US Stocks fell 2% last week on the heels of Monday's triple conjunction of Moon-Venus-Jupiter. The Dow closed at 8635 while the S&P ended Friday at 876. While I had expected more upside near the time of conjunction, it was a reminder that the energy contained in most aspects lies at the 'front end' when the planets are applying and once they come exact the energy dissipates very quickly. As it turned out the Venus-Jupiter conjunction perfected in the overnight hours Monday (EST) and not even the approach of the Moon midday was enough to revive positive sentiment. Overseas markets started to fall very close to the time of the Venus-Jupiter conjunction. Once the Moon had perfected its aspect to both Venus and Jupiter, the market decline accelerated.
I think markets are headed into a minefield this week with the approaching Sun-Mars-Saturn-Neptune alignment. While some early week gains are possible on the sidereal ingresses of Mercury and Jupiter into Sagittarius and Capricorn respectively, markets will likely move significantly lower from these levels. One complicating factor is that the Sun will not be in exact alignment with Saturn until Saturday, which may lessen the level of negative energy on Friday. Friday still looks very negative as does next Monday when Mars will be in aspect to Saturn. It seems likely that we will see the Dow fall below 8000 here.
Indian markets also declined last week as the indices lost 1% with the Sensex closing at 8965 and the Nifty at 2714. Mercury conjoins the ascendant of the NSE chart on Monday so that should ensure a nice gain then. With Tuesday's holiday closing, it's harder to see much upside for the rest of the week. Transiting Rahu is in tense aspect with the natal Sun-Venus conjunction in the NSE chart so that bodes very poorly for Indian markets over the coming two weeks. A retest of the late October lows is likely.
This is shaping up a potentially tumultuous week in the global financial system as I expect the US dollar to spike on its safe haven status while gold and oil will continue to fall. But there's a good chance that there will be some kind of lasting bottom formed in the coming days that will be the launching point for a rally in early 2009.
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