Prelude to a Market Downturn?

As we approach the new moon horoscope for the 10th August 2010 the markets are finely balanced with some commentators talking up the markets and many claiming that we are ‘walking on thin ice’. Contradictory signals abound. Some are predicting an immanent free fall, and others steady gains.

Venus and Mars

Lunations are often a signal for a change of market direction, at least in the short term. In this particular case Venus has just ingressed in Libra and aspected the 4 planets involved in the ‘cardinal square’: Jupiter Saturn Uranus and Pluto. Mars did the same at the beginning of August 2010 but was supported by positive receptions from the Sun Jupiter Uranus and Pluto. Any market prediction must include receptions.

Receptions

It is ironic that placid Venus in its dignity is more likely to cause trouble that aggressive Mars in its detriment – who would have thought! As outlined in my courses on Foundation Course, Financial Astrology (planetary transits) and Horary Astrology, receptions are very important when evaluating planetary aspects.

Conflicting indications reflected in the cosmos

The conflicting indications in the market place are reflected in the cosmos with 4 planets in the signs of their dignity or exaltation (Sun, Mercury, Venus and Saturn) and 4 outer planets travelling in retrograde motion: Jupiter Uranus Neptune and Pluto. The old astrological maxim applies: ‘As above, so below’.

Many astrological commentators have been predicting dire times as the cardinal climax, which is the very stressful alignment of all the outer planets except for Neptune, aligns more closely. Such an alignment has not been seen since the days of the Great Depression.

So does this mean another depression? It is difficult to be certain because while planetary pictures do correlate with world events these events may not affect the markets in the way that we anticipate. And of course different markets behave in different ways.

Comparisons with the Great Depression

The major obstacle that astrologers face in making a prediction for the markets and future world events is that no two planetary pictures are ever exactly the same. So while important astrological correlations can be made between present times and past times where a collapse was preceded by market highs, there cannot be a 100% certainty that the past will be repeated in the same way.

While we do know that a number of significant patterns are very similar, these patterns are operating in a different context. The modern era is very different to the 1930’s, and this contextual difference is reflected in the current astrological picture.

72% correlation

However the coming Jupiter-Saturn opposition on August 16 does have a 72% correlation with an economic downturn since 1840. While this correlation does not guarantee that we will experience another economic downturn over the next 12 months, it is occurring at the same time as the so-called ‘cardinal crisis’ mentioned above, which echoes planetary patterns in the 1930s. In the 1930’s both patterns occurred together and all these outer planets were in cardinal signs

The other important similarity with the Great Depression Era is the fact that Uranus is again in the sign of Aries. And of course it is a tight aspect with Saturn and Pluto. There the similarity ends, for while there is a tight aspect between Saturn Uranus and Pluto, with Jupiter also opposing Saturn, all in cardinal signs, all the planets have swapped signs except for Uranus.

On that occasion Pluto, the bedrock planet, was in Cancer, opposite it present placement in Capricorn. Cancer has a strong association with home and family whereas Capricorn has an association with big business. Uranus in aspect to Pluto and the other outer planets adds a strong dose of unpredictability.

So while the stock market is range trading, stay alert!