Financial Weekly Horoscope for Week 29th August 2011

Weekly Financial Forecast For Week Starting 29th August 2011

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

Monday 29th August: Moon will be in Leo
Tuesday 30th August: Moon will be in Virgo
Wednesday 31st August: Moon will be in Virgo
Thursday 1st September: Moon will be in Libra
Friday 2nd September: Moon will be in Libra

Over this weekend, Mercury completes the segment of retrograde motion. VIX levels will calm down. 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.

With the week ending at Libra, some ups and downs might be seen but the end result will be a modest rise/fall overall. Traders using options should try to build a spread rather than take naked straddle positions on options

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 77-80 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