A new Bull run – or
just another bull trap? That’s the question … and the
answer is it’s probably a little of both.
The astrological energy immediately
ahead suggests the rally which began last week has further to run,
despite the fact most world stock indices are now bumping their
heads against strong resistance.
However, this time a week ago the
Bears were roaring, the technical picture looked a bit bleak, and
the American psyche was battered by a big drop in General Electric,
which had turned in a poor quarterly performance and a lacklustre
outlook for the times ahead.
In last week’s report, I suggested
that, despite the technical picture, we should be ready for a surprise
turn higher – advising to watch the action on the American
indices on Monday and Tuesday.
I also said: “The real
test will be if we see a surprise move in the ASX on Monday. Certainly,
the technical indicators suggest it would be a very unlikely surprise.
It will be interesting to watch the ASX on Monday to see if drops
to that 5320 Support line and
rebounds higher.”
Well, on Monday the ASX 200 dropped
10 points below the 5320 Support and quickly recovered to close
out the day at 5342 – the first indication the suggested “surprise
move” could unfold.
In New York, the S&P 500 had
a small range day Monday, and on Tuesday tested and rebounded precisely
from the Support line we’ve had on our charts for quite a
while, as it set up the conditions for the surprise turn higher.
But that was last week and is now
history. We’re more interested in what happens next –
the future. And we need to be very careful in the coming week that
last week’s rally did not create a bull trap.
The astrological energy suggests
the rally should continue. Last week closed out with Mercury making
a trine to both Saturn and Pluto, while Heliocentric Mercury was
trining Jupiter and making a sextile to Uranus.
As the new week gets underway, the
Sun repeats the trines to Saturn and Pluto – literally shining
a light on the path Mercury, the Olympian “messenger of the
Gods”, has opened up.
Even better than that, is that in
Tuesday’s trading in New York, Mars will trine Uranus. While
this very positive energy pattern is unfolding on Monday and Tuesday,
the Moon – the astrological symbol for the public “mood”
– will trine Mars, trine Uranus and sextile Jupiter.
Later in the week, Venus gets into
the act – making a square to both Mars and Jupiter just as
Mars is opposing Jupiter. Astrologically, this is known as a T-square
– and it is a very, very high-energy aspect. Explosive.
And that goes double ditto because
Mars is connecting to Uranus simultaneously!
The Moon is mood, Venus is money,
Mars is action, Jupiter is expansion and Uranus rules the stock
market. Within this time frame, the Sun and Mercury have formed
what astrologers call a Grand Trine with both Saturn and Pluto.
This last combination suggests a
timeframe in which where we are (Sun) and the news (Mercury) meld
harmoniously with the need to act practically (Saturn in Virgo)
and big money (Pluto).
That’s not the end of it! Mars
is in high-energy mode, preparing to leave Cancer and enter the
Fire sign of Leo early next month; Venus is in high-energy mode,
fired up in Aries and preparing to enter her home zone of Taurus,
where she will repeat the trine to Saturn and Pluto; Jupiter is
in high-energy mode, getting charged with the sextile to Uranus
and the opposition from Mars and is stationary and about to go Retrograde;
Saturn is in high-energy mode, charged by the Sun, Mercury and Pluto
… and stationary
about to go Direct.
It’s not necessary to understand
every individual nuance here. Because what it means is simply this
… a massive fireball of astrological energy is
about to explode. The next three weeks are the most
concentrated cosmic energy pattern until November.
We are going to get some wild price
swings. What it all suggests is we either crash through …
or crash.
As we go to the charts, we will see
exactly how many of the indices are at exactly that point …
back once again at the overhead resistance levels which have stopped
them in their tracks for months on end as we zig-zagged up and down
within a confined range.
The technicians will argue that we
have not spent long enough in Bear mode to be ready to break above
the downtrend; the Bears will argue that recession looms long and
ugly.
I gave my astrological reasons for
disbelieving the recession obsession earlier in the year and also
indicated my belief that markets will put in new all-time Highs
before the real Bear comes out of his cave.
In the meantime … I expect
some wild swings this week as a battle rages to break stock markets
higher … that the cosmic fireball will unleash a burst of
positive energy which could run as long as as April 29 (Mercury
trine Jupiter) to May 2 (Venus trine Saturn) … and perhaps
as long as May 9 when Jupiter goes Retrograde and Mars changes sign
to Leo.
In other words, I believe we will crash
through. If we crash … with this extreme level of astrological
energy unfolding … it will be the ugliest market most of us
have ever seen. And while the technical charts suggest we’re
short-term stretched to the upside, they do not suggest a crash
scenario in the next three weeks.
VIX
Monthly
 |
And that’s because the Fear factor
looks to be in decline. Frankly, if this were a stock price chart
we would be desperate to sell, sell, sell.
We have a whole series of monthly
bars where the price spiked massively skywards, but could not hold
the gains. All of the indicators are pointing downwards and the
MACD signal shows every indication of following the CCI and Stochastics
with a negative crossover.
But, we’re not talking about
a stock price chart, we’re looking at the VIX, the fear index
… and this chart is telling us the mood is changing....to
read more and view the rest of the charts, download the PDF file
CLICK
HERE to download
the full version of this report with all technical charts and further
comments. (PDF format)
The World At Large is delivered in advance to Astrological
Investing Premium Member subscribers. Randall Ashbourne
is a former journalist and political strategist residing in Australia.
*QHT Technical Charts created using Quick
Harmonic Trader Software, by P.A.S. Astro-Soft, Inc. makers
of Galactic Investor Astrology software.
***
Please
help support our site by using our bookshop for all your Amazon.com
shopping needs!
All of the written material
and graphics are copyrighted by AstrologicalInvesting.com and Randall
Ashbourne. Unless otherwise noted, written material and graphics
may not be reproduced without written permission. This includes
but is not limited to any current articles or archives on Astrological
Investing's web site on financial astrology, how to start an investment
club, technical analysis, business astrology, or stock market investing
©2007, 2008 |
