Capricorn Trades

You may know that Jupiter is about to join Saturn and Pluto in Capricorn.

If the past is any indicator of the future – things aren’t looking good!

Consider this chart for the Dow noting that Jupiter moves through all twelve signs in approx. the same number of years – so this chart is based on 12 orbits. From the geocentric perspective, Jupiter move into Capricorn on December 3rd.

Dow Jones Jupiter

This next graph shows Saturn moving through the sign. It takes Saturn almost three decades to tour the zodiac so this chart I based on just 4 complete orbits. It’s interesting nevertheless. Saturn has been moving through Capricorn all year and doesn’t leave until December 20th, 2020

SATURN DJI

Clearly we could be in for tough times in 2020

I have been looking for short term trades.

Sun-Mercury conjunctions in Capricorn:

  • Dow Jones Index is most likely to advance into a Sun and Mercury conjunction in Capricorn (this can occur either before or after close of year as the Sun moves through Capricorn between approx December 21st and January 21st)
  • A possible trade is to purchase at previous Sun-Mercury conjunction and sell at the Capricorn alignment.
  • On the last 10 occasions – since 1990, – this would have brought profit 90% of the time. For brevity I note just the last few years:
  • 2008 no Capricorn conjunction
  • 2009 no Capricorn conjunction
  • 2010 buy at 1069 sell at 1136 gain = 67              2%
  • 2011 no Capricorn conjunction
  • 2012 no Capricorn conjunction
  • 2013 buy at 1386 sell at 1485                  gain = 99              1%
  • 2014 buy at 1761 sell at 1841  gain = 80              5%
  • 2015 no Capricorn conjunction
  • 2016 buy at   2083       sell at 1921          loss = 162             -5.6%
  • 2017 buy at 2133  sell at 2249 gain = 116            4%
  • 2018 and 2019 no Capricorn  conjunction

There is another Sun-Mercury conjunction on January 10th 2020 – also a Full Moon and arguably a lunar eclipse.

If the conjunction did not coincide with the Full Moon, I would have advocated purchasing the SPX some weeks ago ready for an advance in January.

Yet all is not lost! Mercury at 24 Capricorn

  • George Bayer suggested that this was one of Mercury’s sensitive degrees – marking a probable top.
  • A strategy testing this: buying when Venus was at 24 Libra (at right angle) and selling as Mercury reached this point revealed the following:
  • 2013 buy at 1359 sell at 1472 gain = 113 = 8.3%
  • 2014 buy at 1655 sell at 1838 gain = 183 = 11%
  • 2015 buy at 1904 sell at 2058 gain =154 = 8%
  • 2016 advised no trade as Sun con Me and RX
  • 2017 buy at 2163 sell at 2297 gain = 134 = 6%
  • 2018 buy at 2587 sell at 2872 gain = 285 = 11%
  • 2019 trade not advised as coinciding with lunar eclipse (would have been a loss)

For Mercury’s alignment at this degree in 2020, I would suggest that there will be marked growth into this event – notwithstanding volatility at the Full Moon on January 10th. That growth should be seen between Venus’ arrival at 24 Capricorn (Sunday) December 15th  (so purchase either on Friday 13th or on Monday December 16th ) and Mercury’s arrival at 24 Capricorn on January 13th 2020.

We shall see