Cisco: a Stock to Short? (May 2002)
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After beating the earnings estimates Cisco soared by over 30% within one day, so I had a look at the horoscope of CSCO to find out if this overbought stock is good shorting opportunity. CSCO started trading on the Nasdaq on February 16, 1990, at the left-hand side you can see the first-trade chart, the equivalent to the natal chart of a person.
In the following the use of two popular astrological techniques to assess the future propects is described: transits and the solar arc progression. You probably will only be able to understand the explanations when you have basic astrological knowledge. To make a long story short, Cisco does not seem to make short players very happy, quite the contrary an outperformance within the techs is likely. First it is crucial to understand that a first-trade chart must never be isolated from the overall market and the industry the company is operating. The performance of a stock is mostly determined by the overall market (accounts for about 50%), then by the industry (ca. 25%), and last but not least by the stock itself (ca. 25%) - and the first-trade chart is only indicative of the latter 25%. Starting with the natal chart it is self-evident that the bullish potential is mainly due to the conjunction Mars/ Neptune/ Uranus near the MC in the sign Capricorn in opposition to Chiron in Cancer. The conjunction of Mars and Neptune the tighest aspect of the chart and thus very important. So you can expect that every time this stellium is activated the share will make strong moves. |
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The second chart displays the solar arc direction: Jupiter is squaring the Mars-Neptune conjunction from March to October which is very bullish. |
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The third chart shows the current transits: while the solar arc indicates a long-lasting latent time quality the transits are triggering this potential. You can see that Jupiter is transiting the stellium in April and May, confirming the message of the solar arc direction. Moreover, Jupiter is transiting over Uranus and vice versa, this kind of mutual reception is usually quite powerful. |