Introduction
The Financial Astrology Index (FAI) has a theoretical range between 0 (all bearish) to 100 (all bullish). Most of time, it should move between 20 and 80. Readings above 60 should be considered bullish, while readings below 40 are bearish. Readings between 40 and 60 are neutral.
It may be read in a similar way to technical indicators such as the RSI and Stochastics which show overbought and oversold conditions in the market. A number above 80 is very bullish and suggests a strong up trend. In some situations (e.g. near resistance, in a bearish market), this may also indicate a heightened risk of a reversal lower. The trend in the FAI is at least as important as the actual value in terms of understanding possible future price patterns.
As always, it is not intended as a substitute for established stock market technical indicators. If anything, it is intended to stand alongside them and should be treated as an additional source of information — just another tool in the investor’s toolkit. Fair warning: this is still very much a work-in-progress. I will likely be tweaking the relative weights of the different factors down the road.
By way of disclaimer, let me state the obvious: do not use this index as a stand-alone method for investing. There are simply too many unknowns in astrology. Astrology is best used as a supplementary source of information in tandem with other technical and fundamental approaches. The bottom line is this is not to be taken as investment advice. For informational purposes only.
Market Outlook for Friday 17 August 2018
Comments:
Markets moved higher in the US on Thursday on strong Walmart earnings and word of new US-China negotiations. I had been very uncertain about how the day would go as the planetary factors looked less positive than earlier in the week. And yet, I thought the Moon aspects could tell the tale since they looked most negative in the pre-market phase between 3 and 9 a.m. EDT when the Moon squared Mars and then aligned with Saturn and Uranus. While there was a dip in the overnight from this pattern, stocks recovered by morning. As expected, the absence of any major decline in the morning meant that the market went into rally mode for most of the day.
Friday, 17 August looks bullish enough to start with given the nice Moon-Jupiter conjunction at the US open. This should boost stocks in Europe and in Asia as well later in their respective trading days. The question is what happens after the Moon separates from Jupiter later in the morning. There is a risk of some weakness later in the day from this weakening Moon factor. The other big variable here is that the Sun enters sidereal Leo today and that will set up a bearish Mars-Sun aspect. This won’t be exact until next week but it is an added burden on the proceedings. The Mercury-Venus alignment looks generally favourable but probably won’t be decisive either way.
The bottom line is some gains are likely but bulls should practice caution. Further gains look plausible enough but they may not stick.
Financial Astrology Index (FAI)
Total 67-73 (still bullish but trending slightly lower)
1 day ago 65
1 week ago 75-80
Components:
Moon 24/30
The Moon is with Jupiter but after about noon this count falls to 20 or even below.
Sun 8/10
The Sun enters sidereal Leo tomorrow so that could instill an added degree of investor confidence. The Mars aspect is a possible sign of trouble but probably not a big one.
Jupiter 7/10
Jupiter gets a nice boost from the Moon in the morning but its debilitated dispositor Venus could undermine it in the afternoon.
Saturn 6/10
Saturn is slightly more damaged through its 5th house placement from the Sun. However, it will get some improvement from the positive state of its dispositor Jupiter which is with the Moon.
Transit alignments 14/20
The transits look good in the morning due to the Moon-Jupiter conjunction but the Mars-to-Sun aspect is cause for some concern. In the afternoon, this score falls to 10-12.
Natal NYSE alignments 14/20
Again, the Moon-Jupiter gives this a brief boost in the a.m. but the rest of the day looks more neutral. The ongoing Lunar Node alignment is a definite negative.
Financial Astrology Index for Thursday 16 August 2018
Financial Astrology Index for Wednesday 15 August 2018
Financial Astrology Index for Tuesday 13/14 August 2018
