Dear Members,
In this weeks newsletter I discussed Saturn transit which is always important to all trends as it is father of new trend and it gives birth or death to any trend. Last twenty four have not given much clue on future coming time but for sure with in a week we will able to know the hidden path.
Metals should remain positive in medium term but I am just worried about short term as traders may start selling metals once they see dollar rising and this may bring four or five days volatility or weakness in it but then after there will be turn around for metals. Yes, we should take advantage of buying in metals during weakness period.
Oil is trading as predicted and it will trade side-way and as expected hedging paid handsomely on Monday. We recommended buying oil as well as natural gas and on other hand selling heating oil and RB gas - yesterday RB Gas and Heating went down sharply but natural gas and oil remain in positive trend.
World equity markets started with cautious note and there are many reasons to worry about but the main reason is Saturn transit. Monday passed without much damaged and Tuesday morning all Asian markets are up but let’s wait for another 24 hours as Saturn first results comes with in 48 hours to 72 hours. I am too confident on weak trend but if all these markets rise for this week then I am may change the prediction and will predict Historic bull market for the next six months (1% chances of this but I will clearify). Tuesday is selling day for all indexes.
We were expecting sharp correction in grains and yes they went limit down and few more days they will trade very volatile on both-sides. Thursday they will move up so cover short.
Coffee moved up and it should rise from here.
Plan option trades for currencies as future markets are too volatile and any markets they become very volatile when they trades toward historic high or low.
Thanks & God Bless
Mahendra Sharma, Tuesday 10.30 am Mumbai