Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

Financial Astrology: 1929 Parallels

By Astrology Traders

Last week a chart surfaced on the internet that shows a correlation to the recent uptrend that matches the trend prior to the stock market collapse of 1929.

I find the chart interesting because it is the opposite of what I see happening into April. We could cross above the illustrated chart and break the correlation. This could fool everyone who is following this chart. The markets could pullback in April instead, and then rally again in May. My overall projection for 2014 is down from recent highs. The bullish bounces may not bring new highs above those we could make in March. Whether you agree with Obama or not, it is wise to listen to what he says. There is a reason he floated the myRA concept during his State of the Union speech on January 28th. In my view, when people see volatility in the markets again, they may choose this option, even if it is not good.

I mentioned in the prelude to today's update our concern that the technical trend (algorithm) is looking broken in the first week of February. In my view, the Federal Reserve (and JP Morgan) may have derivative exposure that is at risk of unraveling in the near future. There could be rumors or gossip in Wall Street circles that showed up in the markets late January, a warning for those who were willing to take notice.

Last Friday there were a couple of media reports that I think should be noted. The FSB's move to investigate London's currency exchange for potential manipulation. The FSB (Financial Stability Board) co-ordinates regulation for the G20 nations. The city of London hosts the largest financial currency exchange boards. On Friday Goldman Sachs announced the bank is retreating from its electronic bond trading platform. My take away here is; there is currency manipulation, the road likely leads back to JP Morgan, and Goldman Sachs is willing to sit this one out.

Whatever the case, the potential for another liquidation, such as MF Global or Knight Capital, could be on the horizon. If we see such an event it could likely be near March 17th. I see the potential for the markets to rally in March, so I am not suggesting this type of event is bad for the markets in the short term, but I do think there is downside potential in April. If this event does take place, there could be other counterparty complications, or mistakes, that could throw the Federal Reserve a curve.The planet Uranus in making very critical aspects to the Federal Reserve and USA charts in April. With Uranus you often get sudden surprises, and this is why I think the market move at the beginning of February is so important. The algorithms in the stock market may be broken, but there may be other derivative, currency swaps, or leveraged bond trades that are also wrecked. Another embarrassing mess could already be unraveling and this market bounce, recent debt limit increase, is to buy some time.

This is an excerpt from this weekends premium update concerning this pullback we are experiencing and when it will likely end. Within our service we provide trade setups complete with real time buy/sell trade alerts. Sign up here to see the different Astrology Traders can make in your trading.

Below is our trade performance on closed trades since joining Marketfy.

  • 23 winners with an average gain of 10.50%
  • 5 losers with an average loss of 7.07%