Chinese New Year 2013: U.S. Stocks In The Year Of The Black Water Snake

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Chinese New Year 2013 Zodiac Market Predictions: Year of the Black Water Snake

dragon Chinese New Year 2013: U.S. Stocks In The Year Of The Black Water SnakeThe Chinese New Year 2013 is upon us and the big day is February 10.  According to Chinese legend, Buddha invited all of the animals to a New Year’s party and twelve showed up for the event.  As a result, Buddha named a year after each one.  This New Year – Chinese year 4711 – is the year of the Black Water Snake.  The Black Water Snake represents major transformation and change.

Prior Snake years have brought us such infamous moments as Pearl Harbor (1941), the September 11 attack (2001), the Great Depression (1929), the Russian Revolution (1917) as well as the recessions of 1953 and 2001.  People born in snake years are famous for being generous and smart.  Some of the most famous people born in the year of the snake are known by just one name:  Oprah, Dylan, Garbo and Brad (you know … Pitt).

Chinese Zodiac snakes are always female or yin.  Yin energies are calmer, especially when contrasted with the male or yang energy of 2012, which was characterized by man-ic edginess.  Snake years are seen as times of transformation, as change is expected in a manner similar to the way in which a snake sheds its skin.

CLSA, Asia-Pacific Markets, provides a lighthearted, Feng Shui analysis of what to expect with each Chinese New Year.  According to CLSA, the Chinese New Year 2013 Zodiac begins with a heavy emphasis on wood.  This could be a good omen for the construction sector (NYSEARCA:XHB), as well as the paper industry.  The rest of the year has a bias toward metal, which is associated with the financial services sector (NYSEARCA:XLF).  Water is also very dominant throughout the year, and it becomes particularly strong in April.  April appears to be a good month to stay in cash, as water will dominate.  Stay liquid!  Water is also associated with the gaming and tourism industries.  Gold (NYSEARCA:GLD) gets a boost in April, but by May, fire becomes dominant which bodes well for the energy sector (NYSEARCA:XLE).

The year looks relatively benign until August which appears to be a particularly difficult month.  The featured animal is the monkey who is always a troublemaker and, on a scarier note, the CLSA report suggests that solar storms could cause power grid failures in late summer (NYSEARCA:TAN).

Summer’s volatility carries over into September, October and November as volatility stays high.  However, by December, fire is expected to get doused by water, killing volatility.

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