Get ready for most exciting ride
Dear Members,
Since the last few months one thing we have constantly been saying is to get ready for the most exciting time ahead for stocks and commodities. I too am excited about the coming time, to make money in the next three years and get out from market because everything will crash. Yes, this is an overall vague picture of the future.
Last week was proven to be one of the best weeks for S&P and Dow. This week there will be huge activity in indexes and currencies as we are entering into expiry period so trade carefully. Planets are giving a clear signal that US dollar will outperform, stock markets will gain early this week but after middle of this week they will start giving up gains.
In financial astrology, number 4 represent uncertainty because it is the number of north Node which likes to remain in darkness without light and clarity. Darkness represents no clear path in financial markets and investors are unable to think clearly. 2011 year represented number 4, (2+0+1+1=4), we all aware that 2011 remained the most uncertain year for stocks, commodities, and currencies. North Node is moving from house of Scorpio and most of our members are aware that Scorpio doesn’t favor either bull or bear.
The coming year 2012 which represents number five, which is year of Jupiter and Jupiter always plays a very positive role for markets. Jupiter will be moving from the house of Mars and Mars represents Fire so surely we will see lot of fire in financial market or bull will be bellowing.
Let’s see how the markets will perform this week:
Weekly newsletter from 5-9 December 2011,
GOLD
This week gold will remain mixed but on the positive side so take a buying opportunity on any weakness. On Monday gold will trade mixed but from Tuesday onwards gold will move up and this rising trend will continue until Thursday mid-day. From late Thursday and Friday gold will remain uncertain so avoid any big buying position (cautious).
As compared to gold, silver will trade far better….
SILVER
The down side trend is limited in silver, buy silver around….
COPPER/PLATINUM/PALLADIUM
Planets are not favoring buying in base metals, especially platinum and palladium during this week…..
STOCK MARKET
What a great last week we had! Dow rallied 7% in a week and all markets followed Dow. Planets are giving clear signal that all investors from different countries should follow S&P. Now the time is coming back when the world will look at USA for any directions. Yes, I can’t wait to see this most exciting time for S&P and the world equity market.
My advice is that one should trade in indexes as compared to buying individual stocks except our favorite areas like food, tech and uranium.
This week on Monday S&P will trade mixed but on Tuesday some weakness might come. Wednesday and Thursday again S&P will gain from lower level so follow our daily range for S&P and buy at lower side predicted range. S&P will hold 1200 on down side and upper side is 1274. Last week of December may be exciting.
Late Thursday and Friday we see weakness or profit booking coming in. One weakness will come in all indexes and that will be from this Thursday to next Tuesday, after this market will never look back so plan your trades accordingly…..
COFFEE/COTTON
We saw huge volatility in coffee prices…
COCOA/SUGAR/ORANGE JUICE
I don’t recommend any position in these soft commodities…..
TREASURY BOND
Thirty year bond prices will make top soon around 145…
GRAINS
Grains are trading weaker as predicted; we still don’t see any excitement in grains so avoid any positioning trade in grains. Sell on the predicted higher range….
ENERGY
Planet Saturn guided us very well on oil outlook…..
CURRENCIES
US Dollar is refusing to move down as it has been gaining always from lower prices. We have to accept that dollar is getting ready for the most exciting time regardless of stock trend because currently everyone things that market moving up may force dollar down but that won’t be the case at all so please put this in your memoir.
This week dollar will be keeping high so keep adding position around 78.00 and target 80.00. Rising trend in dollar will start from late Monday or Tuesday.
Emerging market currencies will fall sharply from Wednesday and these currencies may go towards a new low again. Thursday and Friday trend will remain weaker.
Japanese Yen looks negative for medium term and it may reach toward 1.23. On the other hand Euro, Franc and Pound will trade weaker but commodity currencies will gain value against all currencies.
Indian Rupee and Rand will move down sharply from Wednesday towards a new low so get out from any position if you have any….
Thanks & God Bless
Mahendra Sharma
3 December 2011, Santa Barbara