsets and changes. And Saturn has returned, sitting near to his natal Venus.

Announcements:

The “MMA Cycles Report” and “MMA Japan Cycles Report” will be issued this week. These reports come out every three weeks to subscribers. 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 and subscription, please go to http://www.mmacycles.com/services.htm.

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