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It's called cold reading and it's a simple way for scam artists to get into your pockets (or in this case, just to mess with people, which is a lot of fun to watch.)
He threw out the divorce/childhood thing, which could easily apply to a lot of people but seem specific enough to convince them. I guarantee you look like a member of the military, and it's pretty easy to guess of people who have that look who's a Marine most of the time. You seem too young to have served a full 8 years and you might have your hair a bit longer than a crew cut, or you might not quite be in perfect shape anymore, so he guessed that you got out early.
A lot of former military people go on to be police, so that's not a tough guess. The "you do fucked up shit but don't like it about yourself" and believing in God but don't go to church are pretty widespread and really wide open to interpretation. Then he threw out a cheesy "go with your heart" and a "stay on the good side" line for good measure.
Even if that's all that he said, it's not particularly impressive. You don't have to say anything because it's easy to read peoples' reactions to cold reading, that's why it works. He threw in your sign, but this has nothing to do with astrology, even people who believe in it won't go just on your sign unless they're writing quips for the newspaper.
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