Saturday 8 October 2022

Stocks will continue to slide

 Issue No. 137 – Saturday 07 Oct 2022

Stocks and Gold attempt to rebound (after UK Bond market fiasco at end Sep 2022). 

A chart for US 10-Year Treasury bond yield is produced below.

The current bond yield is just below 4%. With US inflation rate of 8.1/2%, the Fed rate must be raised substantially to about 8% to seriously fight inflation. Accordingly, I expect the bond and stock markets to fall sharply in the coming months upon much higher interest rates.

Even during a bear market, bonds and stocks do not fall every day. There are intermittent rebounds.

 I expect the following:
   [1] Stocks will rebound in the coming 10 days or 2 weeks.
   [2] Thereafter, the down trend will continue.

Reasons for the rebound in coming 2 weeks

A heavy line links up 2 bullish planets (Mars and Saturn are the 2 bullish planets) forming a Bullish Long Bar. The bullish Mars-Saturn Long Bar is close to Jupiter (super Giant). Jupiter’s Curved Space stimulates the Bullish Long Bar (for a protracted period) which imbues bullish sentiments to investors. Stocks and Gold should rise.

Accordingly, stocks and Gold are expected to rebound from now for about 10 days or 2 weeks.

Reasons for continuing slide.

After the rebound, stocks should slide because of rising interest rates. The bearish feature is depicted on the above Geocentric Jupiter-centered Ephemeris.

Jupiter Fore Trojans (Jup FT) are sharply bearish when de-stabilized. Jup FT are posited at 600 behind Jupiter. On 23 Oct 2022 the Sun moves to 1500 behind Jupiter. The Sun is (150 – 60) = 900 behind Jup AT. The bearish aspect is:
       [Jup AT Square Sun].

The aspect is exact on Sunday 23 Oct 2022.

On the same date (23 Oct), the Moon moves to 1800 of Jupiter. This is another bearish aspect: [Jupiter Opposition Moon].

    Jup AT are de-stabilized by Sun
    Jupiter is de-stabilized by Moon.

The combined effect is sharply bearish, and it ushers in another bearish phase.

The market should fall a couple of days before 23 Oct 2022. Likely, the downtrend starts from 20 Oct 2022.

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