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

1. 9000 BEFORE 11000? 
Now that the question of whether Dow 10,000 before 11,000 has been finally answered, the new question becomes whether markets are more likely to drop 1000 or rally1000 next.   

All investors know that we are about to enter what's traditionally the weakest period of the year - September/October.
HOWEVER WE ARE UNSURE WHETHER MARKETS WILL BE A BUY OR SELL NEXT WEEK.
Given I will be on vacation and I do not know the answer to the saw: If a tree falls in a forest and there is no one there to hear it, did it make a sound?, I plan to enjoy myself and do nothing marketwise. 

NOTE: Anything goes is the watchword the upcoming pre Labor Day Holiday week.
      TRADERS: Beware of treacherous trading conditions.  Use only VERY short intraday time frames.
   INVESTORS: Avoiding markets this week may be the wisest course. Otherwise, enter/exit extreme positions ONLY with an intermediate term positional view. 

ASTRODATES
9/8 New Moon
9/18 Jupiter conjunct Uranus
9/22 Fall Equinox
9/23 Full Moon 

KEY DATES:     September 3
DJIA:                10250/10350 DUAL PIVOTS S1 10,000 S2 9900 S3 9700
SPX:                 1080/1100 DUAL PIVOTS
NASDAQ:          2050 SUPPORT 2225 RESISTANCE
DEC GOLD        1210 SUPPORT? 1260 RESISTANCE
DEC SILVER:    18.40 PIVOTS 1925 RESISTANCE?
NOV OIL:          70 SUPPORT 77.50 RESISTANCE?
EURO:              128 PIVOT
US$                  83 PIVOT   

Market Marker Sentiment is to Sell prenews optimism; even modest reality will move markets down! This changes September 24.
2009 CLOSE:           DJIA  10428 SPX  1115 & NASDAQ 2269
2008 CLOSE:           DJIA   8776, SPX   903 & NASDAQ 1577
2007 CLOSE:           DJIA 13264, SPX 1468 & NASDAQ 2655
2006 CLOSE:           DJIA 12463, SPX 1418 & NASDAQ 2415
2005 CLOSE:           DJIA 10717, SPX 1248 & NASDAQ 2205
DJIA:                       7 ~ FV 1 UV; 5 offer 4%+ Dividends 2 offer 5%+ Dividends.
US BANK FAILURES TO DATE: 118   
THINK TRADITIONAL SWISS AND PRESERVE CAPITAL: FOCUS ON PROTECTING AGAINST DOWNSIDE RISK. 

2. Avoid Treasuries - At Least for Now vs. Bond Bubble Watch: 'Dumb Money' Wisely Buys Bonds 

China Cuts Long-Term Treasuries By Most Ever as Yields Drop 

The US bond bubble remains a no-brain long term short despite, or rather largely because of, Ben Bernanke.  Short term the trading risk continues to rise- now as high as 138, from 136 and 134 before.  Moreover, this has also been a profitable day trade for the nimble e.g. last Friday.  Be that as it may, bond shorts as a strategic hedge or long term trade should be highly profitable by 2011/2012 as our Chinese subscribers no doubt are noting! 

PS My latest TV interview about US FINANCIAL REFORM for Chinese TV.
Note to my non-Chinese speaking WSNW readers, this program while partially in English, is mostly in Chinese. 

3. How Much Gold is Enough?

HW: 10% is usual and 20% may be appropriate for strategic times of fear but more than that I don’t believe is prudent.

4. "The cumulative weight of all the bad data is just adding up. It's like the weight of water behind the dam just pushing for some release."

Peter Cecchini, chief strategist, BGC Partners

HW: Well put.

 “In just a year and a half, foreign investors have accumulated a stunning C$170 billion of Canadian portfolio securities. Foreign investors have found much to like, be it stronger economic growth, a generally appreciating currency, political stability, a superior fiscal standing or unparalleled banking sector strength.”

Warren Lovely, government debt strategist, Canadian Imperial Bank of Commerce

HW: These are some of the reasons (along with Canada’s Horoscope) that Canada in 2011 is our favorite G8 country. 

“There still are very deep concerns about the economy and earnings. All of the data says the economy remains very weak, that the weakness is likely to persist. The possibility of a double dip is weighing heavily over the stock market.”
Hugh Johnson, chairman, Hugh Johnson Advisors
HW: Possibility? Don’t you mean Probability!

5.Economist Nouriel 'Dr. Doom' Roubini Sees Ongoing Recession, Lives Up to Nickname

Bracing for a Double-Dip Recession: Eight Recession-Proof Stocks 

15 Possible Takeover Candidates 

6. READER: I kept a ton of puts active and I am slightly lightening up today during this morning’s fall.  Thanks!
Right on target!
HW: Yes it is important to take SOME profits today (Monday) and more tomorrow. 

READER: You deserve credit for being one of the only financial Astrologers on the planet who didn't predict that the Cardinal Climax will bring on the fall of civilization and a stock market crash (like CRAWFORD, ZIMMEL, et. al.)
But on the other hand the Cardinal Cross was not just another planetary event.  What is your analysis of what changes in the financial markets are likely to occur, especially since Saturn has just squared Pluto this weekend?
And, usually debt and bankruptcy are part of their focus?  Do you see the stock market headed down a few thousand points over the next several months?
HW: I will discuss this in future Wall Street, Next Week newsletters.  It is important not to forget the US midterm elections are coming up in November as well as a Jupiter/Uranus conjunction midSeptember. 

READER: I think SSRI is getting increasingly interesting. The last quarter operating result was much better, but no one seems to care. The Company has some great properties and represents really good value.
HW:  SSRI has support $15.50 to $16 and is currently attacking $18 resistance. Like most silver stocks, it should be higher in November; SSRI can easily revisit $22-$24 with 6-12 months. 

READER: Re: Sun storm to hit with 'force of 100m bombs' Is this a buy or sell signal for Telecoms?
HW: Yes.