PostHeaderIcon More Power

This is an excerpt from the April 5, 2024 Astrology Letter….

As more data centers embrace Artificial Intelligence, the additional computing power will require more electrical energy. Who generates this electricity? Is there an investment opportunity for us?

This week I had an inquiry from a subscriber asking if I could look at a few power generation utility stocks. Thank you for this….I wish I could get more inquiries like this….

The first thing that must be understood is that utility companies are regulated by state/provincial/local authorities as to how much they can charge consumers for electricity. As interest rates have risen thanks to Central Banks fighting inflation, investors have looked away from the dividends on utility stocks and embraced the rising yields on Treasury bonds. Utility stocks do not usually perform well when interest rates are rising.

However, Central Banks are now done raising rates. Rates may not come down quickly from here, but rates will not go up. We could start seeing utility stocks make a bottoming pattern soon. In some cases, certain utility-type stocks have just recently made a bottom.

In this issue I will take a look at TC Energy (Toronto: TRP), Duke Energy (N:DUK), and American Electric Power (Q:AEP).

TC Energy ( TSX: TRP): TC Energy owns or has an interest in 7 natural gas power plants, 2 wind projects, and a 48% interest in the Bruce Power nuclear plant in Ontario. In total, TC Energy has 7000 MW of electrical generating capacity. In addition, when it comes to natural gas pipeline distribution systems, TC Energy is the biggest player in Canada and also in parts of the USA.

Trans Canada Energy seems to function on long cycles of 401 weeks (blue arcs) and 597 weeks (red arcs).

Within these longer cycles, I am seeing smaller 79 week cycles (yellow arcs), and 22 week cycles (pink arcs – see chart on next page).

The 79 week cycle will end in November. The 22 week cycle will end in May.

This chart has been fitted with the Slow Stochastic trend indicator. Times when the Stochastic gave a buy or sell signal can be seen aligning to the action of the Moon relative to key points in the 1952 natal horoscope.

Here and now, the trend is drifting sideways to lower. IF price takes out the dashed purple resistance line shown at the top right of the chart, price will advance to possibly the $63 level (a Fibonacci 61.8% retrace of the 2022-2023 decline).

In the meantime, watch the Stochastic for a more attractive buy signal and for that buy signal to align to Moon passing a key point on the 1952 natal horoscope.

Note also – in the coming May-June timeframe, Jupiter will pass by the natal Moon. This should be a positive development. In the July timeframe, Mars will pass the natal Moon point. This should also be a favorable development.

The stock pays an annual dividend of $3.84 per share. At current prices, this is a 7.2% yield. The 2023 financial statements show that this dividend is sustainable and supported by earnings and cash flows.

Full disclosure to subscribers – I am getting ready to personally buy TC Energy on any  further weakness in price…..

PostHeaderIcon Astrology and the Retail Sector

Retail

Welcome to the March 15th issue of the Astrology Letter.

This is a special issue with a focus on consumer retail. I am writing this special issue thanks to a request from a Canadian subscriber.

Using the Periodogram function (cosine mathematics), I have determined that Canadian Tire functions on 88, 101, 118, and 142 bar cycles on the weekly chart. The price chart above has been overlaid with these cycles. Notice that in April 2021, a 118 bar cycle ended. The trend changed at the time as well.

A counter-trend rally in early 2023 tried to reverse the trend, but ultimately failed. Here and now, Canadian Tire has retraced Fibonacci 61.8% of the move from March 2020 to June 2021. The trend still remains bearish here and now.

A Fibonacci 61.8% retracement of the move from 2020 to mid-2021 will put share price in the $127 range. Canadian Tire could be getting close to a bottom.

At current share price, one would be paying a little over $5 to buy $1 of operating cash flow. Analyst targets range from $120 to $195. The average analyst target is $152 per share.

Canadian Tire became a publicly traded company on Jan 2, 1944. The first trade horoscope has two unique geometric patterns embedded in it. Events of Sun, Mars, and Moon passing these key points could be of interest.

As I have suggested many times in my writing, back in the 1940s, the stock exchange authorities knew about astrology. Take a look at the planetary positions in the above horoscope wheel. Notice the green and yellow triangles. Together they form a shape called a “Merkaba”. In the Hebrew faith, this shape is called the “Star of David”. When you see unique shapes and patterns in a first trade horoscope, those shapes are no accident. First trade dates are carefully picked. This was very much the case in the 1940s.

The above chart has been annotated with several astrology events related to Sun, Moon, and Mars passing key points in the natal horoscope. No question about it – astrology is a good tool to navigate the Canadian Tire price chart.

A Fibonacci 61.8% retracement of the entire 2022 to 2021 move will bring the $127 level into focus.

If contemplating buying shares of Canadian Tire, watch for price to potentially bottom at the Fibonacci 61.8% retracement level of $127. Forward looking analyst targets are in the $120-$195 range with a $152 average

And….so….what did happen?, you ask…..

As the following chart shows, in mid-April Canadian Tire stock did hit $127 as I suggested it might. As price was probing the $127 level, Moon was passing the natal Mars point and shortly later the natal Node point.

PostHeaderIcon Venus Latitude

George Bayer was a German immigrant who arrived in New York around 1900. He arrived well versed in astrology. Soon enough he had found a broker in New York whom he would use to enter trades on Chicago Wheat futures. In the late 1930s, he took the time to document the various rules and techniques he had used over the years to earn a living trading Wheat. In the early 1940s, Bayer “retired” and was seldom heard from again. Whether he knew W.D. Gann, he never did say in any of his writings.

The following is an excerpt from the Feb 25 issue of the Astrology Letter….

Venus latitude

The planets orbit the Sun following a plane of motion called the ecliptic plane. To an observer positioned on the Sun (heliocentric astrology system), the planets will be seen to wander slightly above and below the ecliptic plane. Bayer noticed a correlation between price on stocks and commodities and the time when Venus was at maximum latitude, minimum latitude, or zero latitude.

This chart illustrates Gold prices with Venus latitude displayed in  the lower pane on the chart. I have used the drawing tool on my Optuma software to overlay the times when latitude is zero. Do you see trend changes? Using your eye, take a look at the mid-way point of the red arcs. Ask yourself – does the trend change at these mid-points? Early April should give a trend change on Gold futures price.

And….so what happened? you ask…

Well….the trend on Gold went from being generally sideways to being seriously bullish. And this happened in early April just as Venus latitude reached a low point.

Thank You ! George Bayer – whoever you were…..

PostHeaderIcon Seasonality De-Constructed

An excerpt from the Feb 10, 2024 issue of the Astrology Letter…

Search around the internet and you will find people promoting the concept of seasonality. The above chart of Wheat price is a typical example.

Look towards left side of this seasonality chart.

The suggestion is that Wheat prices will decline sharply every year in the month of March after having made a peak in late February/early March. Surely this must mean that here and now I should be planning to take a short position on Chicago Wheat futures once the month of March arrives?

Well….not exactly….

These seasonality charts are based on many years of price data. The above chart is based on 20 years of price data. Over the scope of 20 years, if several years posted strong declines during the month of March, those points would mathematically more than compensate for multiple years of modest or no significant price declines. Hence, the person viewing a seasonality chart at face value can be led astray.

As a trader or investor, how do you use these seasonality charts and at the same time stay out of trouble? The answer is to use some basic astrology.

The starting point for the application of basic astrology is to look at the first trade horoscope. In the case of Wheat, we need to study the natal horoscope for Wheat futures which started trading on January 2, 1877. (Note – Corn and Oats share this same first trade date).

The above horoscope wheel from Jan 2, 1877 shows the position of the planets. What is curiously interesting is how the Mid Heaven, Mercury, Pluto and Moon form a 4-sided parallellogram shape. I am convinced that traders such as W.D. Gann watched for bodies like the Sun, Moon, and Mars to transit past the corner points in this 4-sided geometric shape.

In 2023, the price of Wheat peaked on February 13. To the student of seasonality, this would have been unexpected because the seasonality chart calls for a peak at the end of February. So, why did Wheat peak in mid-February? At February 13, Moon was passing the natal Mid-Heaven point (and the natal Mars point). Mercury was passing the natal Mercury point in the 1877 horoscope. Two corner points in the geometric pattern in the 1877 chart! No wonder price peaked as human emotion changed.

More recently, in 2024, the price of Wheat had been trending down. In mid-January, a countertrend started but failed around Jan 24-26. Taking this to be the seasonal top, means the student of seasonality was once again tripped up because price peaked before it should have. Why did price peak in late January? Sun had just passed the natal Mercury location. Mars was passing the 1877 natal Ascendant point and Saturn was at the natal Saturn point.

The next time you see a Seasonal chart, do not just blindly accept the price turning points illustrated on the chart. The chart itself will be based on 20-30 years of data which gives a somewhat mis-leading view of things.

Instead, look at underlying planetary transit events that align to the natal first trade horoscope. These events will cause the seasonal price trend turning points to shift slightly from year to year. The strength of any planetary aspects will also play a role in the voracity of what price does at a trend turning point.

PostHeaderIcon Anticipating a Top….

An excerpt from the January 30, 2024 issue of the Astrology Report …..

‘M’ Patterns

I will conclude this issue with a quick look at the letter ‘M’. Very often, topping patterns on a price chart will resemble the letter ‘M’.

The above S&P 500 chart is presented in monthly format. Sometimes taking a step back and looking at a monthly chart will reveal valuable information.

If the current leg of the ‘M’ pattern wants to extend by Fibonacci 1.382 X the length of the 2022 down leg, this implies a target of 5300 on the S&P 500.

PostHeaderIcon A BitCoin ETF Coming?

We will know in a matter of days if the SEC is going to approve a spot Bitcoin ETF.

The astrology of Bitcoin says that this is a prime time for something to happen. I have been watching BitCoin for some time now and I can tell you it behaves in accordance with human emotion, just like a stock on the stock market. As proof of this, take a look at the following chart:

From early 2019 through to mid-2021, BitCoin soared higher and in so doing made a big double top formation on the chart. Price then declined – but look where it stopped. It retraced a Fibonacci 78.6% of the runup. When ever a stock or commodity retraces this much, there is a 95% chance that a bottom is being recorded.

Here and now, BitCoin has clawed it way back, retracing 61.8% of the massive declines. If the SEC approves the ETF, look for a push higher to retrace 78.6% of the massive declines. This will bring $60,000 into focus.

If the SEC is going to embrace the ETF, the timing is otherwise perfect. For years now, I have noticed a correlation between price swing points on BitCoin and the declination of Venus. Why this is so, I cannot explain. Call it one of the mysteries of the cosmos.

Here and now, Venus is at its declination low. Something is going to happen with respect to price trend. Perhaps the SEC approves the ETF and price rockets upward. Perhaps the SEC postpones its decision and BitCoin tumbles.

What happens in the coming days is in the hands of Venus….

PostHeaderIcon The Gov’t Chequing Account

Where does the US government keep its money?

The answer to this question used to be – in the various large banking institutions across America.

But that has changed since 2019. Now the Gov’t keeps its money in the various regional Federal Reserve banks. You can track the ebb and flow of money in and out of the regional Fed banks by looking at the following chart which is always available on the website from the St. Louis Federal Reserve bank.

As the Gov’t collects money from taxes and fees, the bank balance rises. When the chart shows the bank balance to be declining, what is happening is the Govt is maybe paying some bills but for sure the Govt is withdrawing cash from the Fed regional banks and parking it with a select few of the largest, most stable institutions (ie JP Morgan, Goldman Sachs…). These commercial behemoths then lend out this newly deposited cash to earn an interest return. Or, maybe these behemoths use the cash for trading the markets. In any case, when the Gov’t needs some cash to pay bills, it will ask that the big banks to send some of it back to the Fed.

If you look at a chart of the S&P 500, you will see (with a bit of lag) the connection between cash flowing out of the Fed regional banks and the general trend of the equity market.

What I do not know is why the Govt adopted this strategy in 2019. Does it not want to spread its money across the wider banking system? Is it afraid that there are too many mid-tier banks out there that are unstable?

I will be watching this chart as it evolves in 2024. Something ‘big’ is apparently happening….

PostHeaderIcon Retail Consumers and Farmers

In my recent newsletter writings I tried to make the case that the consumer is troubled. I based my argument on the declining savings rate in the banking system. The following chart illustrates further.

Some stock charts further add to my argument. And you can expect to hear more about the consumer situation on financial media outlets like Bloomberg. Stock charts of the big retailers are now warning of a pending economic slowdown. The media analysts are starting to clue in that there is a story here. The following chart of Wal Mart screams “slow down” with its big gap down in price.

WalMart has an IPO date of August 25, 1972. Venus plays a key role in navigating the WalMart (WMT) price chart. This seems due to Venus having been conjunct the Mid-Heaven (MH) point at the IPO date.

The nasty gap down at the right side of the chart speaks to concerns expressed by senior management. Note how the various swing pivot points on the price chart align to celestial bodies passing key points of the 1972 natal horoscope. Note how the gap down was triggered by Venus passing the 1972 natal Asc point. In the future pay close attention to where Venus is in the zodiac relative to the 1972 key natal points in the Wal Mart horoscope. I have further added (blue font) a list of dates to be alert to in the near future. These dates will help you better navigate the price action of Wal Mart shares.

Consumer weakness also appears to be finding its way into the farming community. The famous maker of green-colored farm implements and machinery (Deer & Co) traces its IPO date to January 13, 1978. In all, 2023 has not been a good year for Deere (NYSE:DE). Share price declined into late May, rebounded into July and has been falling ever since. Commodity prices are low and the cost of obtaining financing to purchase crop input supplies is rising. (I recently had a farmer in my area here in western Canada tell me his crop input loan for 2024 will be at an uncomfortable 10.1% interest.) The farm operator is getting squeezed. When a farm operator is getting squeezed, he will not be buying new farm equipment. The chart of DE speaks to this reality.

I have overlaid the above chart with events of celestial bodies passing key points on the 1978 natal horoscope. If there will be a turning point for DE share price look to December when Mars and Sun pass the natal MH point. However, the general weakness could continue until the end of Q1 2024 when Saturn finally moves away from the natal Asc point and Mars passes the natal Asc point.

PostHeaderIcon Israel, Hamas, and the Planets

The Astrology of The Situation Between Israel and Hamas

According to author Marjorie Orr in her book The Astrological History of the World, the state of Israel was founded on May 14, 1948. She cites the time of 4:00 pm (local time, Tel Aviv). The following horoscope wheel shows the planetary positions at this date. By the way – her book is still available on Amazon for a very decent price.

The attack by Hamas came at 6:30 am on October 7, 2023. Laying the horoscope wheel for that time atop the natal horoscope for Israel shows the following:

Note that Jupiter is conjunct the natal Node in the sign of Taurus.

Uranus is conjunct the natal Sun

Venus is conjunct the natal Mars point

Moon is close enough to be regarded as conjunct the natal Moon

Sun is conjunct natal Neptune

The Ascendant is conjunct the natal Ascendant at 23 Libra

Mars is conjunct the natal Ascendant

That makes 7 conjunctions. WOW! This attack was foretold by the planets; destined to happen. If you believe in a “higher Power”, this is probably a good time to sit quietly and think about the world and the how and why of geopolitical events….

PostHeaderIcon Gold – A Rough Go

Gold is having a rough time. The yellow metal seemingly does not like positive real interest rates. Nor does it like the fact that the US Dollar is strengthening. Gold is bearish in many ways right now.

The above chart shows Gold futures prices overlaid with a Pluto 4th harmonic quantum line (CS=2), a Neptune 3rd harmonic quantum line (CS=2), as well as Saturn 3rd and 4th harmonic quantum lines (CS=2). In addition, the chart has been overlaid with Jupiter 4th and 5th harmonic quantum lines (CS=18).

It appears as though Gold will test the Neptune 3rd harmonic quantum line in the near term.  Ideally, I would like to see this test of the quantum line occur along with an Astro event. October 8 will have Moon passing the 1919 Gold Fix natal Ascendant. Mars will work its way past the natal Ascendant from October 12-25. Sun will pass the natal Ascendant from October 24-31.

The Neptune 3rd harmonic quantum line so happens to also be the Fibonacci 61.8% retracement level of the October 2022 to May 2023 price rally.

If this retest occurs, get ready to buy an ETF that has Gold bullion exposure. An ETF of gold mining stocks is potentially risky because miners are getting squeezed by higher operating costs these days. This will be reflected in share price.