The week that marks history

Nestled wave 3's, coupled with infamous mercury retrograde, made worse with wild swings associated with heliocentric mercury in Sagittarius. And there you have it, the recipe for volatility and freefall.

On April 26, US indexes marked their high. At a intraday high of 11,258 on dow jones, it was also near to the fib 61.8% target. April 26 happens to be the date of 4th pass of the Saturn-Uranus opposition. The past 3 passes showed similarities where the market made a crest and fell thereafter. Will the final 5th pass follow the same route ? I bet so.

May 19 marks the day when Venus enters Cancer, setting off the Cardinal Climax. I mentioned in my earlier article on the Cardinal Climax and its implications. This summer is all about debt, social mood, the grand opposition of Saturn and Uranus, where Saturn represents the authority, the government. And the last week of May sees the 20 year opposition between Jupiter and Saturn coming into effect. This is the time to either make big money, or lose big. Place your bets wisely.

Fat finger error ? Debt ridden europe catalyst ? Correction long overdue ?

Coming back to the charts, technical charts showed damage, it has the look and feel of P3 or Wave C. Whether or not, this is the start of the next bear leg, or merely a bull market correction, is yet to be known. Only time will tell. Target for stops should be at SPX 800-900, which should take a couple of weeks to complete. Last night's action showed a symmetrical triangle, which is a wave 4. This means we may still have a downleg to complete wave 5 before we actually see any meaningful rebound.

In all these rush and gush, jpy is growing strongly against the euro. Is Japan ending their 20 year bear market and starting the next big bull ? My gut instincts tell me so, the currencies market are telling us so. While the west struggle with their debt problems, the east is consolidating and slowly emerging as the next leader. This shift of power, the theme of this crisis.