Wednesday’s Daily Flashnews (Unedited copy)
Watch 2405 level very closely for S&P
Dear Members,
On Tuesday NASDAQ traded higher but rest of USA indexes traded negative. Rest of many global market also went sharply higher and close all time high. Stocks are trading higher; tech stocks keep moving higher and Tuesdays markets closing higher indicates that markets can still hold value but it doesn’t start trading negative from Wednesday. Tuesday more negativity add more in astro cycle for markets even though market moved higher so we are still holding predictions of weakness from Wednesday and keep adding positions in market and UVXY on any rise.
Metals traded higher, energy lost value and agri-commodities traded in green. Softs remained in negative directions. Dollar lost big value as expected, and now closing below 98.51 level give very bearish indications for USD, stay away from any buying in USD at this stage. Weakness in USD may support gold and silver but base metals will trade negative. Higher side gold can test $1252 to $1262 level.
Thirty Year Bond traded mix and mix kind of trend will continue.
Once again S&P failed to close above 2405 level, it tested 2404.50 level but still fail to move higher.
Important note: Yes markets, are moving higher and they can still hold value until end of June so no major short term put options or future trades shouldn’t be taken but one must keep building put options aggressively of September and December 2017.
I don’t know what could be the reason of fall in July and August in all major market but one thing I know that fall will be sudden and drastically overnight. It could be political reason or any other but sudden wave of selling will push every investors, hedge funds, etf and funds to offload stocks at same time.
Party is going on in market, I am still very skeptic about future coming time, another 50 days market can hold value but after that who will save financial market?
On Wednesday let’s see whether S&P breaks 2405 levels or not but we still believe that S&P could face tough resistance at 2405. Oil will face tough challenge crossing $49.88 level. USD in danger zone if it fail to bounce back.
Thanks & God Bless
Mahendra Sharma
3.50 PM Santa Barbara, Wednesday