Today's Trade & News

In the previous week, grains as well as oil declined substantially. China also announced the revaluation of its currency while once again; there were sombre clouds as fanatics attempted another disruption of peace in London. As I have asserted in the past, The Jihad or violence is not the solution. Whatever cause or grievance; political, religious or otherwise, this is clearly not the way forward. Mahatma Gandhi very valiantly fought for his cause without ever shedding a single drop of blood. He used the power of the mind and force of will to articulate his ideals. I believe that the power to communicate is the greatest weapon.

Hundreds of people are dying in Iraq everyweek. The future of many of the citizens is now uncertain with the young losing their parents while the elderly are robbed of those on whom they depend for their livelihood. It is indeed a tragic situation and time has come for the plight of innocent victims to be taken into account. Many people are suffering. Here, it is not like in the western world where governments support their citizens. As far as I know, that is not the case in any in the eastern world.

I was against the war even before it started when I foresaw it eighteen months in advance.  Accordingly, I warned the world leaders to try and avoid it: if there is a fire on highway, one just needs to change the route and take another that will lead to the same destination! Today, politicians in the USA & world have forgotten about who committed the horrendous bombings of 9/11 (Bin Laden and the Taliban). Their focus has entirely been on Saddam and Iraq. 

I know that many members may question why I raise these kinds of issues in my weekly financial newsletter. One may also wonder why I am a non supporter of the Iraq war though I am Hindu. As a citizen of the world and a son of nature, it is our duty and right to speak out when we see things going the wrong. We cannot simply ignore the pain and suffering of another human being regardless of who they are. It does not matter which part of the world they are from or whether they are Hindu, Muslim or Christian. We are all the same, with the same red blood in our veins. It is ideology, egotism and the power of influential people that are making this world unstable.

President Bush made the right decision in waging war against the Taliban and the Bin Laden empire. Indeed, the entire world was with him and the USA even had the support of many Islamic nations as well as my country India/Kenya. However, they then moved on to attack Iraq... why? … and for what reason?

Let me just leave this topic but we pray that world leaders get wisdom and think collectively about what can be done to foster peace and harmony in this beautiful planet. They are leaders and they wield enormous power. They must use this power in a meaningful way to effect positive changes for the good of mankind and the world. If a son or daughter or student is not behaving properly, we always try all possible means of making him/her understand and embrace the right way- we never eliminate the problem by killing him/her. 

Let me start this week’s newsletter:

PREDICTIONS FOR 25 JULY TO 29 JULY

GOLD

During the last week gold prices remained stable and didn't fall below $419.8. I am therefore changing the outlook on gold for the next nine days. This week I see gold trading in the positive range. One can buy it on Tuesday and sell on 3 August. This therefore means that gold and gold stocks will have a positive time for the next nine days. During this period I see it moving up to $433.80 while the downside will be $421.10

SILVER

Buy silver on Tuesday if you didn't buy on Friday. Silver will remain around $7.09, which is very positive news for silver investors. Downside it can go to $6.95.

BUY SILVER FOR THE NEXT NINE DAYS, AS IT MAY REACH THE FIRST TARGET OF $7.41.

COPPER/PALLADIUM/PLATINUM

Last week, palladium and copper went up and I expect the same to continue till Thursday. In addition to corn and silver, palladium is another commodity to watch very closely in 2005. 

Avoid any buying Platinum.

STOCK MARKET

I have made three new divisions on world indexes and put up a new theory that shows:

The Asian market (including Australia) will remain stable till Tuesday. They should however start moving down from Wednesday.

The European market will see a major downside from this weekend (Friday) and may fall over five percent in the next eleven days.

The USA market will make a new high and I recommend cutting down to your short positions, but adding a small short position every week in rising from next week. Last week didn't go down following a weak planetary combination and I therefore expect it to remain positive. Mars is playing the role of fire and several rising stocks will therefore hit new highs with high volatility. Be very cautious also because a fall has to come and this time round, it will be worse than 2000/2001. So cut your short position to the lower side only in the USA market.

I don't trade silver at all and therefore in addition to grains, I will make money for my fund in the market in the last quarter since a very sharp fall may limit down and I am confident the Dow will go down to 5600 soon by end of next year. So please save money to short the market and don't get confused by this short-term rise. 

CURRENTLY, YOU CAN SELL THE EUROPEAN MARKET FROM FRIDAY.

I shall be monitoring my new theory of predictions very closely and try to update you on a regular basis.  

This week, Wednesday is an important day for the market and I shall therefore write then.

COFFEE

Last week coffee bounced back from $96. I bought and am holding it and shall be adding more. It won't surprise me if coffee prices touch $148 to $179 during the last quarter of 2005. This week over all prices will move up with scary down ward trend but hold your position.

COTTON

In the last week, cotton prices moved up from low and they will continue to rise. Buy cotton if you don't have it in your portfolio. The next target is $62.80.

SUGAR

Keep adding position in sugar because it should move higher to a new level during this week. However, get out from it after two weeks. (move in new high zone)

TREASURY BOND

During this week the bond should remain weak but don't short it as I expect it to inch towards a new high for 2005 in the last week of August. On weakness, please add a small quantity.

OIL

In the last week oil fell quite sharply and it should remain weak even for the current week. One can sell if it rises one dollar that is around $60. On the downside, I expect it to touch $55.10 in coming week AND if it breaks this figure than it should touch $51.90. Sell oil from Wednesday or Thursday.

GRAINS

Grain prices will remain stable this week and even gain some ground from Tuesday to Thursday. However, they may remain very volatile on Friday.

DON'T SHORT GRAINS.

You all knows that I am targeting very high prices for grains for 2005.

CURRENCIES

Last week China announced revaluation of it currencies. Resulting this Dollar moved down on Thursday but same time I came up with an a alert "buy dollar". Friday we experienced a strong up move of dollar because nature is with dollar and I follow the nature. Stay long with dollar and may you don't have to do any thing.

During the first three days, all currencies will move in a small range and this might frustrate a lot of currency traders. However, those with long positions in the dollar should hold on with patience.

This week is good for day traders as currencies will move be on both sides.

TRAVELLING - I am travelling to DUBAI, INDIA and KENYA with my family during this week, and I will try to remain in touch with you.

LAST MONTH I MENTIONED AND I HOPE YOU REMEMBER.

Thanks & God Bless

DMahendra

23 July 2005

www.mahendraprophecy.com