Signs indicate that markets could come out swinging in 2020, reports Susan Gidel.
Mercury, the planet that rules trading and stock indexes, is in the holiday-week spotlight. On Monday, it is 120 degrees away from Uranus, which could spark year-end trading volatility as books get squared away.
First thing in the New Year, Mercury is conjunct Jupiter on Jan. 2, which could mean big volume from the get-go in 2020. On Friday, Jan. 3, that activity could hit a speed bump as Mars moves out of its ruling sign of Scorpio into a new sign, Sagittarius. However, that sign change could signal increasing interest from foreign traders.
Holiday Trading Hours
NYSE—New Year’s
Closed on Jan. 1
CME Group (Globex) New Year’s
- Equities, Bitcoin, Interest rates, FX, Energy, Metals, Softs close at 5 p.m. (EST) on Dec.31; open at 6 p.m. on Jan. 1
- Grains close at 2:20 pm on Dec. 31; trade PCP 3:30-5 pm on Dec. 31; open at 8:30 am on Jan. 2
- Livestock close at 2:05 p.m. on Dec. 31; trade PCP 3:30-5 p.m. on Dec. 31; open at 8:30 am on Jan. 2
- Dairy close at 2:55 p.m. on Dec. 31; open at 6 p.m. Jan. 1
Tuesday, Dec. 31
- High in Gold: Because this is the gold futures market’s 45th birthday, the transiting Sun is exactly conjunct the market’s first-trade Sun. Like any birthday, there is a lift to the day, which this year is enhanced with transiting Jupiter and Mercury alongside the Sun. Also supportive is that transiting Venus is opposite the market’s natal Moon, with the transiting Moon conjunct the market’s natal Jupiter. The Saturn planetary price conversion level of $1,545 per oz. remains upside resistance in February gold, then $1,573 to $1,581.
Friday, Jan. 3
- Low in Soybeans: Final pressure on the market’s first-trade Sun could come from two directions. First, the transiting Moon is opposite the natal Sun. Second, the transiting Sun, Jupiter and Mercury are at a 90-degree angle to the soybean Sun, with the Sun at the same degree. As an exclamation point, transiting Mars is at 00 Sagittarius. In March beans, look for support at $9.38 per bu., then $9.03-$9.12.
Last Week’s Scorecard (through Friday’s close)
Bullseye!
- Low in 10-year Treasury note on Friday, Dec. 20: The March contract scored a low of 127-310 and closed at 128-080, just above planetary price conversion support of 128-05. The March contract rallied to 128-215 by Friday, December 27.
Pretty Darn Good
- High in S&P 500 on Friday, Dec. 20: The S&P 500 gapped higher to a new record high of 3225.65 and closed at 3221.22, very near the end-of-cycle price conversion level of 3223, the day before a potential trend-changing winter solstice. But, the market continued to climb into the following week, scoring new record highs on three out of four trading days, hitting 3247.93 on Friday, Dec. 27.
- High in Gold on Thursday, Dec. 26: February gold capped a three-day, $36 per oz. rally at $1517.40 per oz. Prices moved another $2.50 higher on Friday, Dec. 27.
- Low in Soybeans on Thursday, Dec. 26: March soybeans made a low on Friday, Dec. 27 at $9.38 ¼ per bu., just 25¢ above planetary price conversion support. On an outside trading day, March beans closed at $9.41 ½.
The position of planets in the sky as they relate to their positions when a market first began trading can provide clues to potential trend changes. The energy is strongest on the days noted in this post, but it is not unusual for the effect to be seen a day or two either side. See backgrounder “Market Analysis with Astrology” for further information.
Susan Gidel is editor of the Red Letter Trading Days newsletter.
