Financial astrology

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Financial astrology (also known as business astrology, economic astrology, and/or astro-economics) is a pseudoscientific practice of relating the movements of celestial bodies to events in financial markets. The use of astrology in financial markets is not consistent with standard economic or financial theory, but might be considered heterodox economics[citation needed], but has been used in various formats since 463BC.[1]

Hard dates are rarely given, rather, advice is given based on which astrological sign is 'rising'. Long term predictions are made using more traditional methods of looking at prior history and making mathematical predictions based on patterns relative to astronomical events.[2][3] Critics have pointed out that some astrological events that have been used in predictions occur so rarely that they may have never happened before within a human lifetime, thus having no precedent on which to predict results.[3]

In 1992, 1994 and 2008, a magazine by the name of Wall Street Forecaster was named as one of the top forecasters on Wall Street, as the superstition was being leaned on for luck.[4][5] It was also rated the second best performing forecaster in 2002.[4] It was reported that some clients asked for their copies to be delivered in 'brown paper' to avoid mockery.[5] As of 2001 the Astro fund trading company, which handled $3.5-5 million worth of investor assets, claimed 10-15% of fund managers were using their service or a similar company.[6] The majority of the market demand for this service has come from the US and Japan respectively.[7] In 2000, Bloomberg News was host to a weekly show dedicated to financial astrology.[7] The 2000 financial crash led to a surge in companies and investment bankers using the services of financial astrologers.[8][9]

Examples[edit]

The Rothschild cycle[edit]

Last but not least, there is a sinusoidal cycle of 40 to 41 months. According to the Foundation For The Study of Cycles, this cycle was discovered when a New York firm hired a mathematician to discover the secret of the Rothschild’s investment success.[10] This cycle shows up as a sinusoidal wave, i.e. up for 20 months, then down for 20 months. This cycle was extremely dominant in stock market data from 1871 to 1946. The Astronomical correlation is 60° synodic movements оf Jupiter & Saturn: 30° up and 30° down.

The nodal cycle[edit]

A sinusoidal cycle that has a strong market effect is 90° of the Lunar North Node.[10] For example, at the July 8, 1932 Low, the Node was at 20° Pisces. Since the node is always retrograde, subtract 90° gives 20° Sagittarius , which occurred on March 8, 1937, two days before the exact high. Subtract another 90° gives 20° Virgo, which happened on November 2, 1941, etc.[11]

The Neptune cycle of hyperinflation[edit]

According to financial astrologer Bill Meridian,[12] inflationary periods in the market coincide with Neptune's journey through fire signs while deflationary periods tend to be related to Neptune's trek through earth signs. The table below depicts this relationship:

Period Sign of Neptune Element The Market
1807-1820 Sagittarius Fire Period of growth, inflation, and speculation. Boom ended with collapse in 1819.
1820-1834 Capricorn Earth Second Bank of US gradually imposes restraint on a chaotic banking system. Slow and managed economic growth.
1861-1875 Aries Fire Inflation and speculation. Collapse in Sept. 1873.
1875-1888 Taurus Earth Contraction of the money supply led to the deflationary 1880’s.
1915-1929 Leo Fire The boom known as the Roaring Twenties.
1929-1942 Virgo Earth The Great Depression. Loss of blue collar jobs.
1970-1984 Sagittarius Fire The 1970s inflation which was fueled by Nixon taking the USA completely off of the gold standard. It is magnified by 3 Jupiter-Neptune conjunctions. The 1980 Jupiter-Saturn conjunction brings the 1980-1981 recession.
1984-1998 Capricorn Earth Reagan and Volcker wring the inflation out of the system. Loss of white collar jobs.
2025-2039 Aries Fire Next big inflation.
2039-2053 Taurus Earth Next big deflation.

The 18-year Saturn-Neptune cycle[edit]

There is a 18-year sinusoidal wave cycle in the U.S. Stock Market, and it is related to the 180° synodic cycle of Saturn and Neptune:[10]

  • The angle between Saturn and Neptune was 118°18’ at the September 1929 top, and they moved 180° to an angular separation of 61°41’ in March 1947.
  • Eighteen years later, the angle between Saturn & Neptune return to the beginning value of 118°18’ in January 1966.
  • Adding another 180° takes us to October 2, 1982 when the planets are separated by the angle of 61°41’ again.
  • On June 24, 2001, the angle was once again 118°18’ completing an 18-year up-сусlе that began in 1982.

The 120° harmonics of this cycle are also strong. For example, adding 120° to the March 1929 top gives December 1941, a major stock market low which was 2 weeks after the Japanese bombed Pearl Harbor and effectively ending the Great Depression.

Criticism[edit]

Large financial firms tend to ignore financial astrology. The practice was used by Goldman Sachs in a paper released in 1999, focussing specifically on the correlation between eclipses and the state of the financial market at that time. Though floated as an idea by the company at the time, analysis showed that random data produced similar results.[13] A 2007 study by The British Association for the Advancement of Science conducted an experiment wherein a financial astrologer, professional investor, and five-year-old child, were asked to invest £5,000 on the FTSE100. The child earned the most money, with the financial astrologer taking the heaviest losses.[14]

References[edit]

  1. ^ Slotsky, Alice Louise (1997). The Bourse of Babylon: Market Quotations in the Astronomical Diaries of Babylonia. Michigan: UMI Dissertation Services. ISBN 1883053420. 
  2. ^ Starich, Karen (May 30, 2012). "Financial Astrology: The Key to Future Investing". Benzinga. Retrieved January 12, 2015. 
  3. ^ a b Inthirarajah, Arul (August 15, 1992). "How to read the planets". Business Times. Singapore. 
  4. ^ a b Storr, Will (December 1, 2013). "Could the stars predict the markets?; The position of the planets doesn't make a share price plummet. Or does it? This is what 'financial astrologers' claim -- and many traders believe them, finds Will Storr". The Sunday Telegraph. London. pp. 14–15. 
  5. ^ a b Anchor: Deborah Norville (January 9, 1994). "Investors Look to Stars for Guidance". Event occurs at 6pm EST. CBS. CBS Evening News.  Missing or empty |series= (help)
  6. ^ "Managers Turn in to Horoscope Know-How; Wall Street Stars: Astrologers Forecast a Heavenly Return". Birmingham Post. March 17, 2001. p. 28. 
  7. ^ a b Lee, Sandra (August 5, 2000). "Star advice for kooky investors". The Daily Telegraph. Sydney, Australia. p. 33. 
  8. ^ Jarvis, David (February 8, 2009). "The stars rescue our banks". Sunday Express. p. 21. 
  9. ^ Krantz, Matt (May 26, 2000). "Stars above! Some investors seeking astrological guidance -- really". USA Today. p. 1B. 
  10. ^ a b c Ferrera, Daniel T. (2001). Mysteries of Gann Analysis Unveiled!. Sacred Science Institute. 
  11. ^ McWhirter, Louise (1977). Astrology and Stock Market Forecasting (2nd ed.). New York: NY: ASI Publishers. ISBN 978-0882310343. 
  12. ^ Meridian, Bill (1985). "The Horoscope of the Federal Reserve". BillMeridian.com. Retrieved 10 Feb 2018. 
  13. ^ Bulsara, Hament (March 18, 2001). "If Crystal Ball is Cloudy, Just Turn to the Stars". The Toronto Star. 
  14. ^ "Star fad takes the pisces". The Sun. England. June 26, 2007.