Squares, Triangles and Circles Pythagorean mathematics can play a role in science and nature. I first illustrated this in my 2014 book The Lost Science when I discussed the Golden Mean. In this edition of the Astrology Letter, I seek to introduce you to some numbers that when used to count off calendar days on a chart can align to swing pivot points on markets and commodities. Consider the above crude diagram of a square with a circle inscribed inside it. I have made the square with side dimensions of units. Therefore, the inner circle will have a diameter of. The perimeter of the square is the sum of the 4 sides (+++ = 4000) The circumference of the circle is pi x diameter = 3.14159 x = 3141.159 The ratio of the perimeter to the circumference is then 4000 / 3141.159 = 1.2734 A key number to watch when studying a price chart is thus 1273 days. *As a curiously interesting aside recall that the Golden Mean is 1.618. Take the square root of 1.618 and you get 1.272. a c 1273.2 b 1273.2
Now, let s look at a typical right angled triangle as illustrated on the previous page where I have made the two legs equal to 1273.2. Recall from basic Pythagorean math that in a right angle triangle, the relation a 2 + b 2 = c 2 holds true. (1273.2) 2 + (1273.2) 2 = c 2 ; therefore c = 1800.5 A key number to watch when studying a price chart is thus 1800 days. Now, let s look at a square with a diagonal cutting across it. In the above square, the diagonal would be defined by the Pythagorean relationship such that () 2 + () 2 = c 2 ; c = 1414.21 A key number to watch when studying a price chart is 1414 days. The ratio of the diagonal to the perimeter of a square in this case would be 1414.21 / 4000 = 0.3536 A key number to watch when studying a price chart is thus 1800 x 0.3536 = 637 days. In a right angle triangle such as the one shown below with corner angles 30, 60, 90 degrees where the Pythagorean relation of a 2 + b 2 = c 2 holds, consider that the sum of the three legs of the triangle divided by the hypoteneuse equals 2.3416. [( 1 + 2 + root 5) / root 5]=5.2361 / root 5 = 2.3416 A key number to watch when studying a price chart is 2341 days. Root 5 1 2 Consider now the sum of the two legs divided by the hypoteneuse (root 5). [(2+1)/root 5] = 1.3416 A key number to watch when studying a price chart is 1341 days. As an aside, consider that 2.3416 x 1.3416 = 3.1415=pi.
Now, let s re-consider the number 1800 which was shown above to be a key number. Scale it down by a factor of to get 1.8. Curiously enough, the root of 1.8 equals 1.3416. The root of 18 equals 4.2426. Another key number to watch when studying a price chart is thus 4242 days. Let s now re-consider the case of a right angles triangle where one side is twice the length of the other as shown on the page previous. The corner angles in this triangle are 30, 60 and of course 90 degrees. An angle of 30 degrees equates to pi / 3. An angle of 60 degrees is 2 x pi / 3. Scaling up this relation by gives us pi x / 3 = 1047.2 A key number to watch when studying a price chart is thus 1047 days. Double this figure and we get 2094 days. Applying 1047 and 2094 to a 30 60 90 triangle situation gives the Pythagorean relation of: (1047) 2 + (2094) 2 = c 2 ; where c = 2341.6 A key number to watch when studying a price chart is 2094 days. A key number to watch when studying a price chart is 2341 days (which was already demonstrated on the previous page). Let s now take these key numbers and apply them to various commodities or indices from significant high or low turning points. GOLD Gold futures with Intervals Overlaid
The above chart of Gold prices takes August 1999 as a start point when Gold was at the $250 level. From that point, I have asked the Market Analyst software to apply the intervals of 637, 1047, 1273 and 1414 days. Notice that these intervals align to swing pivot points on the Gold chart. Gold futures with Intervals Overlaid The above chart takes August 2011 as a start point when Gold was at the $1900+ level. From that point, I have asked the Market Analyst software to apply the intervals of 637, 1047, 1273, 1414 and 1800 days. Notice that these intervals align to swing pivot points on the Gold chart. In particular, the 637 interval came just as Gold prices dropped from $1420 to $1200. Gold futures with Intervals Overlaid The above chart takes a low in December 2015 as a start point when Gold was at the $1050 level. From that point, I have asked the Market Analyst software to apply the intervals of 637, 1047, 1273, 1414
days. Notice that the first two of these intervals align to swing pivot points on the Gold chart. In fact the 1047 day interval it could be argued saw the start of the current rally in Gold. On your trading calendars please jot down the 1273 day interval to be May 26, 2019 and the 1414 day interval to be Oct 14, 2019. S&P 500 If I take the lows made in January 2016 as a start and apply the above intervals, I find that the 673 day interval came and went without much impact. However, the 1047 day interval landed right smack on the start of the December 2018 sickening plunge on the S&P 500 where over 450 points were shaved off before a low was reached at just over 2300. On your trading calendars, mark the 1273 day interval as landing on July 15, 2019 and the 1414 day interval as landing on December 3, 2019. OIL Oil futures with Intervals Overlaid If I take the mid-way point between the early 2016 lows when Oil hit the $26 mark as a start point and apply the above intervals, I find that the 673 day interval came just as Oil managed to break above key resistance around the $56 level (right side of chart). The 1047 day interval lands right at the point in December 2018 when Oil dipped hard and tested the $42.50 level. On your trading calendars, mark the 1273 day interval as landing on July 27, 2019 and the 1414 day interval as landing on December 14, 2019.
SOYBEANS Beans futures with Intervals Overlaid If I take the extreme high point that Beans recorded in the Summer of 2012 as a start and apply the key intervals, I find that the 673 day interval came just as Beans collapsed and lost $6 per bushel. The 1047 day interval aligns to the start of another price drop and the 1273 day interval aligns to a critical low made in early 2016. Beans futures with Intervals Overlaid The 1414 day interval marks the start of a serious collapse in price, although the exact peak preceding this collapse came before the 1414 days. The 1800 interval aligns to a price swing point which gave way
to a rally. The 2094 day interval marked the start of another serious price collapse. The 2341 interval is approaching and will arrive very shortly at the end of January. Look for another pivot point then. You are probably wondering how I have managed to dream up these interval numbers all related to Pythagorean math. Truth be told they are not my numbers. This week I was rummaging through one of my bookshelves where I keep my astrology texts and a sheaf of papers dropped on the floor. It was stuff I had printed off some 12 years ago when I was in the stock brokerage business. The writer of the material is a Mr. Bill Erman and at that time he called his mathematical twist Ermanometry. Sadly, Mr. Erman is no longer with us. He passed in 2016. But, let us not forget his good work. That is why I am giving him full and fair credit here in my writings. So, now you can all start applying Ermanometry to stocks and commodities that you follow. From a significant high or significant low, project forward the calendar day intervals of 637, 1047, 1273, 1414, 1800, 2094 and 2341 days. The website www.timeanddate.com has a calculator that can help you count the days. For an added twist, try applying these interval counts to actual trading days and not just calendar days. In a coming Letter, I will try to show what happens if and when these key dates align to astrology events such as retrogrades or declination minima and maxima. The cosmos is a complex, interconnected entity and I am sure there are still many correlations to the markets that we have not yet discovered. www.investingsuccess.ca The Astrology Letter is provided to subscribers on a twice monthly basis. All rights reserved. Please respect the intellectual property of the author. No part of any Astrology Letter may be reproduced by any graphic, electronic or mechanical means without the express written consent of the author, except in the case of brief quotations required for critical articles and reviews. The information and ideas presented in the Astrology Letter are not intended to render professional advice. The author is not liable in any way for loss arising as a consequence of the information expressed in any Astrology Letter. Subscribers must be mindful of their risk tolerance and should ideally seek professional investing advice before trading or investing on the financial markets.