This forecast is based on my forthcoming book, Astrology, Stock Market and Real Estate, the result of my 12 years of research into the relationship between the planetary cycles and fluctuations of the stock market and real estate prices. It will be published in 2016 or 2017.
Here is my previous forecast made on November 12, 2014. “In the last three severe recessions, in 1937-38, 1973-74 and 2008-09, the Dow lost about half of its value. In the coming recession in 2014-15, it is likely to suffer the loss of only 10-20%. Overseas stock markets will suffer much greater losses. The Dow has reach a top in November of 2014 when Jupiter and Saturn and Chiron join Uranus/Pluto square with harmonious aspects historically associated with stock market tops. Most likely, the Dow will hit its first bottom in January 2015. Other bottoms may occur in May-June and in August-September of 2015. There will be powerful Bear Market rallies between the bottoms. Market volatility will also increase. At times, the Dow will move 500-1000 points a day as occurred in November-December of 2008. We may also experience a significant disruption of Internet trading due to cyber attacks and/or market manipulation.”
Forecast analysis. The above forecast was fairly accurate. The Dow indeed reached one of its tops in the beginning of December 2014, close to what I had forecasted. However, the Dow continued crawling higher reaching 18,351 in May, less than 2% higher than in December 2014. I missed the first bottom by a few days. It occurred in the beginning of February instead of January as I forecasted. The last bottom in May 2015 was also determined correctly. However, the loss in May was only insignificant 4%. It appears that a correlation between planetary cycles and the Dow still held in 2014-15. After the Great Recession however, the stock market has become significantly more resilient to stressful planetary aspects. Why?
Our economy is no longer a market economy. It is a managed economy, and after the Great Recession it is managed quite well. Read more. The same is true for the stock market. It thrives on cheap credit, and this is one of the obvious ways how it is being managed. I am sure that there many not so obvious ways applied here as well, but not being an economist, I do not know what they are. I do know however that this management of economy and the stock market is a reflection of the influence of Neptune/Pluto septile (1999-2016). While this septile is still in place, the market will be rising during Bullish planetary aspects and declining during Bearish aspects, as it has been doing since its founding about four centuries ago. However, the market responses to Bearish influences will be significantly muffled, especially until the summer of 2016, as was the case in the last few years.
Current forecast: On June 20, 2015, Saturn will form a semi-square to Pluto and will remain in or close to this semi-square until September. From the end of July through most of August of 2015, Jupiter will join this stressful configuration with a square to Saturn. Similar planetary grouping occurred in 2005 and 2006 marking the stock market correction lasting for two months in May-July 2006. The Dow lost 8% of its value. A similar correction we may expect in June-October 2006. The steepest decline of 8-10% is likely to occur in July-August. The stock market will enter its Bull mode in October reaching its final top in or close to March 2016. No later than May 2016, the stock market will enter again a Bear mode and remain there until 2021. The loss in the DJIA may amount to 50% as it occurred in 1972-74. The steepest decline in the Dow, perhaps even a market panic, will take place in July-September 2016. No later than January 2021, another prolonged Bull market will commence lasting a decade or even longer.
The Bull Market in gold will begin in earnest in the summer of 2016 and last at least through 2021 due to the influences of Uranus/Neptune semi-square in 2016-21. Under such a semi-square in 1971-73, TSE (Toronto Gold and Precious Minerals Index) gained about 400% over its original value. This will be a very bumpy ride however due to the market manipulation.
Housing prices will follow the same pattern established in the Great Depression. They topped in 1926, lost 20-50% their value—depending on location—in six years by 1932, and remained essentially stable until 1945. It seems that the same timeframe applies to the Great Recession, at least so far. Housing prices topped in 2006, then lost 20-50% of their value in six years by 2012. They began to rise in 2012, and will probably reach their top in the summer or fall of 2016. Following the stock market, real estate prices will decline a few percent nationwide in 2017-21. In less desirable areas, this decline will be much greater. In most desirable areas however, such as Vancouver, Seattle, New York, Miami, San Francisco, Los Angeles and San Diego, real estate prices will continue rising in 2016-21, even though this rise may slow down to a crawl.
Historically, I have been right in forecasting long-term stock market trends most of the time, alas, not all the time. I can only claim to know the most likely outcome of certain events, but cannot guarantee that the future will unfold exactly as forecasted. This website is constructed to provide general information on how the planetary positions in 2014-21 are likely to influence world events. Nothing here should be considered to be specific investment advice. Therefore, the author and the staff of Astro Economic Cycles shall not be responsible for your investment decisions.
How to Choose Your Investment Strategy
Some investors are able to gain in the most severe Bear Markets, while others lose their shirt in the most vigorous Bull Markets. We all are unique, born with special gifts and qualities of character that make us successful in certain types of investing and/or trading. Unfortunately, the same qualities of character make us fail if we attempt the types of investing or trading for which we are not suited. Many, including the author, believe that investing and trading are a zero sum game, and for every winner there should be a loser. If you are a small individual investor, you compete with the best and the brightest hired by immensely powerful financial institutions with huge lobbying powers to rig the investing game in their favor. The only way you can win in this highly unfair game is to develop an investment strategy for which you have a natural talent and sort of a good karma. You can find more information on this subject in the author’s ebook, Psychology of Investing, available through this website.
Besides, we all are influenced by the ever-changing planetary dance that may dramatically alter our chances for gains or losses. Such planetary influences can only be assessed by analyzing your astrological chart. This analysis may help you maximize your profits or, at least, save you from horrendous losses. Read about Astro Economic Consulting.
Published on June 9, 2013
Updated on November 12, 2014 and June 13, 2015.