Financial Weekly Horoscope for Week 22th August 2011

Weekly Financial Forecast For Week Starting 22th August 2011

In terms of astrological placement, following major positions are expected to play out this week:

Monday 22nd August: Moon will be in Taurus
Tuesday 23rd August: Moon will be in Taurus
Wednesday 24th August: Moon will be in Gemni
Thursday 25th August: Moon will be in Gemini
Friday 26th August: Moon will be in Cancer

Hope readers managed to make some profit out of the retrograde Mercury and subsequent fall on the bourses. Mercury will be retrograde until 27th August and keep the markets extremely volatile. Please note that on 28th August 2011, Jupiter will be retrograde in Aries and banking stocks will start witnessing upsides. Of course these upsides cannot reverse the losses already caused but will provide some relief. Gold has been rallying relentlessly against a falling dollar and global equities. Gold prices will start correcting a bit during the retrograde motion of Jupiter.

Monday and Tuesday will possibly mark some upsides aided by short-covering on all major indices. Wednesday and Thursday will be volatile and the market patterns will be opposite to each other. If Wednesday marks some upside, Thursday those gains will be reversed or vice versa. Friday will be calmer regardless of whether markets go up or down.

Forecast for Dow: The range for Dow now stands at 10800 to 11800. Both Sell on Rise and Buy on Dips recommended. Positions should be taken with proper hedges

Forecast for FTSE: Range will be 5000-5300. Both Sell on Rise and Buy on Dips recommended. Positions should be taken with proper hedges

Forecast for Nifty: For Nifty, the range will be 4750 to 5225

Forecast for Euro-USD: Expect range bound movements between 1.38 and 1.44 during the week; Sell on Rise recommended

Forecast for GBP-USD: Expect range bound movements between 1.58 and 1.64 during the week; Sell on Rise recommended

Forecast for USD-JPY: JPY may depreciate further vis a vis USD; Long positions closer to 77-78 can be profitable; Buy on Dips recommended

Forecast for USD-CHF: USD is expected to pull back slightly against the CHF and buy on dips is a good strategy; Buy on Dips recommended

Forecast for Gold: Gold is expected to remain range bound between 1725 and 1850; Both 'Buy on Dips' and 'Sell on Rise' strategy is recommended

Forecast for Silver: Silver is expected to fall back against a rising dollar and 'Sell on Rise' is the recommended strategy