All photos of JC in newsletter courtesy of Ha Navi Gallery/ajmu
The Mystery of the Shemitah is affecting your life, your economic and financial well-being, the future of America, and the world. Find out HOW from Jonathan Cahn in #Daystar's December Newsletter: http://c.shemitah.co/read
NEW YORK (TheStreet) -- Investors and traders around the world continually search to find or increase their edge in the financial markets to increase profits. The next few months are going to be critical for investors because the number seven is now in play for the stock market.
What does this mean?
In magical lore seven is an important number. While all numbers are ascribed certain properties and energies, seven is a number of power, a lucky number, a number of psychic and mystical powers, of secrecy and the search for truth.
Seven is used 735 times in the Bible and if you total up all words including "sevenfold" and "seventh" the total number of references is 860.
The origin of seven's power lies in the lunar cycle. The moon has four phases lasting about seven days. The Sumerians gave the week seven days. Life cycles on earth also have phases demarcated by seven, and there are seven years to each stage of human growth, seven colors to the rainbow, seven notes in the musical scale, seven petitions in the Lord's Prayer, and seven deadly sins.
More important for investors, the number seven and multiples of seven have a powerful influence on money. The U.S. stock market is trading in the seventh-year window and it should not be taken lightly.
While I could go into a lot more detail about how I use seven in my algorithmic trading strategy to swing trade the S&P 500 index. This article focuses on the investing outlook.
I am fortunate enough that I have been trading since 1997 and have seen how the stock market cycles affect human behavior and businesses, specifically the financial newsletter industry, which I have been involved in since the first day of my trading career.
The stock market appears to be nearing a critical turning point that will change the lives and behaviors of investors for years to come.
The good news is that I have experienced four of these turning points and human behavior shifts in my career before and we are entering the fifth turning point. I feel obligated to share this valuable insight with those of you who read my work. The next major market move could have a dramatic impact on your wealth and retirement years.
Insight on Investor Behavior and Business
Being heavily involved in the financial newsletter industry I have not only seen but survived several of these major cycles that forced many newsletters to go out of business. The cycles at play here are the market trend and the behavior of traders and investors.
The combined forces of these two cycles are what cleanse the newsletter industry of poor quality services. It becomes almost impossible to obtain new clients without word-of-mouth referrals from happy users. If the quality of the newsletter is poor, eventually it lacks enough users to make it feasible to operate. It's the brutal truth. And over the last couple of years, I have seen newsletters and even top trading magazines that have been around for decades close their doors.
The business cycle can easily be explained by observing the chart of the S&P 500 index below. When the stock market has been rising for six or more months, investors start to become confident that they can make money on their own. And they can if they buy and hold during a bull market.
But what happens as the market continues to rise for many years is that more and more investors and traders realize they can make money on their own. The longer the uptrend remains intact the less an investor needs the help of a trading and investing newsletter, making it difficult to get new customers in this highly competitive industry.
Currently investors are behaving almost identically to what I saw during 1999-2001, 2006-2007 and 2014-2015 market tops.
Did you notice anything with those market tops? They are seven years apart.
Let's now take a look at the best times in the business cycle where traders and investors are in desperate need of help and start subscribing to multiple paid financial newsletter services. The strongest times for business took place during 2002-2003, and again in 2008-2010. This is when investors not only lost most of their wealth, but also their faith in how they invest, who they invest with, and the stock market as a whole.
Did you notice anything else? They are also seven years apart.
Investors' 7-Year Financial Outlook
Those of you who follow me know that I do not pick market tops or bottoms. Rather I focus on identifying trends and cycles in the market and only trade and invest with the active confirmed trend.
You also know that trying to pick market tops and bottoms is a sucker's game and a sure fire way to lose a lot of money and build a serious complex that the market is manipulated, not tradable, and that it may be time for you to give up completely on trading.
Well, I am here to say that the market is tradable, and can generate traders and investors a boatload of money once you understand how and why it moves. Most important, you need to understand money/position management and be patient for consistent long-term gains.
Take a look at the chart below for a clear visual of seven-year cycle highs and lows at play.
While I do not invest based on this major seven-year cycle, I do actively trade a smaller market cycle that provides roughly 35 to 65 trades a year. This strategy allows me to profit during these major bull markets and also during the multiyear bear markets, when the majority of investors are losing boatloads of their hard-earned money.
The reason I do not invest in the seven-year cycle is because the market can still have 30+% price swings within bull and bear markets and that type of volatility is beyond what I am comfortable with. Also, I can actively invest with my automated trading system, so I don't need to lift a finger or watch the stock market each day, week or month.
There has only been one other time in history when the price of oil has crashed by more than 40 dollars in less than 6 months. The last time this happened was during the second half of 2008, and the beginning of that oil price crash preceded the great financial collapse that happened later that year by several months. Well, now it is happening again, but this time the stakes are even higher. When the price of oil falls dramatically, that is a sign that economic activity is slowing down. It can also have a tremendously destabilizing affect on financial markets. As you will read about below, energy companies now account for approximately 20 percent of the junk bond market. And a junk bond implosion is usually a signal that a major stock market crash is on the way. So if you are looking for a “canary in the coal mine”, keep your eye on the performance of energy junk bonds. If they begin to collapse, that is a sign that all hell is about to break loose on Wall Street.
It would be difficult to overstate the importance of the shale oil boom to the U.S. economy. Thanks to this boom, the United States has become the largest oil producer on the entire planet.
Yes, the U.S. now actually produces more oil than either Saudi Arabia or Russia. This “revolution” has resulted in the creation of millions of jobs since the last recession, and it has been one of the key factors that has kept the percentage of Americans that are employed fairly stable.
Unfortunately, the shale oil boom is coming to an abrupt end. As a recent Vox article discussed, OPEC has essentially declared a price war on U.S. shale oil producers…
For all intents and purposes, OPEC is now engaged in a “price war” with the United States. What that means is that it’s very cheap to pump oil out of places like Saudi Arabia and Kuwait. But it’s more expensive to extract oil from shale formations in places like Texas and North Dakota. So as the price of oil keeps falling, some US producers may become unprofitable and go out of business. The result? Oil prices will stabilize and OPEC maintains its market share.
If the price of oil stays at this level or continues falling, we will see a significant number of U.S. shale oil companies go out of business and large numbers of jobs will be lost. The Saudis know how to play hardball, and they are absolutely ruthless. In fact, we have seen this kind of scenario happen before…
Robert McNally, a White House adviser to former President George W. Bush and president of the Rapidan Group energy consultancy, told Reuters that Saudi Arabia “will accept a price decline necessary to sweat whatever supply cuts are needed to balance the market out of the US shale oil sector.” Even legendary oil man T. Boone Pickens believes Saudi Arabia is in a stand-off with US drillers and frackers to “see how the shale boys are going to stand up to a cheaper price.” This has happened once before. By the mid-1980’s, as oil output from Alaska’s North Slope and the North Sea came on line (combined production of around 5-6 million barrels a day), OPEC set off a price war to compete for market share. As a result, the price of oil sank from around $40 to just under $10 a barrel by 1986.
But the energy sector has been one of the only bright spots for the U.S. economy in recent years. If this sector starts collapsing, it is going to have a dramatic negative impact on our economic outlook. For example, just consider the following numbers from a recent Business Insider article…
Specifically, if prices get too low, then energy companies won’t be able to cover the cost of production in the US. This spending by energy companies, also known as capital expenditures, is responsible for a lot of jobs.
“The Energy sector accounts for roughly one-third of S&P 500 capex and nearly 25% of combined capex and R&D spending,” Goldman Sachs’ Amanda Sneider writes.
Even more troubling is what this could mean for the financial markets.
As I mentioned above, energy companies now account for close to 20 percent of the entire junk bond market. As those companies start to fail and those bonds start to go bad, that is going to hit our major banks really hard…
Everyone could suffer if the collapse triggers a wave of defaults through the high-yield debt market, and in turn, hits stocks. The first to fall: the banks that were last hit by the housing crisis.
Why could that happen?
Well, energy companies make up anywhere from 15 to 20 percent of all U.S. junk debt, according to various sources.
It would be hard to overstate the seriousness of what the markets could potentially be facing.
One analyst summed it up to CNBC this way…
“This is the one thing I’ve seen over and over again,” said Larry McDonald, head of U.S strategy at Newedge USA’s macro group. “When high yield underperforms equity, a major credit event occurs. It’s the canary in the coal mine.“
The last time junk bonds collapsed, a major stock market crash followed fairly rapidly.
And those that were hardest hit were the big Wall Street banks…
During the last high-yield collapse, which centered around debt tied to the housing sector, Citigroup lost 63 percent of its value in the following 60 days, Kensho shows. Bank of America was cut in half.
I understand that some of this information is too technical for a lot of people, but the bottom line is this…
Watch junk bonds. When they start crashing it is a sign that a major stock market collapse is right at the door.
At this point, even the mainstream media is warning about this. Just consider the following excerpt from a recent CNN article…
That swing away from junk bonds often happens shortly before stock market downturns.
“High yield does provide useful sell signals to equity investors,” Barclays analysts concluded in a recent report.
Barclays combed through the past dozen years of data. The warning signal they found is a 30% or greater increase in the spread between Treasuries and junk bonds before a dip.
If you have been waiting for the next major financial collapse, what you have just read in this article indicates that it is now closer than it has ever been.
Over the coming weeks, keep your eye on the price of oil, keep your eye on the junk bond market and keep your eye on the big banks.
Trouble is brewing, and nobody is quite sure exactly what comes next.
It is worth noting that many agricultural terms connect with the Shemitah as well as the economic and financial realms. The Shemitah impacts a nation’s material blessing, and its sustenance. The sowers and reapers of ancient Israel were to voluntarily cease from working for the duration of the Shemitah; in the modern world, economic downturns and implosions force people from employment and labor.http://c.shemitah.co/read
** SPECIAL REPORT** Shemitah year of 2015 may bring financial upheaval
What would you do if you knew that divine judgment on your country and the world was imminent? If you are Jonathan Cahn, you write two best-selling books that detail the revelations that you have received about how the United States is already undergoing judgment and has been for more than a decade. Like a latter day prophet of the Bible, Cahn is issuing his warning that September 13, 2015 might be the next key date in the ongoing series of judgments using a variety of mediums, from television to the internet, that were not available to the prophets of old. Cahn’s first book, “The Harbinger,” dealt with clues that linked the September 11 attacks and the 2008 financial crisis to the prophetic judgments found in the Book of Isaiah as well as to an ancient Jewish custom of forgiving all debts and letting fields lie fallow every seventh year. It is the story of this Sabbath year that Cahn expounds upon in his newest book, “The Mystery of the Shemitah,” the Jewish term for the Sabbath year. Cahn’s analysis of the relationship between the terrorist attacks of September 11 and the 2008 economic collapse turned up the astounding fact that stock market collapses in both years, which currently rank as the two largest stock market point crashes in U.S. history, occurred on the same day of the Jewish calendar. Even more remarkable is the fact that the Jewish date on which the markets collapsed was the last day of the Shemitah year, the day in which all debts were wiped away. This action would result in a situation much like a modern recession as the accumulated wealth of seven years was blotted out and agricultural production plummeted. When Cahn looked back at previous Shemitah years, he found that the pattern extended even farther back into U.S. history. The Shemitah of September 1993 through September 1994 (the Jewish New Year starts in September on the Gregorian calendar used by the U.S.) saw a selloff in the bond market that swept around the world. In 1987, a stock market crash occurred that held the record for largest point drop in a single day until the post-9/11 crash of 2001. In 1980, the U.S. suffered a severe recession that lasted until 1982. In 1973, an oil shock brought on by the Arab oil embargo sparked another recession. In 1966, the U.S. experienced a credit crisis. In 1958, the Eisenhower Recession was a sharp, worldwide downturn. For more than 50 years, every Shemitah year has seen the U.S. experience financial upheaval. In addition, the Shemitah was linked to the Great Depression as well. Although the initial stock market crash of 1929 was not in a Shemitah year, the decade of the 1930s contained two Shemitahs, 1930-31 and 1937-38. As a chart of the Dow Jones Industrial Average of the 1930s shows, 1932 was the darkest year of the Great Depression. By 1937, the recovery had begun, but country experienced a second recession within the Depression. As Cahn points out, the law of averages would dictate that there is only a one-in-seven chance, less than a 15 percent, of a recession or crash occurring within a Shemitah. When the statistics are examined, the relationship between financial upheaval and the Shemitah is far stronger than can be explained by random chance. The Wall St. Journal’s list of the 20 largest one day stock market crashes includes 10 that are in a Shemitah year. Nine of these crashes were in Elul, the last month of the Shemitah, or Tishri, the first month of the year that follows the Shemitah (late September or October on our calendar). A further three crashes were in months that followed (November and December). The total of 13 crashes, more than half of the crashes, is far more than the 15 percent expected. The same list also shows that many of the largest stock market gains come in the wake of the Shemitah. If the Shemitah culminates in a recession, the recovery would be expected to begin in the first months of the new Jewish year. In all, five of the largest 20 gains occurred during a Shemitah year, which is close to the random distribution. Seven of the largest gains occurred in the wake of the Shemitah. This may reflect the extreme volatility of the markets in the Shemitah. Many economists note that sudden, sharp crashes are often followed by equally quick recoveries. Many stock market analysts have noted the tendency of the stock market to falter in the fall of the year. This correlation may be explained by the end of Shemitah, which occurs in September, and the recovery that follows. Additionally, the National Bureau of Economic Analysis lists 33 business cycles that have impacted the U.S. economy. A comparison of the list of business cycles to Shemitah years shows that in four cases the cycle was entirely contained within a Shemitah. In 14 cases, the cycle was partly contained within the Shemitah including three cycles which completed before the culmination of the Shemitah. The 18 cycles which were linked to the Shemitah is more than half of the U.S. business cycles. Cahn goes further. In “The Harbinger” Cahn discussed the link between the towers of the World Trade Center and an obscure Bible verse quoted by Sen. Tom Daschle (D-S.D.) on the Senate floor on September 12, 2001. The same verse, defiantly vowing to rebuild the towers, symbols of pride, was echoed repeatedly in the following years by other government officials. Cahn relates that the World Trade Center was conceived in the Shemitah year of 1945 when it was proposed by developer David Scholz. Groundbreaking for the World Trade Center was in the Shemitah year of 1966. In the Shemitah year of 1973, the twin towers opened as the world’s tallest buildings. In the Shemitah year of 1993, terrorists exploded a car bomb in the basement garage of the north tower, killing six people and injuring more than a thousand. Seven years later, in the Shemitah year of 2001, another group of terrorists succeeded in destroying the World Trade Center. The new tower on the World Trade Center site, One World Trade Center, also called the Freedom Tower, opened six weeks into the current Shemitah on Nov. 3, 2014. Cahn also discusses the seventh Shemitah, the Jubilee. The 50th year, the year following the seventh Shemitah, was a “super Shemitah” that restored lands to their previous owners and set captives free. According to Cahn, no one today is sure when the Jubilee occurs, but there is another startling pattern. On November 2, 1917, British Foreign Secretary James Balfour signed the Balfour Declaration, which began the process of restoring a Jewish homeland in Palestine. This followed the 1916-17 Shemitah. Fast forward 50 years to June 7, 1967. This was the day that Israeli forces recaptured the city of Jerusalem in the Six Day War. This momentous event followed the Shemitah of 1965-66. This pattern suggests the possibility that these restorations both took place in Jubilee years. If Cahn’s assumption is correct, the next Jubilee would follow the current Shemitah. The current Shemitah runs from September 25, 2014 through September 13, 2015 and the possible Jubilee would begin on September 14, 2015 through October 2, 2016. Cahn points out the confluence of astronomical signs in the current Shemitah as well. The current Shemitah is associated with four blood moons, partial lunar eclipses, all of which fall on Jewish holidays. Additionally, there will be two solar eclipses. The first occurs exactly halfway through the Shemitah and the other on September 13, the last day of the Shemitah. Eclipses are often associated with judgment in the Bible. Cahn makes no predictions about what to expect during the Shemitah and the possible Jubilee. As financial forecasts note, past performance is not indicative of future results. Nevertheless, the statistical correlation between the Shemitah and financial upheaval is a strong one. It may be worthy to note that shortly after the current Shemitah rang in, the stock market suffered a sharp downturn. At the same time, the US experienced a small panic over Ebola. What surprises does the rest of the Shemitah hold in store? Suggested Links • Rabbi's book warns America is under divine judgment • Will next financial crisis start on Sept. 13, 2015? • Interview with Jonathan Cahn, author of "the Harbinger" • 'Divine wind' may have boosted Obama to second term • A prophetic case for Obama's second
The Bretton Woods system was based on the tying of the world’s currency to the US dollar and the US dollar to the gold standard. It epitomized America’s hegemony over the world’s financial and economic order. Its collapse happened in the 1973 Shemitah year. http://c.shemitah.co/book (image below)
UPDATE! IT HAS BEEN CONFIRMED THAT THE MYSTERY OF THE SHEMITAH IS BEING PRINTED IN THE SWEDISH LANGUAGE! All praise and honor goes to our Lord Yeshua/Jesus! Thank you everyone for your prayers! Please continue to pray for the book to be translated into the various languages noted and any other languages the Lord wills. Here's the list: AFRIKAANS FRENCH HUNGARIAN NORWEGIAN The book in Spanish is available now! God bless!
During the 1973 Year of the Shemitah, the nations highest court legalized the killing of unborn children. This parallels the case of ancient Israel, where the killing of the nation’s most innocent lead to national judgment and destruction. http://c.shemitah.co/book
CELEBRATE WITH BIJC TONIGHT! HANNUKAH! FESTIVAL OF LIGHTS~ Come and experience the beautiful Festival of Lights with Jonathan Cahn and discover the hidden revelation of the last days that Hannukah holds for the end-time believer. TWO DIFFERENT MESSAGES WILL BE SHARED AND BOTH SERVICES WILL BE LIVESTREM VIA http://www.ustream.tv/channel/jonathan-cahn ON Fri, Dec 12th at 8pm & Sun. Dec 14th at 11am! (livestream hours to begin on Fri. at 8:45pm & Sun. at 11:45am)
Beth Israel Jerusalem Center is located at 11 Railroad Ave, Wayne, NJ 07470
**SPECIAL REPORT** The Washington Post~ British Prime Minister Cameron says ‘red warning lights’ flashing on global economy
British Prime Minister David Cameron speaks during a news conference on the final day of the G20 Leaders' Summit in Brisbane, Australia, on Nov. 16. (William West/AFP/Getty Images) By Griff Witte LONDON — In a starkly downbeat assessment, British Prime Minister David Cameron has written that the world’s economy could be headed for another fall. “Six years on from the financial crash that brought the world to its knees, red warning lights are once again flashing on the dashboard of the global economy,” Cameron writes in a piece published Monday in Britain’s Guardian newspaper. The prime minister cites a euro-zone economy that is “teetering on the brink of a possible third recession, with high unemployment, falling growth and the real risk of falling prices too.” He also references emerging market economies that “were the driver of growth in the early stages of the recovery” but are now slowing, as well as stalled trade talks, instability in the Middle East, war in Ukraine and the spread of Ebola. The bleak prognosis comes at the end of the Group of 20 summit in Brisbane, Australia, where leaders of the world’s biggest economies struggled with strategies for kick-starting growth. Others have issued similarly negative pronouncements in recent days, particularly with relation to Europe. Mark Carney, the governor of the Bank of England, told reporters in London last week that “a specter is now haunting Europe — the specter of economic stagnation.” But Europe is hardly the only sick patient. Government figures released Monday in Japan showed that the world’s third-largest economy has unexpectedly fallen back into recession, with GDP shrinking by 1.6 percent for the quarter. Cameron’s decision to issue his warning may be motivated, at least in part, by domestic political challenges. He will face voters in less than six months, and Britain’s economic recovery since he took office amid a recession in 2010 is at the core of his campaign for another five years in office.
Sponsor Generated ContentSmart parking to the rescue By Xerox Through technology and data, parking systems are improving city congestion.READ MORE BrandConnect» is content provided by our advertisers. Learn more. By forecasting gloom for the globe, Cameron may be helping to manage expectations for a scenario in which Britain’s economy also begins to flag. The British economy has been relatively robust this year, especially compared with much of continental Europe. In his Guardian piece, Cameron deems Britain the fastest-growing economy in the Group of Seven, with official forecasts of 3.5 percent growth for 2014. But a revival in growth figures has not been enough to give him a lead in the polls. In most surveys, Cameron’s Conservatives are running just behind the Labor Party, led by Ed Miliband, despite polls showing Miliband to be one of the most unpopular major-party leaders in modern times. Labor has argued that despite economic growth and falling unemployment, wages have stagnated and the benefits of recovery have been concentrated too heavily among the country’s wealthiest. Cameron used Monday’s opinion piece to argue that Britain needs to stay the course, with a call for continuing austerity policies aimed at taming the deficit — although he also touts major investments in roads and rail systems. “We cannot insulate ourselves completely, but we must do all we can to protect ourselves from a global downturn,” Cameron writes. “Working through the agenda at the G-20, it was clearer than ever how vital it is that we stick to our long-term plan.” http://www.washingtonpost.com/world/british-prime-minister-david-cameron-says-red-warning-lights-flashing-on-global-economy/2014/11/17/acc29d06-c38f-49a1-b478-30d334fd3389_story.html
Shalom! Friends as we continue to share the messages of The Harbinger and The Mystery of of Shemitah, please continue to keep this nation in prayer. Please share this message with others as we want this nation of believers to be encouraged and to start standing strong for their belifes in the things of Yeshua/Jesus. God bless!
are witnessing a momentous and unprecedented moral and spiritual
transformation. A while back, I shared on the Tipping Point.
In the physical realm, once you reach the tipping point, the
dynamics change, the momentum accelerates. One doesn’t need
much effort or force, the
takes on a life of its own. Few things demonstrate this fact as
the recent Supreme Court Non-decision – and it’s
ramifications for America.
Message: The Dark Trinity
autumn, the Supreme Court decided not to take up the cases of several
states appealing the striking down of laws protecting traditional
marriage. By refusing to make a decision on these cases, the Court
was, in essence, making the decision that these laws would be struck
down with no further recourse or hope of reversal.
day this fateful undecision was announced, there were 19 states in
America that had ended the biblical and historic definition of
marriage with the legalization of gay marriage. After the Court
rejected taking up these cases, the number of states ending the
biblical definition of marriage skyrocketed – from 19 to 32. In
the blink of an eye, gay marriage went from the position of a
minority of states – to that of the majority – another tipping
point. In the same blink of an eye, the number of states
upholding the biblical and historic definition of marriage went from
31 to 18 – a distinct minority.
speed at which marriage, gender, and morality has been redefined is
stunning. The Bible gives a very clear prophetic warning
concerning this phenomenon: “Woe to those who call evil
‘good,’ and good ‘evil.’ We are now that people. And
yet we are worse. We are a people who now call what we once
knew to be good ‘evil,’ and what we once knew to be evil ‘good.’
to the exact degree that our culture deems evil to be good, it deems
that which is good to be evil. It is no accident
paralleling this redefining of sin is an equal redefining of
righteousness. Christian bakers who refuse to take part in
celebrating gay marriage are sued, judged guilty by the court,
punished with heavy fines, and driven out of business. As sin
is established as the law of the land, righteousness becomes illegal.
If the present course is not altered the time will come when
Christians are driven from one profession after the other.
are past the tipping point. We live in the days that parallel
those of the prophets, the days of Isaiah, Jeremiah, Ezekiel, Elijah.
How do we respond? If we are living in prophetic days, we
must become a prophetic people. Resolve to live with the
strength, the boldness, the unbending steadfastness, and the purity
of the prophets. The eyes of the Lord search the entire earth
looking for the one whose heart is completely His. You be that
one. And God will keep you, affirm you, and lift you up.
you for all your prayers. They are crucial! Take steps
this month to rise to your prophetic call for such a time as this.
And may the Lord greatly bless you as you do.