In my original posting I gave a negative interpretation, in the sense that the neighbour was not lying, but telling the truth. So what went wrong?
So, digging deeper here are some of the further considerations that I came up with.
As others mentioned, the ascendent on the chart is at one degree, which normally indicates it's too early to judge, we don't have all the information yet, best not to judge the chart.
In addition, south node is by the ascendent, as well as Saturn in first house.
And, moon separates from an opposition to ascendent ruler Saturn, retrograde in the first.
According to Ivy Goldstein Jacobson in her book Horary Astrology, the gossip is true if the cusp or ruler of the angles or the 4th house is in a fixed sign.
- The neighbour is the 3rd house, cardinal sign Aries on the cusp. (so, not true)
- Ruler of the 3rd is mars in mutable pisces. (not true)
- The ascendent/descendent axis is also in cardinal signs. (not true)
- However, the 3 rulers involved are all in fixed signs: saturn, Uranus, moon. (true)
- The midheaven/IC axis is in fixed signs. (true)
- Neither of the MH/IC rulers (mars, Venus) is in fixed signs. (not true)
- The 4th house is in a fixed sign, its ruler Venus is not. (not true)
So this is a little of a mixed bag, although the Not true outweighs the True.
The rumour will be contradicted (that is, it will be proven false) if moon is in the 8th house, which it is. (This is because in the 8th house it upsets the report of the 3rd house of gossip.)
The rumour will come to nothing if the moon is decreasing in light in the 8th, which it is.
Sun in the neighbour's 3rd house approaches a square with mars, who is ruler of the neighbour. So, she contradicts what she says.
Moon separates from an opposition to the ascendent ruler and applies to sextile with Venus retrograde in the neighbour's 4th house.
Moon trines Chiron on the cusp of the 3rd, which is the neighbour.
Who is the neighbour's mother?
There is a lot of debate on which house represents the mother and which the father.
I chose the 4th for the mother, based on its traditional role in cancer as nurturer and home.
The 4th from the neighbour 3rd is the radical 6th, with Venus on the cusp, ruled by mercury, and holding mercury conjunct north node.
If we instead use the 10th house, which was suggested above, the 10th from the neighbour 3rd is the radical 12th, ruled by sagittarius. Ruler of the 12th Jupiter is retrograde and in its fall, although it is in its natural house (12th ruled by pisces). Jupiter is in the ascendent and approaches a conjunction with Saturn, ascendent ruler.
The mother supposedly is in a hospice (so 12th of hospitals would be appropriate here) and suffering from bone cancer (Jupiter traditional significator of cancer, in Capricorn who rules the bones, so again appropriate).
But why would the mother be approaching the querent's ruler???
Finally, I recalculated the chart, inserting some asteroids I thought could be helpful.
Bilk, Veritas, Swindle, Lie.
Bilk is exactly inconjunct Venus (on the cusp of the 6th house, and would be the mother if we use 4th as her house).
Veritas sextiles neptune. Truth and falsehood, not an easy match!
Swindle squares mercury and North Node in the 6th ( if the mother is here, it might give us a clue). At any rate, swindle square mercury is indicative of lies.
However, Swindle is in the querent's 8th house (opposing her 2nd of money).
In addition, the ruler of the neighbour is mars in the 2nd, which is the querent's money house. In addition to this, Swindle trines Jupiter, ruler of the querent's 12th, and approaching the querent's ruler Saturn.
Is this the reason behind all this story playing, is the neighbour trying to extract money from the querent?
Lie is conjunct mercury, quite telling in itself.
So, what is the verdict here?
Ps. one last note, why should one not cast a chart for self questions? I would think they would be perfectly valid, if they follow the rules, and can be very helpful.