Dear Members,
Tuesday, except oil all other commodities traded weaker. Metals remained very choppy as was advised. Big guys from gold community suddenly turned bearish for the first time after six years. Gartman said it is death of gold bull, many said they sold gold yesterday, I think said he made the statement in weaker (we all aware that techically as well as planetary movemnets are negative for metals) but soon they will be proven very wrong because planetary movemnets are indicating that in few month we see gold going back to new highs. We shouldn’t be forgetting that last week gold made new high against many currencies, like in India gold hit this week all time high in Indian Rupee, gold also traded multi months high against Euro so high we don’t why many experts are turning against gold?
Since last five days our theory “Wave of nature and planetary movement” clearly indicated weaker trend in markets and commodities and rising trend in oil and most of our views came quite accurate. We are recommending buying metals from 23 December. Also, gold will bottom out this week so ignore all know experts view and get ready to get in gold, silver and S&P.
Planetary position will ending negative cycle today, and positivity will start from Friday, Tomorrow (Thursday) will remain mix day so get ready to acquire some small position. In worst case scenario all these markets can move down maximum 0.5 to 1 percent so risk on down side is very limited if you planning medium and longer term trades and up side there will be huge rally in the last week of December (low for gold may be $1585, silver $28.50 and S&P 1195). Don’t miss today’s weakness as buying opportunity and in the next two trading sessions you should acquire on weakness.
Another good trade will buy cotton around $86, avoid other soft commodities for the few days.
In currencies, dollar has been trading as predicted in strong rising cycle, future crash can occur in emerging market currencies. Our longer term outlook on euro is still negative. Next few days are still very uncertain for all currencies.
In energy buy natural gas around $3.17 where it is trading now. One can avoid oil, don’t short or long at this stage.
Note – Don’t let negative influence in you by negative comments from so called “experts”, remain in awareness of S&P bottoming out around 16 December, lower side is limited so start accumulating call of March 2012, same we see gold and silver so very limited downside from here.
Also 23 December major forces of planetary position getting into one direction’s huge none stop up move may start in indexes and commodities.
Europe situation will get better from 23 December as some kind of positive new I am expecting as per my wave of nature indications.
Thanks & God Bless
Mahendra Sharma
Wednesday 6.50 AM Santa Barbara