MMA Cycles Report (Meriman Cycles Report) Aug. 12, 2021
1. Review and Outlook
August begins as an important month in several markets where a price reversal at the level of the primary cycle (hereinafter PC; please refer to each section for specific timing dates) is likely to occur. In the previous report, we noted the possibility as follows: “...the weekend weeks of August 4–5 and August 20–23 are ★★★ important change days (to be discussed later), so August in particular may be a highly probable month for the top and bottom of PC in the financial and commodity markets. Saturn–Uranus waxing square remains a central time window (U.S. time February 17–December 24), and when Uranus begins to retrograde on August 19 (20 in Japan time), this planetary phase could become more active. Also, on the 20th, there will be a very powerful Sun–Jupiter opposition (180 degrees). Furthermore, the 22nd is a full moon. (Depending on location, it would be good to mark this on your calendar and go out. At sunset, as the Sun goes down, the full moon rises, with Jupiter lying beside it—an extraordinary celestial show. In this time frame, there is also a possibility of dramatic price movements (reversals) in financial markets.”
The celestial show from August 20 to 22 is still a bit ahead, but it has already become clear that the first ★★★ important change days this month, which appeared on August 4–5 within ±3 trading days, strongly influenced movements in the U.S. Treasuries, foreign exchange, and precious metals markets. These markets all appeared to form a major cycle (hereinafter MC) or perhaps the top of the PC on August 4 (i.e., the change day itself) and then rapidly reversed. Around 7:00 p.m. EDT on Sunday, August 8, gold and silver were pushed lower, continuing the previous week’s decline, and on the following Monday, August 9, the NY gold front month fell to 1,677.90. It tested the March 8 low (1,673.30), which was a new year-to-date low, and the March 30 low (1,676.50), which formed a double bottom. Silver fell further, with a low of 22.295 dollars per ounce (22.295). This was the lowest level since November 30 of last year, suggesting a high likelihood that both the PC and the long-term market cycle have bottomed. For gold, this low is highly likely to be a double bottom with the March 2023 low, representing a 31.33-month cycle bottom. Looking at gold’s chart, a similar situation occurred in March 2021, and also in November 2019 and March 2020. It is well known that gold often forms a double bottom when the PC or long-term cycles bottom.
The jaw-dropping movements in both gold and silver, described above, aligned with Uranus-related aspects (this time Venus–Uranus 120 degrees on Aug. 3 (U.S. time) and Sun–Uranus 90 degrees on Aug. 6–7). In reality, the decline did not resemble a typical corrective drop; it was an extreme move that fits Uranus’ nature perfectly. A similar pattern of “sudden reversal and collapse” also applies to the euro (vs. the dollar and the Swiss franc) and T-note futures. Each is near the point of returning to the weak trend that began at the start of the year. However, for gold and silver, the August 9 price may have been a bottom of a medium- to long-term cycle, forming a double bottom with the above March low.
Meanwhile, U.S. stock indices, as of the time of writing, rose to new all-time highs between August 5 and 6, with no signs of a reversal yet. This time, Uranus challenged the financial markets by its hidden nature. Normally one would expect a breakout above the nearby resistance followed by a reversal, but reversal did not occur. When Uranus does not reverse, near the bottoms of long-term cycles, it often breaks through long-term support and resistance to accelerate. In that sense, Uranus may have disappointed expectations. Indeed, the magnitude of these moves has been astonishing. Uranus loves surprises.
And the next Uranus surprise is likely to begin with the retrograde on August 19 (20 in Japan time).
This suggests the possibility of developments just as powerful as those formed by aspects with Venus and the Sun described above. In fact, on the day Uranus turns retrograde, the Sun will be in an opposition (180 degrees) with Jupiter, a planet of exaggeration, which could make the ensuing events even grander. In addition, the full moon shortly thereafter (the Sun–Moon opposition also arrives on August 22) can intensify the cosmic response of planetary pairs. The Sun–Jupiter opposition is one of the most important planetary-pair cycles. Also, Uranus’ stationary phase just before the retrograde may carry significant implications for financial market reversals, not far behind historic records.
Finally, August is expected to be an exciting month for trading. In other words, there is a high probability of a valuable opportunity to earn substantial profits in a short period. At the same time, it is a very high-risk month for those who lack agility and whose trading timing is not nearly perfect, as losses could be experienced.
