Weekly Newsletter from 23-27 November
Commodities are in danger zone, 22 November, 3.00 PM Santa Barbara
Dear Members,
Last week the equity market performed very well, S&P opened sharply lower on Monday at 2003 and Friday it closed at 2088.75 which is almost 4% up. Nasdaq as well as European market also gained handsome value. On the other hand, commodities struggled and dollar remained in an upwards trend and Thirty year traded in a narrow range. Emerging markets and emerging market currencies were looking for clear directions. There is no doubt that fund managers still want to bet on developed markets like USA, Europe and Japan, instead of increasing exposure in emerging markets but surely 2016 will have a different story.
At this stage a few of my personal clients asked me that from here on to end of year where will S&P be and I am sure many of you must be looking for the same answer that where will S&P move in the month of December. From here to 31 December we have 23 trading days and 2 half days pending in the calendar year 2015. Currently S&P is just 1.5% away from an all-time high but it has done nothing extraordinary in the year 2015, surely it bounced sharply from fear of crash. So far in 2015 actions remained stock specific and money moved in and out from one sector to another.
Our astro cycles are indicating not to bet too much on short term basis but surely plan major trading and investment strategies for 2016 as 2016 could be one of the best years for investors. We won’t recommend to bet for the year end trade as from mid-December traders will remain in holiday mode so better to plan 3 to nine months’ strategy at this stage. If you trade options, then plan medium and longer term strategies keeping in mind that S&P can gain 30 to 45% higher from here. I know many of the stocks are trading at all-time high so what will trigger investors to keep buying stocks because many say that they don’t see any fundamental reasons for market to move 45% higher in the next 18 months but we believe that astro cycles will create a euphoria in investors behavior pattern.
We won’t recommend to put focus on commodities, we are also not recommending to bet against USD and stay away from bonds. The current astro cycle is indicating positive momentum to continue in the market, I will be watching North Node closely because it has a power to create a twister of speculations in that bull riding with wave of euphoria, greed and hunger of more which is on in 2016 and half of 2017. Elections and elections results will be ignored, political news will be thrown to the dustbin and earning won’t matter at all, it is surely as power speculations and bear will be trapped badly, many bulls will turn into bears and they will get also trapped. We are not recommending anyone to remain bearish because it will be one of the most aggressive cycle with nothing will make sense and surely I will keep writing and try to guide you through the oncoming madness because we want to remain on the right side instead of going against the wave. I am sure many of you must be excited to see S&P moving toward 3200 but before that happens you have to meditate and plan your strategy well so you make money.
Stop subscribing our services if you are not able to make money: In 2007 we warned and predicted crash in market, my holding in market was zero. On 26 February 2009 we predicted bottom of market when S&P was at 683 and recommended putting everything in. In month of August and September 2011 we strongly came out with most bullish predictions with recommendation of buying S&P at 1100 with target of 3200. Most of you have been following our work since last decades and if you haven’t made money in market specially from 2011 then there is no use to subscribe to our services so now it is time for you to look into what you were doing wrong or what strategy we should have adopted because now we are at a most important juncture where a limited amount of time is pending to make money and if you can’t fix the problem then stop wasting money on our subscriptions. Many investors are sending me depressed emails and since the last three years in every newsletter I have been recommending staying away from metals and to adopt sell strategy and if you are still losing then something has to be wrong in your strategy. Please look in to your trading and investment strategy closely and rectify it as soon as possible as after 18 months you may not get an opportunity of making this kind of money in the market because the astro cycle time will change and there will be no wave to float and I don’t know at this stage what predictions I will come out with in mid-2017.
Here is this week newsletter from 23-27 November 2015
GOLD/SILVER/BASE METALS
Last week gold, copper, platinum and silver traded at nearly five year’s low but metal stocks held value very well at the lower point. HUI is still holding 105 level which is most crucial. Many of you reading must still be doubting that gold may not move towards $980 or silver toward $12.75 in the next one month but chances are very much open because gold won’t bottom out until 2023 so surely some bounce will keep coming along the way of the multiyear bear market and if anyone tries to sell you the predictions of gold moving toward $1500, $1800 and $3000 then just ignore these emotionally attached people because they have been guiding you in the wrong direction with wrong hope.
From here onwards bear market in gold will be purely due to India because in Rupee term bear market have started in gold and silver, and worst is yet to come in medium and longer term for Indian gold lovers.
This week looks mixed for first few days but after that gold is starting a negative cycle so Monday and Tuesday one can take a selling opportunity in gold, silver copper and platinum on any rise. Also we recommend staying away from other metals like palladium, aluminum and zinc.
Copper has been performing horribly and there is still no indication or hope to move higher, any rise in copper should be taken as selling opportunity. Zinc prices moved higher on Friday and this week on Wednesday one can take a selling opportunity.
Monday one can trade in and out but on Tuesday one can add sell positions on any rise and hold your sell positions in base metals as well as precious metals. Avoid any buying in metal stocks as they will keep underperforming and the future doesn’t look that promising.
On the higher side gold will struggle to cross $1088 and down side it has small astro support point at $1055 to $988. Silver will not be able to cross $14.37 and on the down side astro support levels are $13.83 to $12.75. Copper will break $200 mark and platinum which historically use to trade 15% higher than gold is now trading 15% lower than gold and pressure will continue on platinum as well.
Over all short term View – Very negative for precious and base metals
To read complete weekly newsletter you have to subscribe..http://www.mahendraprophecy.com/weekly-newsletter-subscription.php
Thanks & GOD Bless
Mahendra Sharma