Dear Members,
As predicted USA market came down in the second half of from higher levels. Oil move was not able to helped market trend which surprised many. Leading tech stocks came down sharply and I am worried about big tech stocks, we already recommended collecting call options money by selling these stocks. Today FMCC, and FNMA went more than 45%, we recommended both these stocks after elections and they gained almost 100%. Hold positions in both these stocks.
Tomorrow I will write strategy on Italian referendum, it doesn’t matter where market goes or out is outcome but you will make money on our strategy so get ready tomorrow. Thursday all major markets will trade weaker but as predicted S&P will hold 2188 level, if it starts trading below 2188 then bad news for market for the short term. Stay side-line or trading in and out is our advice.
We are sure you must have booked profit in leading tech stocks, and Indexes. We are not recommending any aggressive shorts but surely current time is to keep building shorts in market slowly on any every rise. No short-term trade is recommended when any market is changing directions because short term trade can through you out from any sharp move so always taking small bet and specially with call and put options work very well. I always believe in medium and longer term trade, and we always recommend to put 90% money in medium and longer term trade, only 10% shall be use for any opportunistic short-term bet. In the last thirty year I seen day traders or short term traders only lost money, I have yet to see anyone who made money in day trading or short term trading. Wealth and fortune can build if you focus on longer term investment strategy and astro cycle is one of great theory which provided most of trend so far in the last Thirty years.
Please stay away from short term speculations because it is waste of time and money, it can peace away from you.
Oil must remain above $49.88 for three days to give new higher prices otherwise, once again weakness can start which can impact market trend. ERX is holding, now new levels will be $44.00 astro resistance level and support level $33.00. If this time ERX breaks $33.00 then oil can move back below $40.00 level so watch closely from next week. No short in oil and energy stocks until it remains above $48.88 level.
DUST must close above most important astro resistance level of $61.00 to give new directions or new high for DUST so watch DUST closely. On lower side it will hold $45.00 level.
TMV, TTT and TBT are performing well, TMV came up from $15.00 to $23.00, 25% profit can booked around current level.
Metals are trading as predicted, next week will be crucial. Gold is in safe zone until it holds $1171 levels. Read tomorrow flashnews carefully or next week weekly newsletter because gold have achieved our important target $1171 and next move will be interesting one.
Thanks & God Bless
Mahendra Sharma