I usually do not like to make dramatic statements and for the DJIA which corrected heavily during end of August I had only taken 16,000 as a correction point. If the coming week with the FED meeting approaching, the DJIA close is below 16,000, i believe there would be a sharp sell off again towards 13,820. In short September should be a happening month.
Effect on Sensex: Usually a 1000 point drop on the Dow means a 2000 point drop on Sensex. In all likelihood another sell off could happen targeting 21000 on the Sensex.
Effect on USD/INR: The Indian Rupee would touch 70, which would be the top for all times to come.
Effect on EUR/USD: Euro would move ahead of its previous recent high and target 1.1920.
WTI Crude: I don't expect crude to be a beneficiary of all this chaos created by the Dow however will be able to say next week after FED meeting.
USD/CHF & USD/JPY: I find these both counters very good sells at current levels.
Effect on Sensex: Usually a 1000 point drop on the Dow means a 2000 point drop on Sensex. In all likelihood another sell off could happen targeting 21000 on the Sensex.
Effect on USD/INR: The Indian Rupee would touch 70, which would be the top for all times to come.
Effect on EUR/USD: Euro would move ahead of its previous recent high and target 1.1920.
WTI Crude: I don't expect crude to be a beneficiary of all this chaos created by the Dow however will be able to say next week after FED meeting.
USD/CHF & USD/JPY: I find these both counters very good sells at current levels.
