“When disappointment rises drastically and excitement rises drastically, that’s what we call a volatile time.” – Mahendra Sharma (Tweet)
In this second episode with Mahendra, he dives into his predictions for 2015 and the next few years, detailing his thoughts on markets from currencies, gold and silver to oil and real estate markets. He discusses how he sees key geo-political events resolving or worsening in the years to come. You may gain advice and insight that will change how you trade and what you trade in the financial markets!
Please welcome our guest, Mahendra Sharma. And thanks for listening.
In This Episode, You’ll Learn:
- The drastic rise in volatility Mahendra is expecting for this year and next.
- What he thinks about where Oil is going to go.
- What happens when his predictions come true very quickly.
- His predictions and success with the gold market and the 52-year era for gold.
“After 2052, it will mark death for gold.” – Mahendra Sharma (Tweet)
- What he thinks about Copper and Silver.
- What he sees for the major currencies going forward.
“Clearly, in the last two years, the dollar has gained against each and every currency. In 2015 the volatility will remain in the currency markets.” – Mahendra Sharma (Tweet)
- How Mahendra sees the future of the European Union and their currency.
“My view is that in 10 years time, the Euro will be half the value of the dollar.” – Mahendra Sharma (Tweet)
- What he predicts that does not pertain to the financial markets.
- Why he stopped predicting events that were not in the financial market.
“I believe in incidents, coincidence, and circumstances.” – Mahendra Sharma (Tweet)
- What he thinks about the real estate markets for the coming years.
“The real estate market will do very well in the second half of 2015.” – Mahendra Sharma (Tweet)
- The problems he sees coming from 2017 onwards.
- What he predicts for the banking stocks in 2015.
- How nature influences humans.
“The planets can guide us and give us a great picture of the future.” – Mahendra Sharma (Tweet)
Resources & Links Mentioned in this Episode:
- Learn more about Mahendra here.
This episode was sponsored by Mahendra Sharma’s Financial Predictions:
Connect with Financial Astrology:
Visit the Website: Mahendra Prophecy
Call Financial Astrology: +1 805 – 403 – 4781
E-Mail Financial Astrology: firstname.lastname@example.org
Follow Mahendra Sharma on Linkedin
“2018 looks a little bit scary to me.” – Mahendra Sharma (Tweet)
Mahendra: We should appreciate this life. We should appreciate healthy people. We should appreciate nature. We should start loving our life. We should start taking care of people. Life is so beautiful, and in 2015, 2016, 2017 you can make money, and then life can be more beautiful. If you start looking at human behavior patterns, they are the most important - how you behave, how you present yourself and how you try to convince yourself then you can develop happy thoughts around whatever circumstances there are.
Niels: If you become the person that helps people think through things that they may not have thought about themselves you become an influencer. Once you're an influencer, that is your way of adding value. That is the way I view today's guest. Because today's conversation is so different to my normal episodes, I have to confess that I've been thinking a lot about the reception it may get from you, the listener. I have convinced myself to do it in the end really by focusing on why I'm doing the podcast in the first place. It boils down to three simple questions: 1) Is what I've created here, or contributed here, distinct, meaning it's different but it's not crazy? 2) Is this my most excellent contribution, meaning did I put a lot of hard work into it? 3) Is there heart in the work, meaning am I doing this with a mindset of service trying to help other people in the world? Is there emotion in the work, something that is often left out of the corporate world we live in today?
The answer for me is yes, yes, and yes. Of course, I want you to be the judge of it.
Introduction: Welcome back to Top Traders Unplugged. Where the best traders in the world come to share their experiences, their successes, and their failures. Let's rejoin the conversation with your host, veteran hedge fund manager Niels Kaastrup-Larsen.
Mahendra: ...,then you feel for everything, you know?
Niels: Yeah, very true. I know that, as you mentioned you're expecting volatility to increase significantly in 2016, 2017. You're expecting some increase in volatility as I understand in this year probably in the second quarter. As you say you are very bullish on equities and of course volatility in commodities and foreign exchange, as we've just seen this past week, will certainly also be on the rise. You make another observation, and maybe you want to share that, and that's a about Russia as a country, the way it's lead. You also see some changes there. Feel free to, instead of being too detailed about it, maybe just talk a little about equities, the difference between where in the world you buy equities? Is there going to be a difference between the potential in say the US, Europe, Asia, and maybe say a little bit about geopolitically how you view the coming year from that perspective? Mahendra: Yes, I think that what I see in the theory, if somebody wants to focus on the market, I think from mid-2015 onward there will be nonstop bullish in the market. Until June 2015 the market is going to remain volatile: it is going to move higher; then it is going to move rapidly lower; then it is going to move again rapidly higher.
So until June 2015 we're going to see a very volatile time. Even in the currency markets, even in the equity market, even in the bond prices, even the commodity prices. My simple advice, the million dollar advice today, is to not get carried away with anything. If the market is rising to 2000 points, pull the profits. Until June, I would recommend book profit. In all these markets, I find that that if you will have a good profit, you book the profit. Then we get out with the 80% positions and just remain with the 20% positions. This is a volatile time so if something goes up... If the Swiss franc... when it goes to 1.22 you book a profit, you do not carry and say "Oh, the Swiss franc is done, it's fantastic, the Swiss National Bank is done and it's fantastic." Then you sit up because you see the Swiss franc coming back to the 1.10, 1.05, and you say, "Oh my God! I should have"... So there will be disappointment.
There will be excitement. When the disappointment rises drastically, and excitement rises drastically, that's what we call volatile times. Some people are in the carry trade, they see BOOM! And they are so excited. Then the next day, BOOM! It is again down, and they get so disappointed. So the rise of the drastic in the human behavior pattern: the rise of the drastic excitement and the drastic depressants, which represents the volatility. Until June, this is what's going to be represented. Right now gold is at 1,275, I think people should pull the profit rather than get carried away and saying, "OK, gold is going back to 2,000." I think this is not a good position at this stage until June, no. Get out, because there are still chances gold may go lower again.
So I think... I cannot guide anything very clearly that, OK, you do all your trading and remember the trade, but definitely from June onward - June 2015 and onward I can say, OK get into the play and hold it. Hold it - just go on holiday and hold you play. That will be the optimum in 2015. You don't need to see the screen. The money is going to keep making, like the time when my $17,000 investment in technology made me a few million dollars because I just had those three stocks. That's it. The three stocks that I held. I never did anything else. So that's what I think the time represents for 2015.
Niels: So range bound in the first 1/2, and very bullish coming into the second 1/2 and onwards. Am I understanding you correctly that this is globally, or is it really US focused and Europe may not perform as well?
Mahendra: I think this definitely... When I came out with these predictions, I was focused, and it was purely in the US because the US is the main cycle. It is very important to understand for everyone. I don't want to put it that I love the US, or I hate the US... I don't want to put it that way... Who is the leader? I think purely, even if you ask the common man, the US market is the leader. The leader always plays the most important role in the financial market, in the politics, in the family - everywhere. It's like a small child born in your house. If the Mom doesn't feed that child, the child will be hungry. So Mom has to feed even though he has a destiny, even though he has his own life. But the child, because he can't take and drink milk himself when he is one year or two years old maybe, yeah? This is the same thing with the financial markets. The USA is the leader and currently the astral chart is very positive. That's why I'm not worried about the Euro problem. I'm not worried about the China problem. I'm not worried about the Brazil problem. I'm not worried about the Russia problem. These countries are going to sort out their own issues and they are going to follow along with the US, because the USA astral chart is so positive at this stage that the S&P can easily move from 2000 to 3200 in the next 18, 19, or 20 months.
Niels: Just for people to realize what you're saying is that you can actually see the S&P index move from the current level, just below 2000 all the way up to 3200 which is a more than a 50% move from here. Yeah, this is what I predicted in 2009, and I never think my predictions are... I still hold my predictions. I still believe that the very good times are... I think people should start becoming optimistic rather than taking this negative point of view. One can stop taking the negative point of view until they come to 2017.
Niels: Sure, so we've got a couple of years now for equity investors at least. There are some good times ahead, but not so good times ahead for the bond holders as you rightly described earlier on. Another big theme I'd love to ask you about, which is obviously been very topical in the last part of 2014, is really energy. I mean, I know you were bearish on energy and oil at a much higher level. Some of your levels have been reached already, and in fact you've gone somewhat further, I would say, down. How low is oil going to go in your opinion? In the 2015 book, the 2015 financial predictions clearly mentioned that the downside is... I think $44.55 is the maximum downside.
Niels: Which is roughly where we are now, depending on which contract you look at. Oil is about at the low of your prediction. But do you... And this is the interesting thing, some of the predictions I'm sure you make, some of them come true very quickly and then you think back, OK, do I revise them? Do I now see a potential of $20 oil or how does that impact you? If we have already reached your low point for oil, does that give you further room on the downside, or does that actually mean that oil has to go up from here?
Mahendra: In July 2014 I came out with a very interesting newsletter. I write one every week. In that newsletter, I mentioned that... at that time oil was, I think $95, $97 or somewhere in there. I said that I saw oil going to the $30.
Niels: Yeah, $20, yeah.
Mahendra: Yeah, yeah, $20. Everyone, I think was saying that energy and those who invest in the energy, and all those energy stocks and the ceilings and the my members to so worried and asked, "Mahendra, are you sure it's going to $30?" Right now, energy companies and oil are doing so well. I said, "Yeah, I see, I see." Then I think I tried steering the people. I think the one month after I came out with another weekly newsletter I declared that if oil breaks $92.80, which was a very important level in my astral points, which I do with my astral degrees - each planets degree. So I came out... I have my own theory which I base on astral degrees. So $92.80... I said if oil breaks to the $92.80 it can go to $73 or $64. If it breaks to the $64. Then it may go to the $44.55 should be the level to watch very, very closely. If oil trades below $44.55 for three days, which is almost one cycle of the moon... Any market trading in one direction has to change with one cycle of the moon. This is historical. In the last 150 years, you can take all the data, and you can connect the whole and you will find 100% true answer. So, I don't see at this stage the $44.55 breaking oil. But if it stayed then definitely it will go down to the $32 level easy.
If you ask me, or if any commercial people, they ask me, or any big guys, they argue that, "Mahendra, where we hedge around the world what will be the low tide?" I said, "$44.50 is a great price to take on trading." This will benefit you because eventually oil is going to settle down and come to around the $60 level or maybe $55 level immediately soon. But $44.55 is my base level at this stage before it starts collapsing. Eventually, if you ask be about longer timeframe predictions, oil is going to $20. There is no doubt about it. That is a very long term target.
Niels: But first, and I'm serious about this, a word from our sponsor. Before we get into the sponsor, I should say that my goal with this whole podcast is to be as transparent as possible including these ads. So let me just lay out first how I ended up with a sponsor, or perhaps I should say a potential sponsor. So this is how it's going to work. This is my ad music. When you hear this music, this is the part that may result in the podcast generating some income. Let me just turn the music down while I share this part. When I put the ad right here in the middle of the conversation, the chances of you hearing it is much greater. OK, let's put the music back up again.
As I mentioned in my introduction, doing a promotion of a product is new for me, and I don't really know what the right format is. As I don't want to just read a text that someone asked me to read, so bear with me for a second. The product that I want to support is the Mahendra's 2015 Financial Predictions book because I truly believe it will help you navigate the markets in the coming months and years. As I mentioned, I bought this book last year, and I was blown away by the results. Instead of just hearing my opinion, after all, I'm being incentivized to do this, I believe you should hear the independent opinion from one of Mahendra's long time subscribers. His name is Ralph and the other day I gave him a call to ask a few questions.
Ralph: I think it's like a weather service. Most of us in the morning you look at the weather and so you know how to dress in the winter if it's going to be snowy or if in summer, if you're expecting a thunderstorm. I think this is pretty much the same way of looking at these kinds of services, if you are open minded enough. It helps you be guided. At the end of the day, you still have to make your own decisions, but it gives you maybe an overall picture of what one can expect from the days ahead.
Niels: There will be occasions where he's wrong, how does he inform you as a client that this is not working out if I can ask it that way? How do you avoid losing too much money on the things that don't work out?
Ralph: Actually this is what I like about Mahendra's work. He puts it down; he writes, "Sorry, now this has happened. I made a mistake, or I have made a wrong assessment. The situation is different, and I was wrong, FULL STOP." That's the way he communicates, which has... it's a bold move, but at the end of the day somebody admits that he has been wrong on something, it's much better than to try to hide it and say, "Oh yeah, it will come," or this or that. At the end of the day, like I said, there is no 100% guarantee.
What is much more important is sometimes the way to understand Mahendra's work. What I have learned over the last few years is that he has a great understanding of our world and what's happening in the market. Now what I noticed a little bit is that sometimes it's hard to see how much, and how fast something can happen. For example the best example over the last few months being the drop in the oil price at over $100, $110. Mahendra was right in that oil would come down to $30 to $40 and this will happen over the next 1 to 2 years, and now it has happened that oil came down to $43 basically within six or eight months from the point of his predictions. This is something where the timing has an aspect to it which sometimes even he is surprised that some of the predictions come into truth much faster than what he has anticipated. Overall the important thing is that nobody was buying oil at $110 when he says this is going to turn.
Niels: Are there any other things that you buy from him or subscribed from him that you use that you found particularly useful?
Ralph: I'm a subscriber to his weekly newsletter as well as to the daily and actually one of the first things that I do in the morning as a part of drinking a cup of coffee is reading what he is saying. Sometimes, of course, not much is happening overnight. That means, for example; currently he says that the interest rates in the states eventually will turn up, and the bond market might look different in six months from now. This is not something that happens overnight. But if you read the same thing over and over again, then you say this is really, this is going the same with the oil, the same with currencies, which over the last few weeks, especially in Switzerland has been very, very important.
Niels: Well, there you have it, an honest opinion with which I would like to ask you to buy the 2015 Financial Predictions by going onto TOPTRADERSUNPLUGGED.COM/MS2015. Remember, when you do buy it a small percentage goes to the show, and it helps me so that I can keep bringing you all these great guests and content to you. Go check it out and tell him I sent you. Go to TOPTRADERSUNPLUGGED.COM/MS2015, and now back to the conversation.
Jumping to the next sector I wanted to ask you a little bit about... You already talked about it. Obviously gold is a very important market for many people, but not least for you. You obviously had some very great success with gold, and maybe that was really how it all got started for you, in a sense. I want to, before you get into the more specifics of gold for the near term, you also talk about a 52-year era for gold, which started back in 2001. Does that mean, once we get to 2052, 2053 or there about that gold kind of disappears in some way, or what does that very bullish era for gold mean that you also have in your work?
Mahendra: Yes, a very interesting point you ask me about 52 years. Yeah, this I predicted in 2001 that this is the gold cycle in the 52-year cycle. The 52-year cycle... I tell you something, and this I have never said before, after 2052 it will be like death for gold. Gold will become irrelevant, or maybe that nobody will buy it, or there will be some government policies or something is going to happen and gold will move drastically and it won't be as important a commodity, as I told you. In my life, when I was 8 years old, kerosene was the most important commodity for me because we used to have a light, and we used to put the kerosene in it, and we used to burn that kerosene and I used to read. The kerosene was a most important commodity in India.
Right now the financial market, the people, when they want to diversify, or they want to hedge against something then gold comes up first as a commodity. This is the product where we can invest, it is safer, it is also better than any currency. I also think the gold represents that it is not better than any currency. It is a volatile commodity. It's a financial instrument that you can trade. The price goes up and down. It never keeps going higher and higher and higher. It prevented going down for so many years before 2000. Yes, after 2052 I don't see any future for gold. This is very surprising for many, but I think before 2052 gold is going to have its ups and downs. Gold may again go to the $2000 or $3000, in 2030, 2035 again the era really start. So it's going to have its own era. In the cycle it's going to move up, it's going to move down and those who are listening to this podcast, I think they are going to start buying gold in the middle of the year 2015. That will be the safest part of the year. Until 2015 June I'm not recommending any strong buying of the gold.
Niels: Do you think we'll see $1000 gold before we see the bottom in late summer this year? Do you think we're going to go as low as that?
Mahendra: Yeah, the last two years I have been mentioning one price - $1142 every time since last 2.5 years I have been mentioning gold should go to $1142. It does, I think seven or eight times at $1142 and bounced back, so I think... If gold breaks that level and starts trading three days below $1142, then gold can end up on the oil path. It can go lower than any percent before it starts rising from June onward. So I think people, investors, should watch for $1142. I am still optimistic that gold may go to $1142 if it just breaks the one cycle below $1142 for three days, then gold can just collapse by $200 or $300 or without anybody having an idea of what happened.
Niels: Is silver a market that would just follow gold but in its own path, but generally in... Or does silver actually have a completely different pattern in your opinion?
Mahendra: I think silver will behave...
Niels: Because you're a bit more bearish on silver, aren't you? You're a bit... you actually think silver could go down quite a bit as far as I can tell.
Mahendra: Yeah, the last year was also very bearish for silver, and it lost big value last year. I think in 2015 silver will follow the gold prices, compared to any other metal. My view is very negative on copper over the next four or five months. I am very negative on the copper. But the silver will still follow the gold cycle.
Niels: And the other base metals... You mentioned copper being quite negative, does that also go for some of the other base metals, or do they behave differently?
Mahendra: Yeah, they behave differently. Especially aluminum which will slightly follow the silver. The aluminum prices will also be supported by the planet Mercury, so I think aluminum is going to perform far better in 2015 compared to all of the base metals.
Niels: Sure. Now, obviously one sector that we certainly can't ignore, especially after last week's events only a couple of days ago is, of course, the foreign exchange markets. I want you to talk a little bit about what you see for some of the major currencies going forward. Maybe, obviously for the next year or so, but also maybe in a slightly bigger picture, because I do think you have some very interesting observations about the next few years in the foreign exchange markets. These markets obviously impact everyone to some degree.
Mahendra: Yes, you can see if you go back, that 2013 was a very volatile year for emerging market currencies. Many currencies... Most emerging market currencies lost around a 20% value very suddenly - 20%, 25% value very suddenly, including the Brazilian real, the Indian rupee, the Mexican peso, the Russian ruble, the South African rand, all these currencies lost just before the year 2013.
In 2014, I came out with a very strong prediction for the US dollar. In fact, I recommended buying around 79, targeting 89.80 then 93.70. That moved very rapidly. Last year was one of my... The last year the currency theory was one of the best predictions though the oil predictions at $100 when it was $10 or gold rating at $60, those were the longer term rate predictions. The short term predictions you can compare, I think the last year when the Euro was 13.80, and we recommended selling and we targeted by year-end 16.70, or 17.70 which it almost hit there. It was very interesting.
The same cycle that I'm following, according to the same cycle still I see a weaker trend in the Euro. There has been a huge rise in momentum in all these products is taking place. In 2013 emerging markets, 2014 leading currencies, all the leading currencies started falling down and losing value. Emerging market currencies twice as volatile compared to the leading currencies - the frontline currencies. So clearly in the last two years the dollar has gained against each and every currency. If you ask me, the dollar has gained very nicely. In 2015, it's the same. The volatility will again be there in the currency market because this is a market governed by Venus, I think this market is going to remain very volatile. The currency market is going to remain very volatile in 2015. But if you ask me, the dollar still looks very positive to me for the next 2.5 to 3 years the dollar still looks very positive. So I still recommend that people hold the dollar tightly because the Japanese yen still looks negative. The Euro still looks negative. The Swiss franc, they have announced, though I'm not very optimistic if you ask me, "Mahendra, do you see the Swiss franc going to 1.25 or 1.30?" I don't see it. If you are asking me against the US dollar, I see some strength coming back to 1.05 or 1.10.
Niels: So putting that into, because you are courageous, and you do put numbers out. That's what I like about your work. There's a couple of things I wanted to ask you. Obviously you say you still see a weaker Euro. Obviously the Euro has already been quite weak in 2015. Longer term or maybe this year and then even further, where do you see the Euro going and would you even go as far as saying the Euro may not survive this or may definitely not survive and will, in fact, be dissolved by so-and-so date. Is that what you are seeing?
Mahendra: Yeah, many people... I have a lot of followers and especially members from Germany and the other countries that I mentioned earlier. So people they are always asking me, especially from Germany, "Mahendra, what do you see with the Euro?" Those European investors also ask me. So I have been recommending to them that they stay away from the Euro because I see that the Euro will eventually go down in the next three years to the point it decreases from where it started from. There in 2001, I predicted that the Euro was going to go from the point it decreased to 1.36. I never saw 1.55, but 1.36 I predicted: the 2001 Euro going to the 1.36 or 1.38. I think it really started when the one-year cycle ended. It's supposed to go and touch back to the 0.83.
Today I see a broken Union chart because I read the European Union astral chart. That chart is not showing that encouraging sign, and strongly negative. If you ask me, "Mahendra, where will the Euro be in 10 years’ time?" I think my view will be very simple. In 10 years’ time, the Euro will be half the value of the dollar at 0.50. If you asked, "Mahendra, what are the chances of vertically splitting the European Union or the whole structure of the European Union or the Euro as a currency?" I think this one is going to end. This one is going to end. This cannot keep dragging, dragging, dragging. I think eventually the European and yen will have a drastic shift in their quality, and maybe a few countries will pull out, or maybe Germany will make the Euro. I think the Euro, in 2023, I think I already predicted last year, in 2023 it looks like... 2022, 2023, and 2024 it will be the end of the Euro Union or Euro deal. So it will be vertically split I predict that. I see that 100% is happening. So what will happen with the vertical split and end of the Euro deal... Maybe Euro just goes to the 0.50 or bring a disaster to the financial market. It will be problematic... Euro is creating a problem in the future. That's what my astral chart says.
The European Union should make correct decisions they should slowly, slowly make a very strong move if they want to increase and sustain, and they stay in other countries, and they say do it. They cannot hang around having all these dependent countries with different political structures and at the same time having a one currency structure. I think that is going to be a disaster when the negative time cycle is coming. The negative time cycle is 2032 - not very far. Time goes very fast. I gave it to the year 2009 that the DOW was going to 32,000, and we are already halfway, you know. So time goes very fast. European policy makers would make correct decisions based not on ignoring all these whatever is happening with the Greeks and all these different countries. How to bring this all together or they will remain in the one country as a whole Eurozone. Otherwise there may be disaster for the Eurozone, there may be disaster for the Euro, there may be disaster for the world in the 2022, 2023, 2024.
Niels: But Mahendra, something I'm not entirely clear on actually and that is, are you suggesting that they can actually change the outcome, or are you suggesting no matter what they do you don't actually see the Euro as a currency after 2023.
Mahendra: Yes, that is very, very interesting. It looks like I'm trying to say that somebody can divert the negativity. Of course, there are ways and that part of my astrological advice. All of those who understand the hidden part of the nature, they can diversify. I give you a very simple example. When I came out with the 2001 book, I think this book in 1999. In 2000, I approached so many publishers, and nobody wanted to print my book. So I was a little bit depressed, and one of my friends came and said, Mahendra, why are you so depressed. At that time, I was living in Kenya. He said, Mahendra, why are you depressed. I said, "Oh I have this vision, and I put in this book and nobody is ready to read my book." He said, Mahendra, print it yourself and put it out. So I came out with the book. That book had one of the most important predictions I think about the gold and all those things. To me, it was not that important. That book had predictions that USA should watch Afghanistan very closely because there will be an attack from the Afghanistan on the USA.
Mahendra: Yeah. Nobody caught the Afghanistan... 9/11, Afghanistan, and this bigger disaster. This historical event was the most serious. It was so painful; I am telling you today that 9/11 changed my life. I said that I don't want to predict because I predicted that event. From that day, I mention it on my website and so many places that I don't predict now the international events because it's too painful, and I don't want to be a part of any painful predictions. I don't want to be a part of painful predictions. If suppose, intelligence agencies, if they read that book, and if they went to Afghanistan, and if they were able to find what was brewing there, they might have been able to divert that attack. But nobody goes into... how you can say it. Astral indicators then tell you.
Niels: This is Mahendra, this is a good point because this is where things become really difficult. I think that we've established now that.. and I think that probably a lot of the listeners today will agree that market trends are reflecting human behavior and I think people agree that at the end of a trend it usually becomes parabolic because everyone is buying into the same theme, and it's like seeing people pushing a train up the hill. When the last person jumps into the train, and the train can't go any further, it's going to go down, and the trend changes. All of that I think people can conceptually understand and even agree with.
I think where the difficulty lies is that then you come and say, well actually I predicted a terrorist attack from Afghanistan on the US because that's not time cycles. That must be something different. So where does that kind of prediction come from and to what level of accuracy? You say, maybe they could have foiled that attack, but there is obviously a difference in saying that there's an attack coming from Afghanistan to the US but if you don't know how it's going to come it can still be quite difficult to avoid. But let's go back to the first point. Where do these kinds of predictions actually come from? That is not based on time cycles as far as I can tell.
Mahendra: Yeah, I think what happened to me is that then I started something. I created a path to see the future at a very young age. I tried to... I don't meet people; I hardly meet... and I'm just always thinking and thinking... So when I started learning these astral cycles from my grandfather. I tried to connect with the modern world because I'm a modern boy. I 100% believe in the science cycle... But I also believe in incidents and the circumstances that can change our lives. Like computing the future of the stock market or any stock chart or anything. So circumstances and coincidence have always led there. When they come out it's like a black swan not because it's there, but somebody found out.
The sixth sense already was there in me. I tell you very honestly that all those predictions made astrologically was indicated in the sixth sense. Then I read the chart. It is true that this is going to happen and that if astrology used to give me the correct answer allowing me to predict. I give you a few examples. The USSR example, the one example. It caught in my mind that this country would collapse. Then I started reading the charts, and I said yep, this is a clear indicator. So I think the same thing happened with Bill Clinton. The second time he went for re-election I predicted that the second time he would win the election, but he won't survive the scandal. The scandal came, but he survived. I was wrong then. Same thing happened to Princess Diana because though I'm not supposed to speak about that because their offices have told me that I will never speak about that instance again, but I predicted it. I predicted that accidental death for her.
Niels: How did you... because this, I guess is where people either believe or not believe, but if you publish this, if you make it publically available so that there can be no doubt that you made this prediction.
Mahendra: They were all completely... they were all in newspapers...
Niels: This is what I mean. My question is really... so the tragic event of Princess Diana, and I should actually say that I lived exceptionally close to Kensington Palace when it happened and remember this vividly. So I'm just curious, respecting all of the people who probably advised you not to talk about it, so I appreciate you talking a little bit about it today, but how did you publish this, or who did you tell that this was going to happen?
Mahendra: The media. Just the media in newspaper, and also one of the magazines at the time... I said that there would be an accidental death for the Princess. I was reading her chart, and I was just reading to give advice for the people who loved her, and then this affair was going on. Then in the chart I saw something that was different and BOOM!, "Oh my God, this is negative news and I have to get it out."
Niels: How did they react? What did they do with something so dramatic? That kind of information really is... if you were told something like that, what do you do? What was their reaction?
Mahendra: I think when this article came out many were surprised, but nobody gave it attention. If you go and read a thousand predictions and many times people are talking about them, then it doesn't give it importance. By that time, I was in Kenya. People used to like me. People used to respect me for what I used to do because of my accuracy. People love you if you are accurate.
Niels: Yeah, of course.
Mahendra: So I was becoming very accurate. My track record was very good, so people noticed that. But nobody gave this importance. Then what happened is that exact event happened. It was very sad news that Diana... when she departed from this planet. One of the newspapers in London came out with a front-page story. They called me, and they said, "Mahendra, what is this? You predicted this event and what do you have to say? Was it accidental, was it murder or what?" I did the interview. Then I think, the operative barred me that from here on I won't be speaking anything about what exactly happened. We don't know if you're right or wrong, but you won't be speaking. At the same time, I was almost planning to change my path. I didn't want to predict all these events. In 2001 because I came out with that book, and I predicted that the accident, the one event for the USA and that was my last event. I don't want to predict. If you ask me what disaster is coming, I say I don't want to see people in pain and violence. Like last week the communist event in France and it just hurts. Who are we people to fight for the God? No one should fight for the God.
Niels: But tell me Mahendra, and I'm very curious here. You say you don't want to predict events, does that mean you don't want to publish them? That you actually do...
Niels: So you do actually... you do follow it, and you do know what's going to happen, but you just want to keep it to yourself.
Mahendra: Whatever comes in my mind. I cannot predict each and every event because we don't... Like I told you, we have a lifespan of maybe 60, 70 years, and then we depart from this planet. In 60, 70 years of life... I am 47 and each day we just have 24 hours. In 24 hours, we divide it into all these other activities. So whatever time we have we think about it. I try to put an astral chart in front of me, and I put a wall map in front of me. These are two things that I put together. One I have several screens here. I put the one astral chart on the one computer, on the second computer I put the wall map. I ask when is this astral chart is having an effect, on the part of the map - latitude and the longitude. Astral cycles are astronomic, and astronomic can easily tell you which latitude and longitude of the planet are passing. This is not a very difficult science. It is something very simple: an all-time vantage point. From that latitude or longitude that was how I was able to predict about the USSR because that latitude and longitude was having a major negative astral combinations. From that you can see, here is some pain that is indicated, or here is some excitement indicated. Here is some positivity indicated. So from that I try to go into the big thinking, and I try to coordinate with the planet. I'm not saying that I'm 100% right. I can many times be wrong in the predictions. One of my predictions was absolutely wrong. Like two predictions always I was wrong. The first was that Zimbabwe President Mugabe is losing power in 2005. This never happened. The second predictions that I made was that by 2010 I think that AIDS would disappear because we're going to have a cure for AIDs. I don't think we still have a 100% cure for AIDs, no?
Mahendra: So not always am I 100% right. If I check my own track record, I think the planets can guide us very well and give us a great picture of the future. I still do that. I read the national geopolitics and events. I read it, but I don't publish now. If you read my 2015 book, there is hardly anything because I made a mistake in the 2004, 2005. I predicted that Hurricane Katrina and exactly, I predicted the date, that this date this coast where the hurricane was coming - Florida and this whole area, and the people should be very careful. If they have any warning, just get away from there, because it is a disaster, and many people will die with the water and the natural disaster. So I think that was a very painful event. I stop; I stop. I just keep it to myself, and I don't ...
Niels: No that's fine, I appreciate that, I respect that.
We could go on for hours talking about this. Instead, I actually have a couple of things. I want people to go and buy your book. I'll figure out a way to integrate this in the podcast and on the website how people can do that. So I'm not going to spend time talking about that right now. There are a couple of other sectors I just want to mention for the record, that obviously you also do work on soft commodities, on grains, and in fact your grain predictions in 2014, as I mentioned I bought the book a year ago, so I know what the predictions were and they have been exceptionally accurate I think. I think that probably one of the best sectors, in terms of your predictions, was grains, as far as I can tell. Again, I think people should... I encourage people to be curious, to be open minded and to look into these things. I've got just a couple of things I wanted to discuss with you before we wrap up. Tell me about real estate, a little bit. Maybe we have to think about real estate in different parts of the world. Obviously the US is closer to you, so maybe you have a few thoughts on that. But also real estate in Europe. If you're predicting the low of interest rates this year, and we're going to go into a very long cycle and interest rates are going to go up dramatically. In some ways, it could be hard to think of real estate becoming a great investment. But that may not be the case. Tell me a little bit about real estate which is something that so many people are exposed to.
Mahendra: I think with human psychology, with human behavior cycles, what I see for the 2015 and 2016 is that the real estate market is going to be very strong. As soon as the fear of the interest rate rise comes, the people will start jumping, and they will start buying. That is the reason I see that in the second half of 2015, the end of 2016 the real estate market is going to do amazingly well in the USA, in Japan, in Europe, and all the developed nations. Emerging markets real estate is going to perform sideways. They're interested mainly in stock coming down a little bit. That's what happened last week. I predicted about India, India came by 25% basis points. The African real estate market, I see a stable year. I'm not recommending it. If you ask me my general view, I am very bullish on the real estate market for Germany, for Switzerland, for London, very, very bullish trend I see for the next two years and four months, or two years and six months - somewhere around that. That will be the end of the bull market for real estate.
Niels: Sorry to interrupt you here, I again, as I said, I've done a bit of research over the years into other ways of predicting markets and followed a few people along the way. As far as I remember there is one other person that I've come across that I see his work from time to time and he actually also bases his work on astrology. So it is somewhat similar to what you do. But he is incredibly negative on real estate. He basically believes that real estate is going to collapse and that you're in for a seventy-year negative cycle for real estate. How do predictions... I know we talked earlier about that you can look at the same data and get two different answers, but is there anything in what he says and thinks that resonates with you?
Mahendra: No, I don't believe that at this stage... Definitely longer term, there will be a problem in the real estate market for the housing industry. But not at this stage. The next three years, for people, if they want to buy a house, they can buy it right now. The next three years are OK. If somebody owns too many houses and too many big investments in real estate, then they need to diversify from 2018 on, but they shouldn't be holding any investment in real estate.
Yes, one can have a beautiful house if they can afford it, and leave it there. In 2018 onward I wouldn't recommend going and aggressive buying and then buy and sell, I wouldn't recommend that after 2018. My views are a little bit different. I don't see that cycle as lasting for that long. I think new technology changes will come. I think 2025, 2026 like a new era for people. Definitely people will start building new houses with all the new technology system that will be in the house. So I think changes will bring a new era. I'm not predicting 70 years, or 50 years or 30 years bad cycle. I'm predicting that at least three years of a very good cycle then nine years maybe sideways or a varied cycle for the real estate, where the people will be less interested in buying houses.
Niels: Sure. Now just before we finish off. There is a slight theme in some of the things that you've talked about as far as I detect, and that's about what you see for the next two or three years. So say up until 2017. After 2017, you don't say so much about that. Just to give the audience a little bit of an insight to what you see, or what you might think is going to happen, because 2017 is only two years away. So if you want to prepare you kind of have to start now, I think in many ways. In a sense, if people buy into your advice, to your gift, to your talent and they start following you, hopefully these things are things that will guide them through both the ups and the downs. But I sense some downs coming after 2017. Can you talk a little bit about that at this stage?
Mahendra: Yes, I think after 2017. So we have another 2.5 years of a very interesting cycle. After 2017 I think what I see, the there is some problem coming, not exactly a huge problem from China, but definitely there will be some problem... A social problem in China because of the government change, in 2022, 2023 China can be wild. That can be an uncertain time for the world economy. But 2017, I think 2018 looks a little bit scary to me. Maybe the currency market may fluctuate very drastically, and that will bring some kind fall that might be in the market or crash kind of things. So I think 2017, once you cash in all the chips, just enjoy the life and appreciate nature because all seven billion people we breathe the same air. So we will move back to the nature, that air is for the free, and we are living, and we are enjoying all this free sunlight, free water, though there are water charges, but still all these things are free from nature and we should appreciate the nature and get back to nature. We are alive because of the air. If I stand at my Hindu temple and if I start praying and if I stop breathing I will die, in my temple or in my core.
So I think I see a major change in this most important role in our life other than anything else, I think everything we created, the human mind created, everything else. I don't want to go into that part but I think we should appreciate this life, we should appreciate healthy people. We should appreciate nature and should start loving our life. We should start taking care of the people. Life is so beautiful, and 2015, 2016, 2017 you can make money, and then the life can be more beautiful. If you start looking at human behavior patterns, it is the most important how you behave, how you present yourself, and how you try to convince yourself then you can be a very happy person. Whatever your circumstances might be.
So one thing I recommend, every week I recommend to all my members that please, after waking up just give to yourself five minutes, just five minutes and taking maybe a hot glass of water or tea or coffee and sit alone. Disconnect from everyone and sit along and then just recap what you did yesterday and what you want to do today. You may find many answers. You can call it meditation or whatever, or you just call it talking to yourself, but I think once we start understanding ourselves I think you will be able to start understanding how to back away. So I think we should understand ourselves then we should try to analyze everything. Definitely I always say that please do something for nature and please do something for the needy. I'm sure I tell you now, that in 2015, 2016, 2017 will be very good. 2015 technology stocks are going to do amazingly well. Then June onward, the banking stocks are going to do very well. Buy your banking stocks. Those who are trading when they lost a huge value. I think they lost 90% value, buy those banking stocks back. Buy banking stocks in the Euro. I think banking stocks is coming back BIG WAY, from June 2015 onward, banking stocks, BAM! They are coming back in a big way. Banking stocks will make history by moving their prosperity higher. It will be the year of the banking stocks. It will be a year for technology stocks. So enjoy this time, and I think, if I'm right, I think everyone will make money. If you make money, make your life happy. Make your life family partner, children, neighbors, relatives, and community and the country, you make it... do some small part before you depart. You said it yourself that, "Oh I'm departing, let me... I have done some good things." So that is what always my motto is and those always things. My financial newsletters are about all those things also. So that's why the people like it and I have to represent that way.
Niels: I think that's a great way to end this. It reminds me of the three questions that we probably should ask ourselves, but we don't ask enough I guess, and that's really have we lived? Have we loved? Have we mattered? I think that's sort of what you are saying in a different way, and I think it is important to us to ask these questions. I wanted to ask someone like you, with a talent or a gift as you clearly have, what skills would you like, of those that you have to pass on to your children?
Mahendra: Yes, I talk about it because many of my members... Every day I see one theme, "Mahendra, what will happen if suppose you depart tomorrow, what will happen?" I think I'm training son who just graduated. But I won't be able to train him 100% because each human being, as I said, we are 6 billion population on this planet and we are all different from each other. I am different from my grandfather. My son is different from me. So we are all different from each other. I try to give him the gold and the metal of his success and then it is up to him how he presents that success. This is subject where science is involved, where your intellect is involved, where your very high level of thinking is involved. So we can say sixth sense, which is a high level of thinking you know. So it involves so many things, and you have to present it the right way. Otherwise, people won't buy your work, no way.
Niels: Adding value to my audience is something that I strive for with the podcast. So I just want to ask you before we finish off. Is there anything that I missed today? Is there anything that I should have brought up that I didn't? Is there anything that you'd like to add towards the end to make sure that I do you and your work justice?
Mahendra: I think that I don't want to add anything at this stage. Let's end it the way that it is ending this podcast. I'm sure people will like it. We will have the opportunity of listening to this. We will have many questions, and that I think we can do one more in the middle of year, or by end of year, or maybe these people demand some and maybe after one quarter, but make it the way it is ending and I wish everyone including you a great 2015 and I'm sure this year will bring great luck to everyone, happiness and I pray that nature gives reasons to everyone, to the people to remain harmless, and they don't harm people. That's it.
Niels: Sure, fantastic. Thank you so much, Mahendra. We definitely will... I do want to bring you back for these amazingly interesting conversations. Thank you so much. It's been a great conversation. I appreciate your honesty, your transparency, and your willingness to share these insights. This is truly astonishing. Thank you so much, and I look forward to catching up with you later in the year.
Mahendra: Thank you Niels. It is my pleasure to be on your podcast. Thank you very much, and I'm sure that your podcast will become very popular because of the great job that you do.
Ending: Thanks for listening to Top Traders Unplugged. If you feel you learned something of value from today's episode, the best way to stay updated is to go on over to iTunes and subscribe to the show so that you'll be sure to get all the new episodes as they're released. We have some amazing guests lined up for you, and to ensure our show continues to grow, please leave us an honest rating and review on iTunes. It only takes a minute, and it's the best way to show us you love the podcast. We'll see you next time on Top Traders Unplugged.
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Date posted: 26 Feb 201514 comments