Sep 22, 2024 Exalted Mercury Combust: Stock Market Expected to Trade Flat with Reduced Volatility

The S&P 500 closed at 5702.55 on Friday, September 20, 2024, after reaching an all-time high of 5733.57 on September 19, 2024. Fed Chair Jerome Powell announced a surprise 50 basis points interest rate cut ahead of the US presidential election. Jupiter’s aspect on Ketu and the Sun caused the market to rise last week.

Mercury will enter Kanya Rasi Midnight Sunday 09/22 New York Time. Mercury gets exalted on this sign but makes conjunction with Sun will make it combust. Mercury will receive a beneficial aspect from Jupiter, which is usually bullish. However, the conjunction of Ketu and Mercury is considered very bearish for the stock market.

Monday could be choppy session at market open. Both calls and puts premumum will be wiped out due to Jupiter and Moon Conjunction. It is better to stay in cash for Monday.

There will be significant move down for Tuesday and Wednesday. S&P 500 could reach around 5617 or slightly below by Wednesday Sep 25, 2024.

Market may start move up on Thursday and Friday to negate the mid-week bearishness. Eventually I see market will close near 5657.

If I am correct, this week could be very punishing week for options buyers. If the market closes near flat by Friday Sep 27, 2024, then the week of Sep 30, 2024 could be brutal and looks bearish.

I am happy to share the good news that my predictions about 2024 Srilankan Presidential Elections came true this weekend.

FOMC Interest Rate Decision: Suprise 50 basis points rate cut.

On September 18, 2024, the Federal Reserve is expected to cut interest rates by 50 basis points, bringing the federal funds rate down from to 4.75%-5.00%. Lunar eclipse helped the market to rally towards all time high on Sep 19, 2024.

Bitcoin

Bitcoin is trading currently around 63,000 on Sunday Sep 22, 2024. Bitcoin could drop to 54,000 level in the next week or the week after. For short term traders and speculators may consider taking long position on bitcoin at 54,000 level below.

Gold Price

Gold is trading currently around $2622 on Sunday Sep 15, 2024. I see gold is expected to trade between 2416 and 2816 this week.

Weekly Trading Forecast

Date	Forecast	Confidence Level
Mon Sep 23, 2024	Jupiter and Moon Conjunction, could be a frustrating and depressing day. Stay in cash as I see choppiness in the market.	75%
Tue Sep 24, 2024	High energy day, with Mars being activated. Market could move down 60-80 points down today. It is okay take a small position on both sides, more on bearish side.	75%
Wed Sep 25, 2024	Tuesday trend follows and may have reversal towards the end of the day. It is a good idea to close your positions.	75%
Thu Sep 26, 2024	If the market was down for this week, market will start recovering today. You will be better off staying in cash.	75%
Fri Sep 27, 2024	Another choppy and bullish session. If the market is with in 1% - 2% down from all time high, then market could go very bearish from Sep 30, 2024 ahead of solar eclipse next week.	80%

Expected Trading Range for this week

Ticker	Bearish Trend	Bullish Trend
SPY	568.25 - 559.55 - 553.25	568.25 - 573.55 - 577.70
QQQ	482.44 - 471.22 - 462.11	482.44 - 491.22 - 503.51
NIFTY50	25,790.95 - 24,980.55 - 24,670.35	25,790.95 - 26,180.55 - 26,470.35

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