Dear Friends,
Here is part of this week newsletter because many has requested to put this week weekly newsletter. Watch you trading as metals, stocks and oil can fall sharply from Friday.
Thanks & God Bless
Mahendra Sharma
Dear Members,
First time I realized last week that gold has been trading against Euro not against USD. Last week we saw that euro was getting stronger and putting pressure gold. For the time being dollar move has become irrelevant for the gold.
Last week dollar remained a bit weak on positive US economic outlook. Compared with last week dollar remained positive on a sideways outlook. This strength confirmed that even in negative time nature favored dollar. In addition, last few weeks I have noticed that positive planetary movement for gold was supporting dollar, which to me is most exciting news for the dollar. All in all, these confirmations assure us that dollar will move up for the next six years, versus my previous target of three years of its current bull market. This week will reveal answers to all the pending questions on future of dollar and other currency markets.
Dollar will keep gaining but currency like Swiss Franc and Yen may gain against USD. Commodity currencies like Canadian, Australian and Rand to perform with huge volatility. Our focus will still be on USD, and next week it will be a new “Avatar” for USD.
Commodities will flow with wave of nature but surely precious metals will fall so we predict a doom period for metals in 2010.
WEEKLY NEWSLETTER FROM 15-19 MARCH
GOLD/SILVER
Last week gold went down but not as much as what we anticipated. Worst time is still not over for precious metals so we are still warning on metals’ trend. In earlier part I mentioned that we are starting to see larger astro cycles and forces are amplifying its effects over shorter term trends based on traditional planetary movement. In other words, in a negative trend, even short term positive days could be turning into negative days. This week Tuesday to Thursday as per basic planetary theory gold and silver should remain positive but what I see is that current, strong wave may bring down metals so it will be interesting to watch the whole trading pattern of metals.
Monday gold and silver will remain weak.
Tuesday and Thursday gold and silver should move up sharply from lower prices. (If this doesn’t happen then expect huge correction in metals.)
Wednesday and Friday we will see both side movement so sell on the rises intraday and you may gain in short term day trading.
Metals stock will enter in shorter and medium term bear market. HUI and XAU will hit new lows.
COPPER/PLATINUM/PALLADIUM
These base metals are remaining sideways. Mars will push down prices of base metals. Current planetary movement shows weaker trend starting from Friday and base metals will fall sharply. Monday and Wednesday also will remain weak.
Once can take short positions in platinum and copper from Monday on and hold these short positions as huge corrections will come from next week in all base metals.
IMPORTANT NOTE: If Tuesday, precious and base metals don’t fall then don’t trade aggressively on the selling side until Thursday. From next week I see huge fall in metals for sure.
TREASURY BOND
This week thirty-year bond prices will move down. We recommend selling positions in bond and cover your shorts on Friday. We expect bond prices to fall up to 115.10.
COFFEE/COTTON
Both of these soft commodities are trading sideways. Cotton prices came down around 5% but it bounced back on Friday. Monday is a great day to take sell position. We expect trading range of cotton from $82.80 to $78.10.
Coffee prices will remain sideways. This week planets are indicating buying opportunity. So buy coffee on Tuesday and hold positions as we see coffee prices bouncing back to $141.10.
SUGAR/COCOA
I don’t think that anyone believed that sugar would drop more than 38% in the one month and it did happen as predicted. May 12010, contract in sugar came down from $30.39 to $18.81. A few of our members have made huge money on shorting sugar. Our short term target is fulfilled in sugar and now we recommend to cover all shorts and wait for few week before we recommend shorting again.
Cocoa prices has been trading weak as predicted. We believe that cocoa will be trading sideways from here so avoid any new trade in cocoa.
STOCK MARKETS
Our outlook in market came very wrong during last week because we predicted sharp fall in markets. I don’t know any reason why market remained stable. Anyway this week weaker trend should start from late Thursday so I would like to watch trend of Thursday and Friday before I give 100% confirmation of the coming fall.
I see best time is coming to acquire alternative energy stocks, so before September you should be ready with your list of solar, battery, fuel cell, wind and nuclear energy stocks to buy on the coming dips.
I will write detailed predictions of all markets after seeing Thursday and Friday movements. Best I can advise now is to sell metal stocks as worst time is coming. Sell metals stocks, ETF’s or buy shorts ETF’s as this will be one of those lifetime opportunities.
GRAINS
This week grain prices will remain sideways, and major upward action will come from 23 March 2010. Most of our members are aware that corn is one of our favorite commodities in 2010 so do not worry to acquire corn call options at this stage. If you are buying future positions then hedge your positions by selling soy as we see weaker trend in soy.
This week grains will open stable or positive on Monday and rising trend will continue on Tuesday but from late Tuesday we see some selling coming. The best day to acquire positions will be Thursday in corn and wheat.
OIL
Last few weeks oil has been trading very strong without falling. However, except Sun no other planet is supporting oil so it is very hard for oil to stay at the current price level. Huge fall is on the card so take opportunity of selling on Wednesday and Thursday.
Heating oil, RB gas and oil will fall sharply from Wednesday on. By next weekend oil should come to $73.80 so plan your trade as great time to make money.
Natural gas will remain weak or sideways, but from late Thursday I see positve move in natural gas and this rising trend will continue until Friday.
CURRENCY
Last week Dollar consolidated between 80.83 to 79.80. All major planets are indicating biggest rally ever happens in the currency market is coming. This week is crucial. Under normal conditions with what planets indicating dollar should remain sideways but again more pronounced effect by Moon and Jupiter are indicating huge up move in dollar from late Monday, and this trend will remain for the whole week. By end of March dollar will cross the 84 mark so yes dollar is entering in most interesting period.
In the last few days, EU finally decided to support Greece, and many are expecting that this will bring stability in Euro. We don’t see that happening, however. Short term technical analyses are supporting Euro but astro movement is indicating that powerful forces will overwhelm positive technical indicators.
Canadian and Australian, the two commodity currencies, are trading at new highs. Sun changing during weekend will tip these currencies toward downward trend so this is one of the greatest weeks to sell both of these currencies. In the next two months we see both of these currencies fall by more than 20%.
Japanese Yen will remain weak from here but Swiss Franc will trade opposite of Yen. We see Yen going back to 1.0710.
British pound will remain weak. Sell Yen and Pound on Monday.
Tuesday’s trend is very important for Dollar and Euro, so I will come out with an update as I see new trend taking place from here. Last 9 years Euro got support from planetary combinations and now time is indicating that Dollar will get support from similar planetary positions.
Note: Wait for update on metals and currencies on Tuesday. Also for stock market we will write update on Thursday as markets are indicating downward starting from that day.
Thanks & God Bless
Mahendra Sharma 14, March 2010