Final warning in metals
Dear Members,
I am still not able to digest last two days volatile trend. Yes planetary position is indicating huge up move in metals from mid October but current time is still indicating uncertain or volatile so I still warn metal traders to trade carefully. Those who invest for longer term in gold and silver shouldn’t be worrying but in shorter term I would like to see that how many days gold can trade above $1241 and silver above $19.10. I am highly selling call on metals as I know if they move down they will fall very hard. I won’t surprise if gold fall $100 to $175 in the next 20 days.
Copper also achieved our lower target of 318 so avoid new trading in copper as it will move up but after next week copper looks weak.
Oil yesterday achieved our target ($70.00) and it may rebound for shorter period before it collapses again toward new low. Next week one can buy Natural gas.
Grains looks weak with soft commodities, hold your shorts in grains and soft commodities and buy rice and Lumber. Mercury says Coffee is still in bull market buying can be done on lower level.
Stock markets are trading very weak with volatility; avoid emerging markets for the next three weeks. Just keep adding Uranium, wind, solar, and battery stocks. Avoid banking and technology except power sector.
Dollar should be in your shopping list on other hands don’t short Yen and Swiss Franc thinking that they are trading on higher side. Many of our members have good money on Yen buying call in the last three months, yes should top out soon. Australian and Canadian will drop from tomorrow or next week.
Note:
Hold your long position in rice position and buy lumber
Warning on metals – technically they very bullish, astrologically they looks very bearish after next week.
Thanks & God Bless
Mahendra Sharma
Thursday, 26 August 2010