In a dimly lit room, a tapestry of stars glows, mirroring the dizzying pace of global stock markets. Here, stocks shimmer in the sky in sync with Wall Street’s fluctuations. Constellations symbolize corporate conglomerates, galaxies stand for industries, and a black hole is ominously named after Lehman Brothers.
Black Scholes Stock Market Planetarium: When Stars Dictate Financial Moves
The mesmerizing “Black Shoals Stock Market Planetarium” isn’t a whimsical cosmic occurrence, but a bold art installation conceived by Lise Autogena and Joshua Portway, celebrated in galleries worldwide.
Its inspiration germinated from the enigmatic realm of financial astrology. According to Autogena, this practice aims to forecast market swings by meticulously studying celestial movements.
While some may dismiss it as pseudoscience, financial astrology is undeniably gaining more followers and refining its methods.
Previously, this art relied on studying a company’s horoscope — analyzing its foundation date to chart an astrological map. Today, however, financial astrology employs mathematical methods akin to modern financial theories.
“It all boils down to calculations,” says Christeen Skinner, a leading UK-based financial astrologer. Technological advancements have further propelled this discipline; software like Market Analyst can map celestial bodies and correlate them with economic trends, a far cry from ancient astrologers who advised on crop yields.
Between Math and the Stars: The Rise of Financial Astrology
The Black Shoals Planetarium itself contemplates the Black-Scholes mathematical formula, which assumes market rationality. Still, some, in search of alternatives, are drawn to financial astrology.
Such is the case for speculators disoriented by the sharp devaluation of the Indian rupee, who sought answers in the stars.
Dharmesh Joshi of GaneshaSpeaks.com, a leading astrofinance consultancy, noted that the launch date for the new rupee symbol was ill-fated. However, economists argue the devaluation was tied to uncertainties about US policies.
This astral trend isn’t confined to countries steeped in superstition. Both the UK and the US have seen a rise in astrological consultations.
Ray Merriman says his consultancy, MMA Cycles, boasts over 7,000 subscribers. Meanwhile, Henry Weingarten of the New York Astrology Center and Grace Morris are renowned for their precise stock predictions.
The Challenge of Prediction: Is Financial Astrology as Reliable as Traditional Techniques?
Despite these achievements, Skinner cautions against sole reliance on this tool: “It would be unwise to base all our decisions on financial astrology.”
The global financial crisis has led many to seek alternatives to conventional techniques. With its mathematical backing, financial astrology emerges as an appealing choice.
Perhaps, as Nassim Nicholas Taleb suggests in “The Black Swan,” traditional risk estimation techniques aren’t more predictive than astrology.
And maybe, John Kenneth Galbraith was right when he quipped that the real purpose of economic forecasts is to make astrology look respectable. In light of recent events, his remark seems more apt than ever.
