Wall Street Next Week July 2, 2001

WALL STREET, NEXT WEEK

Financial Astrology for successful investors and traders"

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WALL STREET, NEXT WEEK: July 2 2001
FINANCIAL ASTROLOGY FOR THE SUCCESSFUL INVESTOR AND TRADER

1. MARKETS
2. UP STARS/DOWN STARS
3. ASTRONUT
4. QUOTES
5. ON THE WEB
6. LETTERS

HAPPY CANADA DAY AND US INDEPENDENCE DAY

“Imbalances in the US economy, - the huge current account deficit, high private debt and low savings” has to be addressed according to the annual report of the BS- the central bank’s central bank. They warn the US economy risks a hard landing unless growth picks up elsewhere in the world.
Some politicians are upset that many Americans will save rather than spend their $600 tax refunds, while this would make most central bankers happy. You can’t please everybody, can you?

This week is George Bush’s 55th birthday. In what should be an auspicious numerological year, on his Washington relocated solar return, we find his natal Saturn Square the Ascendant in his ninth house along with his Sun. Forecast: “reality will bite him” unless he grows up.

Recently, John Davidson, chief investment officer with Circle Trust, likened current economic conditions to last week's solar eclipse in Africa:
"At the depth of darkness, only the fringe of light was visible and I think that's where we are in the economy right now. We're in the depth but we see these fringes of light."
Friday, the government revised down its estimate of growth in gross domestic product, or GDP -- measuring total economic output within U.S. borders – to a 1.2 percent: exactly our Forecast given last year. Our 2Q forecast of 0.45 remains, but could be a dash on the high side. This week will be posting for platinum and institutional subscribers our forecast for Q3 and Q4 2001, as well as Q1 and Q2 of 2002. While it is obviously less than the 3% growth forecast by supporters of US tax cuts, it IS none-the-surprising and unique.
WSNW readers are advised to be watchful of this week’s July 5th Lunar Eclipse action in Tokyo.

IS 90% ENOUGH?
Numerous large and small TMT stocks, e.g. Nortel (NT), Lucent (LU), USIX, Palm etc. stocks are down 90 percent from last year's highs. Yet tech sector earnings are expected to be down ONLY 40 percent this year. While their slide may not be over, for companies that will survive past 2003, it is not that far away.
Many market watchers are now predicting that recovery will not occur before 2002. Are they finally looking at the sky for guidance and tracking the Saturn-Pluto oppositions that begin this August and end May 2002? Our current advice remains: RAISE CASH – TRADE MORE

KEYDATES: July 5
DJIA: 10500 Pivot
NASDAQ: 2170 Pivot
NIKKEI Accumulate
US $: Sell
British Pound: Accumulate

2. Last week, analyst Kim Alexy noted that IBM was one of the few technology companies not to admit that the global IT spending slowdown is hurting their business. "We maintain our belief that market forces will pressure the company, and that the company will need to lower growth expectations for the second half.” I disagree. Study their horoscope, Kim; they are one of the few BIG winners. While we sold out at 118, we maintain our long term accumulate at 105 OB for 130 (18 month target).

3. Recently I have mentioned IRELAND and the UK an increasing number of times due to the Summer Solstice eclipse and the cheap pound. It is also due to the British worker. Antony Dixon of High Wycombe, Buckinghamshire, has invented a £650 desk that can turn into a bed in a minute for workers too tired to drive home from the office. There are even more reasons to be “high” on the city. Luminar Leisure, Britain’s biggest chain of bars and clubs, is set to sell fresh air for the price of a pint of lager. Each 'hit' of air offers customers a sensation of elation, arousal and euphoria. GW pharmaceuticals (AIM) is set to become the world’s first company to derive a medicine from cannabis. Will the FTSE follow and start smoking as well? We are waiting for a failing retest of March lows of 5279-5500 and keeping the champers chilled.

Look westward: Irish voters recently rejected the EU expansion treaty, but they have GOOD GRIEF. Dublin-based Rom Massey & Sons offers the first rent-a-casket scheme in Irish history - families who opt for cremation can now have their late loved one placed in an inexpensive casket, which in turn will be placed in a handsome oak coffin worth $2730 for the service. Once the service is over, the deceased is privately cremated in the inexpensive casket, leaving the pricey oak coffin free for another bereaved but penny-wise family. Clients pay $130 for the inner casket and $185 more for renting an oak coffin, saving over $2,000 and "a whole load of grief," says owner Keith Massey.

"When I told people the coffin was going to be burned as well, they would say, 'Oh, I see.' They were literally burning their money," he said. "This allows them to have something that looks great for the service without costing much." While this scheme does help lower the high rate of Irish inflation relative to the EU, with the possible exception of ERIN, we believe think there are better bargains globally in 2001/2002, given we agree with the Irish Central Bank that growth is likely to fall to 6.5 percent, down from an eight-year average of 8 percent.

Coincidentally, as WNSW racing fans already know, the Irish greyhound board banned the use of Viagra on grounds that it can make dogs run faster by speeding up their heart rate. One racing source said that Viagra was "the greatest thing since sliced pan (bread)." Brian Jones, an Irish vet specializing in greyhounds, said he was "dubious" of the effects of Viagra on greyhounds. Although, this cannot bode well for Pfeizer (PFE) stock, we maintain our long term hold rating none-the-less on it.

4. “If a private company kept its balance sheet the way Washington does its officers would be facing jail time.
Steve Forbes, Editor-in-Chief Forbes
HW: Yes, another good reason to keep one eye on the exit while holding US$ assets.

"What investors are looking for is the bottom. They want people to say, 'Orders are at their low, and it is going to go up from here. And that is when they step into this market. Until that happens, rates alone are not going to be enough to sustain a rally.
Uri Landesman, chief investment officer, AFA Management Partners
HW: True, and we don’t see the next intermediate term bottom this week.

There are some fundamental underpinnings to see things getting better going forward. It's hard to see things get worse [for gold].
Joe Sterling, a manager, American Century Global Gold fund
HW: Plus we will soon be in the sign of Leo, gold’s own.

5. GoldMoney is an online payment system that combines the world's oldest money, gold, with Internet technology to provide a safe, easy and inexpensive way for anyone to transact business 24 hours a day. Payments are made electronically using GoldGrams™, which are grams of gold that circulate world-wide through the Internet, e.g. recently it cost 1.7 ounces of gold to buy a $450 Palm Pilot at Amazon.com. If, and that could be a big if, this system is really legit, reliable and secure, it might be a preferable to coins for small investors who want to own gold.

6. READER: I know you have been looking at the eclipse for a Japan catalyst. From my work - a Japan turnaround between now and July 6/7 is likely - if it keeps going past then I have no strong timing until August 5 - Saturn/Pluto.
HW: Japan pre-eclipse 12,675, which is holding. This week’s Lunar eclipse should be critical.

READER: I have two downside targets on US$ 115.42, 112.27.
HW: WSNW readers know our P3 target is 108.

READER: I recently bought some RTOKY at 31.95. Happily it's been holding its own. Where do you see a top for this stock?
HW: 35 is obvious resistance.

READER: I just sent you an email article from The Motley Fool {How to Value Young Companies: http://www.fool.com/portfolios/rulebreaker/2001/rulebreaker010514.htm}about how to evaluate young companies. I thought you might find it useful in reference to IHI.
HW: It seems to me IHI* wins on both counts of competitive advantage and the promise of minimal future spending needs.

READER: What is the link to your weekly radio broadcast?
HW: Either http://www.abslive.com or http://www.afund.com/marketcomments.htm

READER: Re: "June 28, Mercury is going SD. The big question is what will investors be thinking after that?" What the heck does this mean??? Are we to translate cryptic?
HW: This means the answer is NOT clear. Investors will be thinking differently then. We don't know exactly what beyond the timing at this moment.

Subscribers please send your comments, questions and suggestions to LETTERS.
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Subscribers please send your comments, questions and suggestions to Letters.
Silver Investing subscriptions $360 one year; $600 two years; new subscribers 3 month $125.
Gold trading subscriptions $1500 one year; $2500 two years; $500 Quarterly.
Platinum edition for money managers $7500 per year; $2500 quarterly.
Institutional rate is $2500 per month.

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PAST WALL STREET NEXT WEEK REPORTS
Thursday, listen to our ABS radio program TRADING BY THE STARS. (c) 2001 All rights reserved. The Astrologers Fund "Always a Stellar Performance"
wsnw@Afund.com 212/949-7211 Fax 212/949-7274 370 Lexington Avenue, Suite 416 New York, N.Y. 10017-6503
Author: INVESTING BY THE STARS, THE STUDY OF ASTROLOGY,TRADING BY THE STARS (01)
May 17-19, 2001 Tenth Annual Astrology & Stock MarketConference NYC

DISCLAIMER: PAST RESULTS ARE NOT NECESSARILY INDICATIVE OF FUTURE FORECASTING ACCURACY OR PROFITABLE TRADING RESULTS.
INVESTORS ARE REMINDED TO PERFORM THEIR OWN DUE DILIGENCE BEFORE MAKING ANY INVESTMENT DECISION. ALWAYS INDEPENDENLY INVESTIGATE AND FULLY UNDERSTAND ALL RISK EFORE MAKING ANY INVESTMENT.
The Astrologers Fund Inc. Accepts No Liability Whatsoever For Any Loss Arising From Any Use Of Its Report Or It's Contents. The AstrologersFund Inc. Or Its Clients Usually Holds Positions In The Stocks and/or MarketInstruments Mentioned And May Buy Or Sell At Any Time Without Notice depending on market conditions and personal financial conditions. This InformationIs In No Way A Representation To Buy Or Sell Securities, Bonds, Options Or Futures. This information is not intended to be used as the sole basis of any investment decisions, nor should it be construedas advice designed to meet the investment needs of any particular investor.
ALWAYS CHECK WITH YOUR LICENSED FINANCIAL PLANNER OR BROKER BEFORE BUYING OR SELLING ON THE RECOMMENDATIONS OF THE ASTROLOGERS FUND Inc.
* IHI is an AFUND client.
** We will be reporting on Cancall (O.CCCA) aka Screenphone in July. This is a company that I received 2 million shares (free) with 10 million additional shares optioned at .02. I have also bought in the open market for clients and myself. Naturally I am MOST eager to see them become VERY successful.
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