FinancialCyclesWeekly.com #0432 – August 8-14, 2004 with Tim Bost

COMMENT: In last week’s newsletter we noted that the Jupiter/Pluto square would bring “a huge potential for market volatility” and “wild swings to the downside in stocks,” as well as “big moves up in gold, oil, and other futures contracts for key commodities.”
As it turned out, there was definitely more volatility in equities trading during the week, with daily trading ranges on the Dow Industrials nearly 30% bigger than the average daily trading range had been in July. Especially toward the end of the week, the action on the trading floor took a lot of wind out of the market’s sails, with Blue Chips and the broader market averages both getting a pummeling. And as we anticipated, gold and oil were both up for the week, with oil futures hitting an all-time high.

CONFRONTATION AND CONFUSION
We also observed last week that the current astrological configurations bring “lots of potential for confrontation and confusion,” and there was plenty of both factors in evidence during the week. The news media confronted the Bush Administration over the credibility of its current terrorist alerts, pointing out that much of the information which triggered the alerts was three or four years old. The presidential candidates crossed paths in Iowa, leading to strident confrontations between supporters of Mr. Kerry and Mr. Bush. And Google confronted the fact that suddenly sour feelings in the equities market don’t make for a very good IPO environment, creating lots of confusion about when, how, and if its offering would take place.
The new legislation allocating an additional $417 billion for defense spending certainly provides the means for more confrontation, but President Bush seemed a little confused when he signed it into law on August 5. "Our enemies are innovative and resourceful, and so are we.” The President said. “They never stop thinking about new ways to harm our country and our people, and neither do we.”
Iraq, of course, remained the biggest international focal point for confrontation. The U.S. launched fresh attacks, and several days of fierce fighting left hundreds dead. The non-elected Iraqi regime confronted the media in an attempt to restrict the flow of information through censorship by first insisting that journalists report stories in a light more favorable to the Iraqi government and then by shutting down the Baghdad office of Al-Jazeera.

WHAT HAPPENED TO THE JOBS?
The big confrontation for the markets proved to be a confrontation with reality, especially in the economic arena. With its usual penchant for double-speak, the Administration recently announced that the U.S. can expect a record deficit during the next fiscal year—something just shy of $500 trillion—but simultaneously crowed about fiscal success because the projected deficit is expected to be a little bit smaller than the government’s original forecasts suggested.
And then there was the employment report. Unemployment dropped to 5.5 percent, and 32,000 new jobs were created. That was pretty much the extent of the good news. The bad news was that the job-creation numbers for a couple of previous months were revised downwards, since it seems that there weren’t actually as many new jobs added to the economy as the Administration had previously claimed. An astrologer might say that things had gotten a little Neptunian, thanks to the Sun/Neptune opposition: the facts had either gotten horribly confused, or somebody had been deliberately misrepresenting the numbers.
But the really, really bad news was that even though 32,000 new jobs had been created, the economists and market watchers had expected more than that. Like something on the order of 230,000 to 300,000 new jobs, depending on who you talked to. So the report of just 32,000 new jobs was about 90% lower than the amount the pundits had been calling for, and Wall Street didn’t like it.
The question is, how will the Federal Reserve respond? The Fed’s Open Market Committee is scheduled to meet this week, and is expected to raise interest rates again. But Mr. Greenspan may get a bit skittish when he factors in this latest jobs report, so it’s not impossible that the Fed may leave things unchanged, which could add a bit of buoyancy to the markets.

OIL’S WELL THAT ENDS WELL?
Our comments last week about the role that oil is playing in the grim situation in Sudan provoked an immediate response from astro-trader Norman Winski of Naples, Florida. Norman has been tracking the astrology of the futures markets for many years, and reporting on it in his excellent Astro-Trend newsletter, so he has good reason to pay particular attention to oil-related news.
“If you want to be cynical,” Norman asked us, “why don't you highlight the countries such as Russia and China that opposed the resolution to stop the genocide? Why would they do that? Could it be that they have big economic interests with the Sudanese government?
“The Bush administration should be applauded for its actions. 30,000 more people are expected to die in Sudan in the next month if the Sudanese government
doesn't stop the ethnic cleansing.
“Where do you get your information? It must be very biased. By the way, what makes you think we couldn't have gotten the oil while ignoring the genocide? The truth is that the US is taking the courageous humanitarian position and risking alienating the other powers that have their hand in the Sudanese cookie jar, such as Russia and China.”
As we told Norman in response to his email, the involvement of China is exactly the point. Reading the Department of Energy report on Sudan from http://www.eia.doe.gov/emeu/cabs/sudan.html that we mentioned in last week’s issue makes that abundantly clear, since it details the history of Chinese investment in developing oil in Sudan, as well as the role that India has and the plan for French involvement in an electrical plant. Risking the alienation of other countries and perhaps pushing for a show-down does seem to be in the works, and while we certainly agree, as we said last week, that the atrocities in Sudan "deserve international attention and intervention," we think we'd be a bit naive to think that's ALL that's motivating our interest.
For that matter, international involvement in trouble spots on behalf of an oil agenda is certainly not limited to Sudan. Arch Crawford, the venerable Wall Street Astrologer who shares his forecasts at www.crawfordperspectives.com, also wrote to us in response to last week’s issue. “Vietnam was about offshore OIL!” Arch reminded us. “95% of the Vietcong cash flow came from 6 French and American firms. The biggest were Shell Oil & Michelin Tire.
“My big question is: What will TIME the Asians cashing in US T-bonds? That's going to be a BIG one. Is THAT why the U.S. Navy is hanging around the West Pacific??”
Arch concluded that there are “too many questions, and too few answers,” and we agree with him. But it actually wasn’t our intention to bash the current administration in this matter, since we did point out that the bloodshed has been going on for 21 years, which covers 4 presidential administrations, led by both parties. While it may be cynical to think that the lack of U.S. engagement was because there wasn't a potential economic payoff in doing so, that does unfortunately seem to be the case.
As always, our main goal in writing about the impact of astrological dynamics on market and geopolitical trends is to encourage our readers to look beneath the surface of events. We prefer to think of that as being skeptical rather than cynical, since we honestly believe that we can in the aggregate come up with better, more creative and more enlightened solutions to problematical situations when we take the time to probe and think-- not in an attempt to assign blame, but rather in an effort to assume greater levels of personal responsibility for making the world work to everyone's mutual benefit.
The price to pay for that responsibility is often the necessity of turning over a few rocks that have some rather nasty things underneath them, and then figuring out how to rise above the nastiness in a way that advances truly humanitarian aims and promotes spiritual growth and enhanced good-will. And, as Norman Winski pointed out, those efforts often take a good bit of courage. We’re genuinely glad that we're at last demonstrating some of that courage, even if it did take 345,000 barrels a day to get our attention.
As to our sources, we regularly scan media outlets and publications from around the world, as well as official government pronouncements. In this particular case we relied exclusively on what the Department of Energy has had to say in the aforementioned report (released on July 9 of this year), as well as some comments on the floor of the House from U.S. Congressman Ron Paul (Republican of Texas) on July 23, who voted against the House bill "Declaring Genocide in Darfur, Sudan," saying that was "incredibly dangerous legislation" which was "no statement of humanitarian concern." Dr. Paul also complained to the Speaker of the House that "this resolution was never marked-up in the House International Relations Committee, on which I serve. Therefore, Members of that committee had no opportunity to amend it or express their views before it was sent to the Floor for a vote." Both the DOE and Rep. Paul are highly biased sources, but we felt it was in our readers’ best interests to learn what they had to say.

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THE WEEK AHEAD

The earnings reports coming up this week are highlighted by big retail players, including May Department Stores (MAY), Abercrombie & Fitch (ANF), Ann Taylor Stores (ANN), Federated Department Stores Inc. (FD), American Eagle Outfitters (AEOS), Target Corporation (TGT), and Wal-Mart Stores Inc. (WMT). Other reports coming in will include Cablevision Systems Corporation (CVC), Royal KPN N.V. (KPN), Liberty Media Group (L), The Progressive Corporation (PGR), Coca-Cola Hellenic Bottling Company S.A. (CCH), Computer Sciences Corporation (CSC), Cisco Systems (CSCO), Walt Disney (DIS), EchoStar Communications Corporation (DISH), AmBev - Companhia de Bebidas (ABV), Hospira Inc. (HSP), Fox Entertainment Group (FOX), Quilmes Industrial (LQU), Novo-Nordisk (NVO), The News Corporation Limited (NWS), Companhia Vale do Rio Doce (RIO), Agilent Technologies Inc. (A), Analog Devices Inc. (ADI), AEGON N.V. (AEG), Dell, Inc. (DELL), Deutsche Telekom (DT), Kohl's (KSS), Scottish Power (SPI), Unibanco - Uniao de Bancos Brasileiros S.A. (UBB), Embraer-Empresa Brasileira (ERJ), and Swisscom AG (SCM).
The economic reports for the week will include numbers for Wholesale Inventories, Productivity, Business Inventories, Export Prices, Import Prices (Excluding Oil), Retail Sales, the Trade Balance and the Producer Price Index. The week will also feature a meeting by the Federal Reserve Open Market Committee, which is expected to boost interest rates by 25 basis points.
As we move through this week we are heading for a New Moon and a Saturn/Chiron opposition next weekend, so there’s a good possibility that stock prices will rebound a bit before the week is out. The big astrological news, however, is Mercury going retrograde, starting on Monday evening and continuing into early September. This may set up a three-week counter-trend in trading activity that could be difficult to play, so we’ll need to be extra careful during the weeks ahead. On this Friday we’ll also have a Void-of-Course Moon throughout the trading day, so we’ll use that as an excuse to take Friday the 13th off and start a three-day weekend.
Have a great week!

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SPIRITUAL FOCUS FOR THE WEEK

The greatest traders have all understood that emotional balance is the key to successful trading. Through Practical Spiritual Astrology we have an opportunity to restore inner harmony, enhance emotional balance, and make wiser choices in the markets.

Our efforts to express our true personal feelings are likely to be misunderstood by others; it’s therefore wise to remember that our actions may speak much more precisely than our words.

“Everybody gets so much information all day long that they lose their common sense.” - Gertrude Stein

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GLOBAL EQUITIES MARKETS LAST WEEK

The Jupiter/Pluto volatility last week shook up stock markets around the world. Smaller-cap issues in the U.S. were the hardest hit, but the sell-off pulled down U.S. Blue Chips as well, and most of the markets across the globe followed suit. The most notable exceptions were in Hong Kong, where the Hang Seng managed to gain some ground, and in Singapore, where the Straits Times Index broke through resistance to close at its highest level since early 2001.

Dow Jones Industrial Average – down 3.20%
Dow Jones Transportation Average – down 4.68%
Dow Jones Utilities Average – up 1.09%
S&P 500 – down 3.43%
NASDAQ Composite Index – down 5.85%
Russell 2000 – down 5.74%
London FTSE-100 – down 1.70%
Paris CAC-40 – down 3.25%
Frankfurt DAX – down 4.31%
Sydney All Ordinaries – down 0.20%
Tokyo Nikkei – down 3.12%
Hong Kong Hang Seng Index – up 1.97%
Singapore Straits Times Index – up 1.64%

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FINANCIAL CYCLES MODEL PORTFOLIO


POSITIONS CLOSED DURING THE PREVIOUS WEEK: DWSN, SHFL, WMT.

We closed three Model Portfolio positions during the past week, with 1 winner and 2 losers producing a net profit of $509.00.

On August 2 we bought to cover 400 shares of Dawson Geophysical Company (DWSN) at 22.35, taking a profit of $860.00 (an 8.78% gain in 17 trading days).

On August 5 we sold 300 shares of Shuffle Master Inc. (SHFL) at 30.75, taking a loss of $225.00 (a 2.38% loss in 5 trading days).

On August 5 we sold 200 shares of Wal-Mart Stores (WMT) at 52.12, taking a loss of $126.00 (a 1.19% loss in 13 trading days).

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POSITIONS ADDED TO THE PORTFOLIO DURING THE PREVIOUS WEEK: CEDC, CRHCY, CYTC, HMC, SHFL.

We added one long and three short positions to the Model Portfolio during the previous week.

We bought 600 shares of Celadon Group (CLDN) at 17.25 on 08/02/04, setting our initial stop at 16.45.

We sold short 200 shares of Micros System Inc. (MCRS) at 49.25 on 08/02/04, setting our initial buy stop at 49.08.

We sold short 400 shares of Olympic Steel Inc. (ZEUS) at 24.50 on 08/02/04, setting our initial buy stop at 24.05.

We sold short 500 shares of Resources America Inc. (REXI) at 22.25 on 08/02/04, setting our initial buy stop at 23.75.

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YEAR-IN-REVIEW MODEL PORTFOLIO ACTIVITY

So far in 2004 we have had a total of 123 completed trades, with 56 winners and 67 losers bringing us a total net profit of $22,258.50. The largest profit for a single trade has been $5,645.00; the largest single-trade loss has been $750.00; the average profit per trade has been $189.09. The mean duration of our trades has been 9.7 trading days.

During 2003 we had a total of 176 completed trades, with 99 winners and 77 losers bringing us a total net profit of $51,717.00. The largest profit for a single trade was $9,240.00; the largest single-trade loss was $1,170.00; the average profit per trade was $293.85. The mean duration of our trades was 10.1 trading days.

During 2002 we had a total of 195 completed trades, with 119 winners, 74 losers, and 2 break-even trades bringing us a total net profit of $50,956.00. The largest profit for a single trade was $5,100.00; the largest single-trade loss was $1,055.00; the average profit per trade was $261.31. The mean duration of our trades was 12.7 trading days.

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CURRENT POSITIONS IN THE MODEL PORTFOLIO

Celadon Group (CLDN) – bought 600 shares at 17.25 on 08/02/04; currently 17.81. Raise stop to 16.74.

Central European Distributing Corporation (CEDC) – bought 500 shares at 22.45 on 07/27/04; currently 23.02. Raise stop to 22.75.

CRH PLC ADR (CRHCY) – bought 500 shares at 22.22 on 07/29/04; currently 21.81. Stop set at 21.75.

Cuno, Inc. (CUNO) – bought 200 shares at 49.75 on 07/23/04; currently 53.01. Raise stop to 51.50.

Cytyc Corporation (CYTC) – bought 500 shares at 22.25 on 07/29/04; currently 23.00. Raise stop to 22.40.

Honda Motor Company Ltd. ADR (HMC) – bought 400 shares at 23.88 on 07/29/04; currently 23.22. Raise stop to 23.08.

Micros System Inc. (MCRS) – sold short 200 shares at 49.25 on 08/02/04; currently 44.43. Lower buy stop to 48.13.

MTR Gaming Group (MNTG) – sold short 1,000 shares at 11.00 on 07/13/04; currently 9.24. Lower buy stop to 9.70.

Olympic Steel Inc. (ZEUS) – sold short 400 shares at 24.50 on 08/02/04; currently 20.79. Lower buy stop to 23.50.

Resources America Inc. (REXI) – sold short 500 shares at 22.25 on 08/02/04; currently 20.81. Lower buy stop to 22.50.

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STRONGEST MARKET SECTORS LAST WEEK

Generic Drugs; Closed-End Debt Funds; Closed-End Foreign Funds; Residential REITs.

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WEAKEST MARKET SECTORS LAST WEEK

Aerospace & Defense Products & Services; Machine Tools & Accessories; Meat Products; Wholesale Electronics; Medical Practitioners.

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KEY ASTROLOGICAL EVENTS DURING THE COMING WEEK

August 8
Mercury parallel Jupiter in right ascension 06:08 EDT
Heliocentric Earth sesquiquadrate Heliocentric Kronos 06:34 EDT
Mercury parallel Jupiter 06:38 EDT
Saturn opposition Chiron in right ascension 14:24 EDT
Venus sesquiquadrate Neptune in right ascension 19:23 EDT
Void-of-Course Moon 20:46 – 22:33 EDT
Sun semisquare Kronos 22:20 EDT

August 9
Sun trine Pluto in right ascension 02:19 EDT
Heliocentric Venus opposition Heliocentric Jupiter 03:51 EDT
Venus conjunct Kronos 09:23 EDT
Venus sextile Mars in right ascension 10:08 EDT
Venus conjunct Kronos in right ascension 11:01 EDT
Mars sextile Kronos in right ascension 11:30 EDT
Heliocentric Mercury semisextile Heliocentric Neptune 12:49 EDT
Mercury retrograde station 20:33 EDT
Saturn sesquiquadrate Uranus in right ascension 23:35 EDT

August 10
Uranus trine Poseidon 01:52 EDT
Heliocentric Mars contraparallel Heliocentric Uranus 02:33 EDT
Heliocentric Earth quincunx Heliocentric Saturn 04:45 EDT
Mars enters Virgo 06:14 EDT
Sun square Admetos in right ascension 12:22 EDT
Mars conjunct 4/19/2004 Solar Eclipse Antiscion 13:10 EDT
Void-of-Course Moon begins 15:59 EDT
Sun sextile Apollon in right ascension 16:29 EDT
Venus trine Poseidon in right ascension 17:02 EDT
Jupiter semisquare Poseidon 20:47 EDT
Heliocentric Mercury opposition Heliocentric Saturn 21:58 EDT
Venus sextile True Lunar Node in right ascension 22:36 EDT

August 11
Heliocentric Venus semisquare Heliocentric Neptune 01:13 EDT
Mars trine True Lunar Node in right ascension 02:09 EDT
Lunar Apogee 05:40 EDT
Heliocentric Earth semisextile Heliocentric Mercury 05:51 EDT
Heliocentric Venus parallel Heliocentric Zeus 08:34 EDT
Heliocentric Mercury semisquare Heliocentric Uranus 10:31 EDT
Mars sextile Poseidon in right ascension 10:43 EDT
Void-of-Course Moon ends 11:20 EDT
Jupiter sesquiquadrate True Lunar Node 12:40 EDT
Sun semisquare Zeus in right ascension 14:09 EDT
Sun semisextile Jupiter in right ascension 15:05 EDT
Heliocentric Mars semisquare Heliocentric Vulcanus 15:32 EDT
Heliocentric Venus enters Aries 16:01 EDT
Sun trine Pluto 20:19 EDT
Heliocentric Earth in 24th harmonic to Heliocentric Uranus 20:25 EDT
Moon at maximum north declination 22:42 EDT
Heliocentric Mercury semisextile Heliocentric Pluto 23:39 EDT

August 12
Sun quincunx Chiron in right ascension 01:35 EDT
Mars square 11/23/2003 Solar Eclipse Point 04:57 EDT
True Lunar Node contraparallel Poseidon 05:17 EDT
Heliocentric Venus contraparallel Heliocentric Jupiter 06:00 EDT
Heliocentric Mercury trine Heliocentric Admetos 08:33 EDT
True Lunar Node opposition Poseidon 09:23 EDT
Heliocentric Mars semisextile Heliocentric Zeus 09:46 EDT
Heliocentric Venus square Heliocentric Kronos 10:22 EDT
Heliocentric Mercury opposition Heliocentric Vulcanus 11:51 EDT
Heliocentric Mercury sesquiquadrate Heliocentric Mars 15:13 EDT
Heliocentric Mercury quincunx Heliocentric Hades 15:15 EDT
Heliocentric Mercury square Heliocentric Apollon 16:27 EDT
Cupido sesquiquadrate Vulcanus 17:34 EDT
True Lunar Node contraparallel Poseidon in right ascension 17:47 EDT
True Lunar Node opposition Poseidon in right ascension 17:58 EDT
Heliocentric Earth parallel Heliocentric Pluto 18:29 EDT
Sun semisextile Saturn in right ascension 19:49 EDT
Heliocentric Mercury conjunct Heliocentric Chiron 20:00 EDT
Heliocentric Mars semisquare Heliocentric Apollon 23:56 EDT

August 13
Heliocentric Mercury semisquare Heliocentric Cupido 01:06 EDT
Uranus sextile True Lunar Node 02:13 EDT
Heliocentric Earth parallel Heliocentric Chiron 03:58 EDT
Mars sextile Kronos 05:48 EDT
Sun semisextile Jupiter 05:48 EDT
Mercury at minimum declination 06:03 EDT
Void-of-Course Moon 06:17 – 23:30 EDT
Venus sextile True Lunar Node 06:19 EDT
Venus trine Uranus 06:55 EDT
Mercury at maximum acceleration 08:00 EDT
Venus semisquare Admetos in right ascension 09:12 EDT
Venus trine Poseidon 10:27 EDT
Jupiter trine Chiron in right ascension 11:57 EDT
Mercury semisquare Vulcanus 12:24 EDT
Mercury square Cupido 13:11 EDT
Heliocentric Earth sextile Heliocentric Pluto 13:43 EDT
Sun contraparallel Pluto in right ascension 13:59 EDT
Sun contraparallel Pluto 14:03 EDT
Heliocentric Mercury trine Heliocentric Jupiter 15:28 EDT
Sun sextile Hades in right ascension 15:33 EDT
Sun contraparallel Chiron in right ascension 15:39 EDT
Sun contraparallel Chiron 15:45 EDT
Sun semisextile Saturn 16:06 EDT
Mercury semisquare Saturn in right ascension 17:25 EDT
Neptune opposition 11/09/2003 Lunar Eclipse Antiscion 17:31 EDT
Sun quincunx Chiron 22:07 EDT

August 14
Heliocentric Mars sesquiquadrate Heliocentric Chiron 02:15 EDT
Venus quincunx Cupido in right ascension 03:44 EDT
Venus square Zeus in right ascension 10:33 EDT
True Lunar Node square 5/16/2003 Lunar Eclipse Antiscion 10:48 EDT
Venus in 24th harmonic to Saturn 11:29 EDT
Heliocentric Mercury in 24th harmonic to Heliocentric Neptune 12:09 EDT
Heliocentric Venus semisextile Heliocentric Uranus 14:28 EDT
Heliocentric Earth square Heliocentric Admetos 17:33 EDT
Mercury semisquare Apollon 17:35 EDT
Mercury parallel Jupiter 18:24 EDT
Sun semisquare Zeus 18:47 EDT
Mercury parallel Jupiter in right ascension 19:10 EDT
Heliocentric Mercury enters Aquarius 19:24 EDT
Sun in 24th harmonic to Mercury 22:18 EDT

August 15
Sun semisextile Vulcanus in right ascension 00:16 EDT
Sun sextile Apollon 00:38 EDT
Venus trine Uranus in right ascension 00:41 EDT
Mercury sextile Venus in right ascension 02:30 EDT
Heliocentric Earth quincunx Heliocentric Vulcanus 03:53 EDT
Heliocentric Mercury quincunx Heliocentric Kronos 04:38 EDT
Saturn opposition Chiron 04:45 EDT
Mercury semisextile Zeus 05:15 EDT
Mercury opposition Uranus in right ascension 06:44 EDT
Mercury sextile Venus 10:06 EDT
Heliocentric Earth sesquiquadrate Heliocentric Zeus 12:13 EDT
Venus square Zeus 12:37 EDT
Sun semisextile Vulcanus 13:09 EDT
Heliocentric Mars square Heliocentric Cupido 13:11 EDT
Sun square Admetos 13:15 EDT
Heliocentric Venus quincunx Heliocentric Poseidon 13:20 EDT
Heliocentric Earth trine Heliocentric Hades 14:52 EDT
Heliocentric Earth trine Heliocentric Apollon 18:35 EDT
New Moon 21:24 EDT
Void-of-Course Moon begins 21:24 EDT
Admetos sextile Vulcanus 21:44 EDT
Mercury sesquiquadrate Chiron in right ascension 23:06 EDT


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STOCKS TO WATCH: INFY, LIZ, NVDA, PD, VPI.


Infosys Technologies ADS (INFY)
NASDAQ; Optionable
First Trade Date: 03/11/1999; 09:30 a.m.
Trading Strategy: With transiting Jupiter in opposition to the INFY First-Trade Sun, this stock has held up pretty well amid the recent market consternation. It’s currently about 9% off its 52-week high. Jupiter will be moving on fairly quickly, however, so we like the looks of INFY as a candidate for a short sale. We’ve found it helpful in understanding the price movement of this stock to look at planetary lines for Uranus (G,34.49,N,0) and Cupido (G,24.33,N,0). Our plan is sell INFY short early this week, setting our initial buy stop at 49.16.


Liz Clairborne Inc. (LIZ)
NYSE; Optionable
First Trade Date: 02/20/1991; 09:30 a.m.
Trading Strategy: LIZ has moved into a price pull-back as transiting Saturn is conjoining its First-Trade IC and closing in on First-Trade Chiron. Meanwhile transiting Chiron is crossing the First-Trade Midheaven and opposing First-Trade Chiron. Is it any wonder, then, that the most active planetary line for this stock is Chiron (G,11.2,N,0)? Since we expect a bit more downside action before LIZ rebounds, we’re going to wait until Wednesday or Thursday of this week to initiate our trade. At that point our plan is to add a long position to the Model Portfolio, setting our initial stop on the appropriate increment of that Chiron line, at either 34.66 or 33.54, depending on our entry price.


Nvidia Corporation (NVDA)
NASDAQ; Optionable
First Trade Date: 01/22/1999; 09:30 a.m.
Trading Strategy: NVDA had been in a price decline for the past few months and then during Friday’s general selling pressure it fell off a cliff, losing roughly a third of its value in a single trading session. Transiting Jupiter is crossing the NVDA First-Trade Descendant, which suggests that this grim picture may be as good as it gets for awhile, especially since transiting Neptune is still flirting with First-Trade Uranus and transiting Hades is sitting right on the NVDA First-Trade IC. Planetary lines from Neptune (G,30.19,N,0) and Kronos (G,86.9,N,0) have helped define the NVDA trading range for the past few years, so it’s not surprising that the stock’s sell-off at the end of last week took place in a trading zone neatly contained by those two lines. Kronos is providing support right now at 9.17; if NVDA gives us a daily close below that line we’ll take it as an indicator that additional downward play is ahead and sell this stock short, setting our initial buy stop at 10.55. But if support holds at 9.17 for two or three trading sessions, we’ll be ready to add a long position late in the week, setting our initial stop at 8.74.


Phelps Dodge Corporation (PD)
NYSE; Optionable
First Trade Date: 05/09/1929; 10:00 a.m.
Trading Strategy: PD is down about 19% from its 52-week high, but it’s still trading above its 200-Day Moving Average. With its trading action defined by Poseidon (G,17.92,N,0), Uranus (G,96,N,0), and Admetos (G,90,N,0), and with its current dip below the Admetos line, we plan to sell this stock short early this week, setting our initial buy stop at 76.30.


Vintage Petroleum Inc. (VPI)
NYSE; Optionable
First Trade Date: 08/03/1990; 09:30 a.m.
Trading Strategy: Jupiter is transiting the VPI First-Trade Ascendant, which suggests that this stock has more downside potential ahead, particularly since transiting Saturn is now in opposition to First-Trade Saturn as well. We’ve used Mars (G,44.25,N,0 and G,44.25,Y,0), Admetos (G,45,N,-2), and Kronos (G,82.05,N,-2) in analyzing this stock. Unless we get a daily close above the Admetos line at 15.69 or higher, our plan is to sell VPI short this week, setting our initial buy stop at 15.82.

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FINANCIAL CYCLES WEEKLY (ISSN 1055-8527) is published by Taylor-Bost Consulting and edited by Tim Bost at 2132 Beneva Road, Sarasota, FL 34232 USA. Phone: 941-921-2588. Fax: 941-927-5798. Web: http://www.TimBost.com. Entire contents copyright 2004 Timothy L. Bost. No portion of Financial Cycles Weekly may be reproduced without the publisher's written permission. Subscriptions to FINANCIAL CYCLES WEEKLY are $39.00 per month for weekly issues sent by email, payable by monthly billing to a major credit card. Advance payment options (by credit card, check, or money order) are $228 for 6 months, $432 for 1 year or $815 for two years. All subscriptions are payable in US funds only— Visa, MasterCard, American Express, Diners Club, and Discover/Novus accepted; please make checks or money orders payable to Taylor-Bost. PayPal is also accepted for online orders; to subscribe go to http://www.TimBost.com/newsletter/subscribe.html.

By providing a source of independent market analysis, the purpose of FINANCIAL CYCLES WEEKLY is to foster the growth of person-centered business and investment astrology; to enhance the development and dissemination of financial literacy and prosperity consciousness; and to explore the use of technical analysis and financial astrology in promoting an esoteric spiritual understanding of economic trends, geocosmic cycles, geopolitical events, and market movements. FINANCIAL CYCLES WEEKLY is a general interest publication which is prepared from astrological information, news reports, cycle projections, and market observations which are believed to be accurate and reliable, but which cannot be guaranteed. Portfolio and trading reports in this publication do not include taxes and transaction fees, which should be taken into consideration by prospective traders and investors. Even with accurate information, past performance is no guarantee of future results. Speculation in securities and commodities involves considerable financial risk, and readers who plan to invest or speculate in securities or commodities mentioned in FINANCIAL CYCLES WEEKLY have the complete responsibility for making themselves fully aware of all the risks involved before they invest. The editor may or may not have positions in the securities and commodities discussed in this newsletter, and the information in FINANCIAL CYCLES WEEKLY should in no way be understood or construed as a solicitation or an offer to buy or sell any products or securities, nor should the material published in this newsletter be considered buy/sell advice.

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posted by Tim Bost @ 8/08/2004 02:02:36 AM