Market Preview for the week beginning June 27, 2022

Review and Preview 

The Dow Jones Industrial Average rallied more than 800 points on Friday, rebounding off the lows of the bear market last week and capping its first weekly advance since May. Those moves followed the worst weekly decline for the S&P 500 since 2020. –Sarah Min and Jesse Pound, “Dow Rallies 800 Points on Friday to Cap Big Comeback Week,” www.cnbc.com, June 24, 2022.

The Supreme Court in a 5-4 decision on Friday overturned Roe v. Wade, the landmark ruling that established the constitutional right to abortion in the U.S. in 1973. The court’s controversial but expected ruling gives individual states the power to set their own abortion laws without concern of running afoul of Roe. Almost half the states are expected to outlaw or severely restrict abortion as a result of the Supreme Court’s decision. The laws will affect tens of millions of people around the country, who may have to cross state lines to seek reproductive health care. – Dale Mangan and Kevin Breuninger, “Supreme Court Overturns Roe V. Wade,” www.cnbc.com, June 24, 2022.

The overturning of Roe versus Wade may not have a lot to do with financial markets (yet), but it does reflect the transits to the July 2, 1776 chart of the United States.

Many astrologers will point to the first 248-year Pluto return to the U.S. founding chart as the geocosmic correlate of this Supreme Court decision. That would be the case in either the July 2 or July 4 chart. But it’s more than that in the July 2, 1776 chart, which was when the vote was cast declaring independence. That’s because the Moon was also conjunct Pluto in 25-27° Capricorn on July 2, not July 4. And the Moon is the undisputed celestial body in astrology pertaining to women and the mothers in the nation. So, this profoundly important legal decision by the highest court in the land on the issue of life versus choice-to-terminate-life before birth (Pluto), with the mother-to-be (Moon) now taken out of the decision-making process, is a major reform (Pluto) of U.S. law. The concept of law pertains to Jupiter/Saturn and the Jupiter/Saturn conjunction on December 21, 2020 corresponding to the new 140-year “Air Epoch.” Changes of U.S. laws may now represent a fundamental change in American society for the next century.

With regard to global stock markets, last week was very positive. It followed the Venus/Saturn square of June 18 that ended the prior week with many stock indices at their lowest yearly levels. As stated many times in this column, and what is a basic tenet of financial astrology, is that any market declining into a hard aspect between Venus and Saturn is a candidate for a “buy.” Stocks were a “buy” last week, capped by the huge 826-point rally in the DJIA on Friday to close the week above 31,500. This was a gain of nearly 2000 points from the low of the prior Friday.

Shorter-term Goocosmics and Longer-term Thoughts

“There is no religion higher than Truth and no science deeper than love.” – Robert Thibodeau, “Hermetic Rosicrucian Grail Tarot,” https://mayflowerbookshop.com, Berkley Michigan, 2022.

The major geocosmic alignment unfolding this week will be Neptune turning retrograde and the Sun square Jupiter both on June 28. Both Neptune and Jupiter relate to reversals in Crude Oil prices, which fell rather hard from their secondary highs of 123 the prior week (June 14) to a low of 102 late last week.

Jupiter and Neptune can also correspond with irrational euphoria and a sense of hope about the future, in regard to the economy. The fact that equity markets rallied last week bodes well for the start of the new week heading into Jupiter and Neptune signatures. But when euphoric (and not panic), the basis for a rally is often not rooted in reality. In other words, this rally may be an illusion, or a short-covering bounce, and not really related to any major fundamental change regarding the future of inflation, interest rate hikes, or the situation in Ukraine. In fact, with Mars approaching its square to Pluto on July 2, the situation in the Russian/Ukraine conflict (or elsewhere) could take another violent turn. The danger for markets is that this could cause another sudden reversal as the short-term bubble bursts and the reality of life and death stations for many people targeted by powerful leaders obsessed with hatred (Pluto again) is a sober reminder that all is not well in the world.

It is all leading up to the most powerful aspects of 2022 during the first two weeks of August and then again September 21-28. In the first case, Mars, Uranus, and the Moon’s North Node will conjoin in the money sign of Taurus and form a fixed T-square with the Sun and Saturn. Later that month, Venus will do the same. In the second case, Saturn and Uranus will return to within less than 1 degree of their waning square. At the same time Jupiter will be midway between the two, and semi-square to each. It appears that the cosmos is telegraphing a message that the inhabitants of this planet are about to undergo another revolutionary turn between August and November. It may correspond to the end or beginning of a major financial tsunami. And given that Mars, Uranus, and the North Node will conjoin one another in the monetary sign of Taurus, the “shock” may be via currency markets. Currencies pegged to the U.S. Dollar may be unhinged. Watch especially the Dollar against the Japanese Yen and Chinese Yuan.

Longer-term Thoughts 

There are some conceivable scenarios that might cause a sudden crisis for the dollar. The most realistic is the dual-threat of high inflation and high debt, a scenario in which rising consumer prices force the Fed to sharply raise interest rates. Much of the national debt is made up of relatively short-term instruments, so a spike in rates would act like an adjustable-rate mortgage after the teaser period ends. If the U.S. government struggled to afford its interest payments, foreign creditors could dump the dollar and trigger a collapse. – Sean Ross, “What Would It Take for the U.S. Dollar to Collapse?”, www.Investopedia.com, March 23, 2022.

There are two longer-term astrological models I have tracked that relate to the stock market for this decade.

The first model was based on the historical performance of the U.S. stock market during and following the period when Saturn/Uranus and Saturn/Pluto made hard aspects within one calendar year of each other going back to 1900. The second was based on the 20-year stock market pattern going into and following Jupiter/Saturn conjunctions since 1840.

The Saturn/Uranus and Saturn/Pluto hard aspect periods within one calendar year have happened seven times since 1900. The last occurrence was in 2020-2021. Saturn conjoined Pluto in January 2020 and Saturn formed a closing square to Uranus three times between February 17 and December 24, 2021. The two times before that were November 2008 through August 2010 and July 1999 through May 2002. It also included the Great Depression period of 1930-31. The study covered the time from the first passage of the first aspect through the last passage of the last aspect. In all seven cases, the U.S. stock market fell 26.6-86.3% from highs that either preceded these periods or happened within them, and the lows occurred either during these periods or within one year afterwards. If we omit the 86% instance of the Great Depression, we still find this cosmic phenomenon correlated with declines of 26-54%.

In this model, the DJIA is due to decline 26-86% either this year (2022), if 2021 is used as the end of the Saturn/Uranus waning square, or in 2023 if we use the September 21-28, 2022 time frame when the two planets come to their waning square again within less than 1°.

The waning square of Saturn/Uranus itself – even without Pluto – is important because in the two cases of the steepest stock market declines in U.S. history, that aspect was present. In fact, it is the only major outer planet aspect involved in the stock market crashes of 1834-1842 and 1929-1932, when the U.S. indices lost 80% or more of their value. Every alternate case of this 45-year cycle has coincided with a possible 90-year crash low in U.S. stocks (1842 and 1932, and here we are again in 2022). The 90-year cycle was first introduced in our book titled The Ultimate Book on Stock Market Timing Volume 1: Cycles and Patterns in the Indexes. The first edition of this book was published in 1997. Three updates have been published through September 2017, also discussing this 90-year cycle.

The question before us today is whether this 90-year cycle really exists, and if so, will the stock market drop 80-90% off its high of January 2022 by the end of 2023 or even 2022? If the Fed and U.S. government lost their ability to manage the economy, it cannot be ruled out. A telling factor in such a crash reality would be the loss of consumer confidence in the nation’s economic leadership. In that regard, it is already notable that the University of Michigan Consumer Sentiment Index fell to 50.0 in its June reading this past week, its lowest level ever, and down 41.5% from one year earlier. This is not a good sign.

The second geocosmic factor is the 20-year Jupiter/Saturn cycle. It last occurred December 21, 2020. The stock market usually makes a high going into the first year of the conjunction. In this case, the all-time high in the U.S. stock market occurred in the first week of January 2022, just one year and two weeks after the conjunction. Stock markets then fall to a low 1-2 years afterwards, and a military crisis arises. This would pertain to 2022-2023. Given that we had a 6-year cycle low in March 2020, a Jupiter/Saturn decline into 2022 would correspond to its first 2-year cycle phase (of three sub-cycles). Typically those types of cycle lows do not exceed 26%. They will exceed the steepest decline of the first year (in this case, that was 10.46% in the DJIA in October 2020). So, this model calls for a decline of 11-26% in the DJIA. As of June 17, the decline has been 19.75%, so it is getting close to breaking that range.

If the DJIA falls more than 26% (i.e., below 27,345) it would mean the Saturn/Pluto and Saturn/Uranus model is more dominant this time than the Jupiter/Saturn one. It would also be the first time that any Democrat President has presided over a stock market crash of over 26% since 1900 (Yes, FDR oversaw a secondary decline of 50% in 1938, but the real “crash” was the 86% decline in 1929-1932 under Herbert Hoover). It is usually the Republicans (in fact, in every case) that occupy the White House when the U.S. stock market has lost over 26% of its value. On the other hand, every Republican president in this study has overseen an all-time high in the stock market. The same has not been true under Democrat leadership.

Well, with Uranus, there is always a “first time.” With Pluto, it is always the “last time.”

Announcements

	NOTE: July 4 is the Independence Day Holiday in the U.S. and financial markets will be closed then. I will be taking a vacation this week through July 6 and hence there will be no weekly column issued for the week starting July 4 (next week). The next weekly column will be issued July 8 for the week beginning July 11. Enjoy the break!
	Recordings Now Available of MMA's Financial Markets Review for the China SSE Stock Index, Gold, Crude Oil, DJIA, Bitcoin and and Dollar/Yuan This special webinar took place on Thursday evening, June 23, at 7:00 PM in Beijing. It went very well. the three major geocosmic critical reversal zones in effect during the remainder of 2022, including the important early August and especially September 21-28 periods when Jupiter will hit the midpoint of Saturn and Uranus, making a semi-square to each. The webinar examined how these long-term planetary cycles may affect the longer-term cycles and trends in world economies and specifically these financial markets. To order, continue here>>
	The June issue of the MMA Monthly Cycles Report Plus+ written by Pouyan Zolfagarnia was released last week! Written by Pouyan Zolfaharnia, this has become a very popular addition to the MMA Cycles Report (less technical, more visual, high-quality analysis and update on MMA Cycles Report markets). Readers love it! Pouyan will update our take on financial markets since the last issue of the MMA Cycles Report in a very visually attractive and easy-to-read format with excellent analysis.  Read more here>>
	For those who speak Dutch, last week Irma Schogt uploaded a new video taped June 22 in where she discusses the psychological and market climate for the last week of June and first week of July . Venus moving into the sign of Gemini (June 23, 2022) could be of particular interest for the Dutch AEX index horoscope (March 4, 1983, 10.00 CET, Amsterdam). Also discussed was a long-term look back at the Euro/Dollar. Seen through the lens of cycle analysis, an interesting situation arose there, which led to a trading suggestion for traders. Read more here>>

Disclaimer & State 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 Schogt Market Timing & 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.