Market Terminology

Week of September 18

Last week found the markets falling early, as expected. A low fell on Tuesday or early Wednesday, depending on which index you were watching, followed by a rally. But the rally fizzled mid-day Thursday as prices fell again into Friday’s close, which was our solar-lunar reversal day. These types of dates typically produce isolated lows or highs from which prices reverse a minimum of 2.5 percent, and oftentimes greater than 4 percent.

This week starts off with heliocentric Mercury and Venus entering Sagittarius, and geocentric Mars entering Virgo. The heliocentric combinations oftentimes coincide with very large price moves. If Friday’s solar-lunar reversal date is valid, then we should look for a sharp counter-trend rally to start early this week. But if Friday was not a reversal, then the decline could gather more momentum throughout this week, creating something like a waterfall effect. With the 22.5-month cycle trough still not confirmed, prices could indeed fall sharply now, bottoming any time prior to January. How far could prices fall? Below 9730 in the Dow Jones industrials would be a minimum target if the 22.5-month cycle trough didn’t bottom last March. That cycle is due any time between March 2000 – January 2001, as stated in last year’s Forecasts For 2000 (see MMA website for details).

It is possible that the U.S. stock markets are trying to make a temporary bottom here, and will be followed by a rather strong rally into the following week, to coincide with the Jupiter stationary retrograde period of September 29. Another leg down could then commence. But the technical picture looks poor and suggests that if the decline doesn’t stop by Tuesday, look for a “waterfall effect” as prices plummet sharply, probably right into October. With heliocentric Mercury and Venus both entering Sagittarius (sign of the “big moves”), we could see a very big move on Monday or even Tuesday. Normally, I would say the geocosmic indicators suggest a pause to this decline, and a sharp rally. But technically, this market looks very weak, and suggests the opposite.

See daily reports for price guidelines throughout this week.

Disclaimer: Past results are no guarantee of future results. Therefore no guarantees are made by either the author or publisher of this report. You are solely responsible for any action you initiate in the market, and the author and publisher assume none whatsoever. Information is provided with sincere intent, and according to our own proprietary studies and methodologies.

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