Today's Trade & News

Dear Members,

Financial astrology through guidance and indications of planetary movements is unique and has resulted in very prudent market decisions. As you are aware, markets don’t usually rise or fall sharply from the middle of the range, and a drastic fall could be confirmation of a bottom out. Similarly, a sharp and sustained rising momentum for a long period culminating in major volatility could be an indication that the bubble is about to burst. While experienced traders and investors are aware of this and understand trading patterns, the difficulty is usually in finding the right top or bottom.  Needless to say, one would be able to beat the market and outdo any expert if able to correctly pinpoint the top and bottom.

This is what I try to establish through astrology once I get indications from the planets. For example in predicting the bull market and bubble burst in technology, Jupiter adopted a position cycle and chose an underground article; that is below the earth’s surface. Given these indications, it was therefore fairly easy for me to predict the bull market related to items found below the earth, that is precious and base metals as well as oil. This cycle will remain for another 44 years but one should be cautious because it doesnʼt mean that metals, mining and energy will always keep moving up. Whenever negative or enemy planets clash with Jupiter during that time, Jupiter is likely to retreat or hide and that will definitely result in a bear market. Caution is therefore needed at such times as the fights could go on for weeks, months and even years.

My research based on the fundamentals of astrology is completely different from all others because I believe in the wave of nature. Whenever planets create a wave, this could form a category 1 to 10 storm in the financial markets. Currently, Saturn is taking position to build a very unique bubble in the history of the USA market but before it begins its journey, it wants to ensure that it is in full control and that it sets off on a clean slate. Planets always play this kind of game, for instance Jupiter supported commodities with its complete blessings on one hand but damaged the Dollar trend on the other because it had a negative relationship with the Dollar.

From the beginning of the year, Jupiter and Saturn have been playing a critical role in banks and currencies: their damaging influence on the banking industry, loan, finance and mortgage institutions as well as currency value is clear. These will continue to be in danger; hence the need for caution as it is very difficult to anticipate the moves of Saturn. It is however clear that Saturn currently has a soft spot for the USD. No matter what happens to the USA economy, Saturn will ensure that the Dollar survives. This is to say that one need not dwell too much on understanding the micro economy or fundamentals of the USD because its trend is firmly in the hands of Saturn. So far no one has ever won in a confrontation with Saturn for the last 3600 years; hence I am very confident about this prediction.

After the USD, Saturn is next set to take control of the USA market and wreck havoc on other nations. We therefore pray that financial problems don’t grow in other parts of the world; otherwise the world economy could face severe strain and even collapse. The only one likely to remain standing will be the USA.

Once again I would like to recommend that one only holds USA stocks and the USD from here as we may soon experience turmoil in the world banking system. In 2003 and 2004 we clearly talked about the collapse of big banks in the USA and today many can’t believe that we were able to predict the collapse of real-estate and banking industry in the USA. According to planetary movement, we are very near to the bottom of the Dow Jones, but don’t try to find the bottom in other markets.

The USD has already bottomed out and it is now consolidating at current levels and indications are for a major upward movement. One should put money in the USD and the DOW if you want to survive the coming time as major currencies will suffer devastating hits and lose 80% value.

Financial Predictions for 29 September to 3 October

GOLD/SILVER

Last week gold and silver held well compared to oil, but the planets are not in favor of metals and they are thus trading in a very risky zone. Though they may try to push up this week on Thursday and Friday, this will be the last effort and gold and silver could fall sharply either on Friday or from next week. I see the HUI and XAU going towards lows.

On Monday and Tuesday gold/silver will begin to trade weakly and I see downside movement dominating till Wednesday. Take a opportunity to sell on Monday morning. I expect gold to fall sharply for the first three days and after this weak trend there will be a small rebound on Thursday, but this will not last till Friday.

Last week spot gold/silver closed around $877/$13.41 and the maximum it can rise will be one percent $884 and $13.54. In contrast, I expect more movement on the downside, which could be more than four percent. I see gold and silver dropping an excess of ten percent in two weeks, therefore trade accordingly.

Trading range of gold be $884 to $832 and silver $13.50 to $11.32. If gold/silver break this levels then they can move down more 3%.

COPPER/PLATINUM/PALLADIUM/ZINC/NICKEL

As predicted, all these metals sharply declined in the past week. One should keep selling copper on any rise as it is in a bear trend during which it must drop 30% from the current level. At this stage copper is trading around $307, and the planets indicate that it could soon touch $255 in two weeks. Hardly any one believed that platinum could come down to $1100 months ago when it was at $2430, but astrology has proved its accuracy. Consequently, we constantly took put options and those who did that have made fortunes. One should sell these side metals as they are in a bear trend and will remain there for another three weeks.

COFFEE/COTTON

Last week coffee and cotton traded in range but remained weak. I don’t see any rising trend for coffee this week but we shall buy aggressively once we get a signal from Mercury. We want to hold cash for the time being before we make any investment in coffee as we would like to ensure that major planets are in support. Meanwhile, there is little doubt that coffee will reach $200.

Cotton prices will remain weak from here; therefore avoid any new investment in cotton.

STOCK MARKET

I strongly believed that 10900 should be the bottom for the DOW but in the last ten days it touched 10500. One should therefore put a lot of orders around that price and I strongly recommend that one should start building up their position in the DOW as I am astrologically very optimistic about the future of the USA.

The transit of Mercury will help the USA market move up this week but one should not expect it to move on one side only. A one-sided rising trend will begin from 12 November, but we should meanwhile see consolidation and gradual rising from current levels.

Start buying a lot of December calls as the DOW will be on fire like the Dollar did recently. November will be a very interesting period for the DOW and many blue-chip companies which have recently been down will rise from 200 to 500% and beyond within the next two months. Mercury is changing and one should therefore accumulate banking and financial stocks.

Major world markets will move up with the DOW on Monday, Thursday and Friday. One should take the opportunity to sell in the world market and buy the USA market.

The trading range for the USA market will be 10900 to 11380.

SUGAR/LUMBER/ORANGE JUICE/COCOA

These soft commodities will remain weak except orange juice. One should sell cocoa and sugar at current prices as they will fall more than 30% from the present level. Furthermore, a major weak trend is expected next week.

Lumber and orange juice will remain sideways or a bit positive. I do not recommend taking any short position, and one must cover if holding any short.

GRAINS

Grains will trade sideways for the whole of this week and there won’t be any interesting movement. There is therefore no need to involve money in trading. One should only engage in hot trades and avoid any involvement in side way trends.

Those who want to take a short position by buying puts can do so at this level, except for wheat. All grains will trade in a weaker trend for the next three months and lower prices are therefore possible.

Major grains could decline more than 5% during this week.

OIL

Last week oil traded as predicted but we were extremely concerned about the trend on Thursday and Friday. We had stated that oil could go toward $81.00 if oil fell on Thursday and Friday. The odds have turned in favor of a bear because astrological indications do not support energy.

This week oil will remain weak and I see it once again breaking $100. Side energy like heating oil and RB Gas will fall sharply. The trading range for oil will be $108.80 to $103.30 and it will surely reach $93.80 if it breaks $103.30.

DOLLAR

This week the Dollar will form the second strongest bottom around 76.20, which will be a great buying level. The US Dollar moved up sharply from $72 to $81, and as you may remember two weeks back we recommended partly booking profit in the trading position and keep the core position intact.

The Dollar has dropped from 81.10 to 76.30, which is an almost 5% move, meaning that planets are guiding us quite well. Once again I recommend that you fearlessly buy the Dollar. I predict what the planets indicate, that there will not only be an upwards move, but there will also be a historic bull market in the Dollar.

This week the Canadian Dollar, Indian Rupee, Euro and the Yen will decline from Monday. All currencies will rise against the USD on Thursday.

The Australian Dollar and Swiss Franc will remain side ways.

The British Pound will remain volatile on both sides. On Monday the Pound will be sideways but decline on Tuesday and Wednesday. There will be a sharp upward move on Thursday in the Asian market, but this will give way for a decline on Friday.

Mondays trades:

Sell metals, oil and grains.

Buy US DOLLAR and US Markets around 10500

Don’t invest any more cash in any other trades. Avoid all commodities or keep selling commodities for the next two weeks. Once again gold can break $800 and oil $100.

Thanks & God Bless

Mahendra Sharma, Sunday 28 September

www.mahendraprophecy.com