Oil prices? Drill? Substitute? Conserve?

Follow up on January 4, 2011 Blog:

Barrel of Oil $100+?

February 18, 2011 and the price of crude begins to jump. By March 25, 2011 it is up 25% at $105 for light sweet crude. Protests in the Middle east are given credit for the price increase. Consumers of oil are trying to devise ways to avoid paying the price.

What are the options?

Drill?

Geologists have been busy mapping possible locations and the corporate bean counters have been estimating cost. Governments around the world have been inundated with requests for drilling permits. For this analysis we will use the chart for the First Oil Well August 27, 1859 Noon Titusville Pa. (Print this blog and add to Financial Astrology Textbook 4)

For drilling companies the hopeful aspect is Pluto trine Pluto from March 30-April 19, 2011. However the aspect does not become exact, thus further delays until exact February 4, 2012. In the meantime Pluto will trine Mercury July 4,2011, Jupiter will conjunct Pluto July 27, October 23, 2011 and March 8, 2012 promising the drilling companies a plethora of finds and plenty of options as to where to drill first.

You will notice a string of Jupiter aspects starting April 14, 2011 continuing through March 8, 2012 promising an increase supply of available crude to sell. Will Jupiter bring down the price of crude as supplies increase? In February when Pluto made a trine to Mercury news concerning the availability of surplus supplies of crude did not influence the oil traders. They continued to push up the price on futures contracts. The same aspect returns July 4, and Nov 24 with the possibility of a return to higher futures contracts on the spot oil market.

Substitute?

The Titutsville chart shows an eclipse at 11 Gemini rather close to its 7 Gemini Uranus on June 2, 2011. Optimistically the sudden change will appear and competing energy sources will come on line to diminish the demand for oil.

OPEC's chart has the Moon at 7 degrees Cancer. The July 1, 2011 eclipse is at 9 degrees Cancer. An eclipse to the Moon means that the public is not pleased and optimistically(again) is looking for alternatives to the groups supply policies. Since January 30, 2011 OPEC has experienced Pluto opposed the Moon therefore the public has not favored oil exploration by the organization. In fact the populace of the OPEC countries has been very angry with the management of oil drilling and exploration. Their attitude will continue until May 2, 2011 with Saturn square Saturn and the discussions with their leaders concerning the distribution of oil revenues. The problem concerning the public's perception of OPEC policies will continue the Oct 26, 2012 with the continuing opposition of Pluto to the OPEC Moon. Uranus opposes OPEC's Mercury May 20, 2011 Aug 31, 2011 and March 7, 2012. Strange news and unusual events confuses the organization therefore their policies are inconsistent and traders find the market very volatile. This will encourage inventors of alternative energy sources to invest and promote their products.

Conserve? Mercury is retrograde for the next 3 weeks (March 30-April 23) therefore write a list and combine your trips. Keep your cellphone in your pocket to double check appointments and phone home. Pay cash at the pump is another technique. Do not fill the tank is another. Coast to the 4 way stop sign and avoid getting behind a school bus. For home heating change from oil to natural gas. That is your individual contribution to the conservation of energy.

Governments and corporations can install solar and wind generators to lighten their consumption of electrical power. Power companies can switch from oil to natural gas to generate power. When oil is $100+ it makes economic sense to change. Jupiter and Uranus in Aries will allow the change to happen quickly and probably unannounced.

Conclusion: Oil prices will remain over $100 until June when demand destruction becomes apparent. The June 2nd and July 1st eclipses will change the landscape of world markets and the price of oil will reverse direction.

aside: I'm hoping I'm correct since I'm scheduled to lecture in June for the South Suburban Chicago NCGR and the Milwaukee NCGR. I plan to drive so I will have the freedom to cruise around.