PLANET POWER
Moon Shine
In this installment of “Planet Power,” we will discuss the mysterious entity known as the MOON, which is not technically a planet, as it rotates around the earth and not the Sun. The Moon and Sun are actually referred to as luminaries, but we include them in this basic category. As mentioned in our new publication “When to Buy and When to Sell;” Combining Easy Indicators, Charts, and Financial Astrology (available on Amazon), the Moon has profound meaning and inferences in Astrology, as it does in the physical sciences.
Physically, the Moon is known to possess gravitational forces that controls high and low tides, with a push and pull motion, and revolves around the earth once approximately every 29 days (representing 1 month). Since there are 12 signs/houses in the zodiac, the moon passes through one about every 2.5 days, before repeating the cycle.
The Moon cycle also contains 8 phases, beginning with New (when it is invisible from the Earth’s perspective), and ending again at New, about 29 days later. Immediately following the new position is the waxing (enlarging) crescent, the 1st quarter, and the waxing gibbous, before it reaches the full position, after about 14.5 days. Full is then followed by the waning (reducing) gibbous, the 3rd quarter, and the waning crescent, before its return to new. These phases have significance, some of which will be discussed in this edition, and in future blogs.
In Astrology, the Moon rules the sign of Cancer (home, family, sensitivity), which is the 4th house of the zodiac. The Moon symbolizes the mother, emotions, image, and protection, among others. In the financial/business world, the Moon rules silver, female employees, the emotions of the market that create Fear & Greed, and the home building and improvement industries. The Moon often signifies short-term cycle market tops during the new phase, and can also signify additional market volatility, especially during aspects and transits that do the same.
The specific upcoming Moon cycle period will be met with a full Moon positioned in the sign of Sagittarius on May 23, and a new moon positioned in the sign of Gemini on June 6, during Gemini “season” (see our upcoming Sign Language - Gemini blog on 5-8-24). The full position is when the Moon tends to “shine” as it is in the opposite position of the Sun, exposing its light and energies. The new position each month occurs when it is aligned with the Sun, which blocks out its light, making it “invisible” to the eye from the Earth’s perspective.
There are many professionals that utilize the moon phases and transits for day, and short-term, trading, although this concept is not widely revealed. One of the leading trading platforms, Trading View, currently has an indicator built in, solely dedicated to “Moon Phases,” complete with technical charts. There are many courses involving Moon trading as well, as this concept dates back to famous financial astrologer Louise McWhirter, the individual also responsible for the theory of the North and South Node business cycle (see our publication for more details), about a century ago.
Not all equities will follow the “new-Moon top” pattern of course, but two of note are the financial stock Ares Management Corp (ARES) and Bitcoin!
Ares Management Corp. has been in a steady uptrend for the past 5 years, with a long consolidation period in 2022, which “outperformed” most stocks in a heavy “down” year for equities. More notably, however, is the “new-moon top” pattern that it has consistently followed. Over the last 10 cycles, from the June 5, 2023 full Moon through the recent April 9 new Moon, the stock’s price has closed higher on the date of the new Moon, than it did on the preceding full Moon date, on every occasion, with an average gain of about 8%! The cycle highs and lows do not always occur on the exact new and full dates (but are always within a day or two). Not all moves are significant in price differential, but the stock has been a trader’s dream, if they traded this pattern. The stock was priced just under $135 on the most recent full Moon (April 24), and on the date of this blog, as the May 7 new Moon was approaching, the stock price was again rising. Extending over 5 years, the pattern also holds true consistently, save for once or twice when the price was flat. The 2-week period following the new Moon generally suffers some type of loss before it turns upward again.
Bitcoin tends to follow the same pattern, although it experiences much wilder price swings, and has experienced more “flat” periods. Though no investment, or trade, are 100% guarantees, these two equities have been highly successful for quite some time with the new-Moon top pattern.
Maybe it is more accurate to say - Beware the NEW MOON!
Please stay tuned for future blogs regarding the Moon cycles and energies.
***Full Disclosure – we do hold long positions in both Ares Management (since February of 2020), and Bitcoin (since 2018).
***This information is not intended to be financial advice, but rather a guide to assist the reader in some further understanding of movements in the sky, and how they can correlate with moods, behaviors, world events, and financial markets.