First of all, let us wish you a very happy new year in advance. May 2018 bring you happiness, success and the tools to transform your dreams into reality.
We are set to release the Annual Letter 2018 on 10th January 2018. Don’t forget to pre-order your copy as the prices would increase from Saturday.
Global Equity Indices
Today, market shall be sideways. In the next week as well, the market is overall positive. On 1st January 2018, major markets shall remain closed.
In the next week, the overall trend is positive.
On 2nd January, there is a downside risk.
Some profit booking is possible in the closing hour.
If S&P500 moves up to 2695-2698 then you may build short position there.
You may book 50% profit in European markets at the current market price (FTSE MARCH@ 7777, CAC JAN @ 5337, DAX MARCH @ 12988).
At the higher level, one may short indices for 2nd January 2018.
We have been advising positional buy since Gold and Silver were trading at 1240 and 15.70.
Overall, bullion is positive with volatility till 13th or 14th January 2018.
Gold has a hurdle at 1300 which needs to be watched.
If this hurdle is crossed then doors are open to 1320-1340 for Gold.
Similarly, Silver has a resistance at 17.00 which if crossed can lead up to 17.50.
In next week, trend shall be positive. 3.28 is a support for Copper.
On 2nd, a fall can be observed in base metals.
Around 3.32, one may short Copper with S/L 3.35 for target 3.25-3.20.
Crude shall be positive in next week. Buy oil with S/L 59.00. On the higher side, it may move up to 62-63.
We advised buying NG @ 2.60. On the higher side, it may move up to 3.20. Use S/L of 2.85 with the long position.
Short EUR/USD @ 1.1950 for target 1.1880.
Buy USD/INR at lower levels.
Dollar index shall be negative in next week as well. At the higher level, it is advised to short dollar index. In coming days, it’ll drop to 92.00 or lower.
Short USD/JPY @ 113.25.
US Treasury Bonds Yield
It is advised to short bonds yield at the higher level. Next week as well, yield shall be negative.
We advised a buy on Bitcoin @ 11400. Our present S/L is 11,000. Yesterday, we closed 50% position in BITCOIN @ 15000 and are holding the rest with S/L 11,000. By the first week of January, it may retest 19000-20000. After 8th January, a considerable decline is possible in the value of bitcoins. At the current market price, it is advised to avoid buy or sell.
INDIAN STOCK MARKET
Indian market shall trade mixed for the day. Flat to negative or flat to positive closing is indicated.
In the next week, the market is positive but around 1st / 2nd January, there is a downside risk. On 1st, the Indian market is open but we will not send any update due to the international holiday.
On 2nd, we will resume the newsletter service.
NIFTY DEC FUT: 10560-10450
BANK NIFTY: 26700-26300
BUY ON DIPS:
- RELIANCE INFRA
- JUBILANT FOOD
- LT FOOD