Jul 27, 2009 - Issue #173

Obama finished?

This past Saturday 7/25, my Congressman, Tim Murphy (R) Pennsylvania, held a town meeting at the Peters Township Municipal Building for the purpose of hearing his constituents feelings about Obama's proposed Health Care Reform bill. I don't know what was said because I couldn't get near the place, it was so packed! There was absolutely no place left to park. I suspect he heard an earfull and I further suspect that Obama, and the 'Progressive' radical Liberal Democrats that support him, couldn't get elected to 'dog catcher'. I expect, any moment, Hillary Clinton to resign State and actively oppose Obama in the 2012 election.

CNBC, even in the midst of a surprisingly good 'earnings season', has had some contributors put forth the thought this market smelling Obama 'blood in the water' and rising as a consequence. One veteran floor trader also noted, for what it's worth, the simultaneous occurance of several astronomical events (new moon, solar eclipse, etc.) we needed to get through (interesting). Whatever the reason, 73% of the Dow components are in rising trends.

Heads Up

W. D. Gann, a keen market observer, although not an astronomer, nevertheless, was fascinated by the apparent coincidence of important market 'pivot points' and astronomical dates. Theories exist for estimating time and price of important market turning points but astronomical occurrences are computed with mathematical certainty.

There is no logical reason why these occurrences should coincide yet, empirically, they have. The 'Full Moon' and 'New Moon', among others, have been cited. Therefore, one might be well advised to be aware of their occurrence. Note: The first 5 business days of 2008 concluded on a 'New Moon' and we all know how that worked out. Coincidence?

8/5 Wednesday - Full Moon.

8/20 Thursday - New Moon.

During the next two weeks, the following Dow components report earnings. Keep a sharp eye out for possible price swings leading up to 'earnings day' (Subject to revision):

7/27 VZ.

7/28 Transportations) OSG, NSC.

7/30 DIS, TRV, XOM. (Transportations) YRCW.

7/31 CVX.

8/4 KFT, (Transportations) EXPD.

8/5 CSCO, PG, (Transportations) OSG.

Dow score card for the week ending 7/24/09.

DJ-30: 9093.24 +349.30 +3.99%. The Real World (arithmetical) DJ-30: 40.11 +1.54 +3.99%.

UP: 24, Down: 6.

Trends (weekly charts): This is the subjective part.

Rising (Generally Higher Highs/Higher Lows) 22 (+5) 73%:

+*AA, AXP, +*CAT, CSCO, +*CVX, DD, DIS, HD, HPQ, IBM, INTC, JNJ, JPM, KFT, MMM, +*MRK, +*PFE, +*T, +*TRV, +*VZ, +*WMT, +*X0M.