WALL STREET, NEXT WEEK
Financial Astrology for successful investors and traders"
  
 
Subscription rates investing edition are $360/annual; $125/Quarterly.
Subscription rates trading edition are $1500/annual; $555 Quarterly.
Subscription rates money managers edition are $10000/annual; $3000 Quarterly;
Institutional rates are $3000 per month; $25,000 annual.
Stop reading Wall Street, Next Week, last week: YES, I WANT  TO SUBSCRIBE  

WALL STREET, NEXT WEEK: DECEMBER 20, 2004
FINANCIAL ASTROLOGY FOR THE SUCCESSFUL INVESTOR AND TRADER


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

1. DOW 10,000 BEFORE 11,000? 400 GOLD BEFORE 500? 
The S&P 500 and Nasdaq reached a three year high last week. At the same time, the dollar fell on news that net inflows into U.S. assets are insufficient to offset the current account deficit.  Ahead, Mercury changes direction on Monday, and Tuesday begins the Winter solstice. Thereafter expect holiday trading games until New Year’s.  Place your buy and sell orders well below and above the current market. Then forget about the market, and enjoy eggnog and champagne, depending on the particular holiday venue.

OH CANADA
The Fed says inflation and longer-term inflation expectations remain well contained. I don’t agree. Meanwhile, US Small business optimism climbed to 20-year high in November. I don’t know why. I prefer the financial safety of our northern neighbor, Canada. While their trade surplus is shrinking, it remains positive, unlike the US with a record deficit of $55.5 billion. Previously, we raised the C$ Currency value from .78 to .83. It then rose to reach most Canadian bank 2005 targets of .85 and then, getting ahead of itself, naturally reversed and started dropping. Last week’s poor export news moved it to test .80. Clearly from our viewpoint, it is a strong buy .7850 to .8050. Canada's Power Book - 50 Top Income Trusts is one place to look.
WSNW subscribers can review our newly revised S: 2005 CANADA post.

NASDAQ TO OFFER $100M IN SHARES: A STELLAR OPPORTUNITY OR CLASSIC SIGN OF A TOP?
The Nasdaq is jumping into the gold rush to sell shares of itself to the public, getting a head start over its rival, the New York Stock Exchange. Will investors profit as much as buying the shares of the Chicago Mercantile Exchange [CME], which have risen over 500% in 2 years. Is this a stellar opportunity or classic sign of a top? We eagerly await the opportunity to analyze it IPO horoscope!

TRADERS:          Holiday week trading.
INVESTORS:     We continue to place orders for last minute tax-selling December dump bargains.

KEYDATES:    DECEMBER 20, 21, 22
DJIA:               10400 SUPPORT 10738 RESISTANCE
SPX:                1200 PIVOT   
NASDAQ:       2155 PIVOT
OIL:                 43 PIVOT
GOLD:            435 S1 425 S2 415 S3 440 PIVOT 460 RESISTANCE

SIDEWAYS Market Marker Sentiment: Initial Worry, then Rally, ending Flat.
DON’T BUY AND HOLD: BE LIQUID WITH A BALANCED AND DIVERSIFIED PORTFOLIO!
12/31/2003 EOD:      DJIA 10453   NASDAQ 2003 SPX 1111.
October Lows:          DJIA   9660,  SPX  1090 & NASDAQ  1899
DIJA:                        3 ~ FV 0 UV; 4 offer 4%+ Dividends.
While the internal Stock Market astrology, as in 2003, is mixed, the external risk potential remains high.

2. There is a high likelihood of the 2005 market top in Q1 2004, or perhaps even January.  Be that as it may, unlike 2004, we believe the Dow will outperform the SP 500 in 2005.  A Buy Dow/ Sell SPX market neutral strategy should result in a positive, above cash in the bank conservative return on investment.
WSNW Subscribers can review our newly updated S: 2005 DJIA premium post.
PS Pfeizer (PFE) is the first Dow stock to reach our value buy [24].  While it could see 22 on further bad news (lawyers suits), it is more likely to trade as Merck (MRK) did first.

3. Nurses we trust. Media? Not so much
“Nurses get top marks when it comes to honesty and ethics, and car salesmen are the least trusted people.”  If this is a super bowl-type indicator, then one should expect the Health Sector to outperform the automotive one in 2005. Next highest and lowest on the list were teachers and media, respectively.  Funny, I also see education outperforming in 2005. Does this mean media will under perform? If so, then we will downgrade our favorite media stock Time Warner (TWX) from our current buy rating to sector out perform.  Stay tuned.

4. “We are pretty bullish on the outlook for the market.''
Bill Thomas, overseer, U.S. equities at Baring Asset Management
HW: Lots of cash sloshing around and potential M& A plays, but the earnings outlook is weaker for most stocks!

“Higher short-term rates in the U.S. should stop the dollar from falling off a cliff.''
Benedikt Germanier, currency strategist, UBS AG
HW: The time is nearing for our long term prediction: that the Fed will have to raise rates to defend the dollar well being.

“The United States is unlikely to export its way out of its trade quagmire by a currency-induced improvement in competitiveness.''
Stephen Roach, chief economist, Morgan Stanley
HW: Well we could try a rational tax policy instead , but I wouldn’t bet on it in 2005.

5. Dollar's Gradual Decline Good for Equities

Investing: A New Way to Hedge Your Home's Paper Profit
“Volatile markets are increasingly becoming a part of our lives," Mr. Shiller added. "The home market itself is becoming more volatile. We're in the biggest real estate bubble in history, I believe.
"We haven't seen a swing down yet, but it could be coming," he warned. "There are people with big houses and big mortgages who are going to feel the pinch."

Seven Scintillating Small Stocks to Own in 2005
“If you buy these seven stocks, I can't guarantee you that you will make more money than you would in large stocks such as Coca- Cola Co. (KO), General Electric Co. (GE) or Microsoft Corp. (MSFT). But if you are like me, you will probably have more fun.”

6. READER: Do you quote a support value for the XOI?
HW: We see interim support at 682.  From my fundamental viewpoint, this year’s oil rally was largely manufactured.  However, I believe future US dollar weakness would put a meaningful intermediate floor on Oil somewhere between 34-37, if the $40 magic number is decisively broken.

READER: I for a top in Nasdaq in and a drop into April.
HW: That is similar to the Vedic astrological view of Alan Reminick on our website Joytish Market View

7. HERE WE TALK ABOUT AFUND CLIENTS

READER: Another sad day for IHI.
HW: Or a great day for microcap January effect traders or value investors to average down [as we did].

READER: Why Still No PR on IHI This Month?
HW: I would bet that it will come out shortly (before the end of year).
*********************************************************************************************************

S: in front of a web link indicates access is restricted to WSNW subscribers.
Subscribers please send your comments, questions and suggestions to Letters .
Silver Investing subscriptions $360 one year; new subscribers 3 month $125.
Gold trading subscriptions $1500 one year; $555 Quarterly.
Platinum edition for money managers $10000 per year; $3000 quarterly.
Institutional rate is $3000 per month; $25,000 annual.

"Can you afford NOT to have financial astrology in YOUR future?"
Stop reading Wall Street, Next Week, last week:  YES, I WANT TO SUBSCRIBE
*********************************************************************************************

PAST WALL STREET NEXT WEEK REPORTS
              FRIDAY 11 am listen to our Internet radio program TRADING BY THE  STARS.
(c) 2004 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 13-15, 2005 Eleventh 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 has been an AFUND client since 1994 and is currently paying monthly $2,500 consulting fees and $500 for banner ads on our website. May 15, 2002, an affiliated company, Susan Hahn & Associates became IHI’s media representative with a monthly fee of $1500.
May 17 2004 Health Sciences Group (HESG) became an AFUND client and is paying $5000 bimonthly in free trading stock for six months as a consulting fee.
Since October 13 2004, United American Corporation (UAMA) became an AFUND client  paying $2500 monthly plus 250,000 shares of free trading stock as a consulting fee.
Please read our Disclaimer for more information and note that my clients and I are shareholders and may act in the open market.
          
RETURN TO MAIN MENU