Shownotes
I first interviewed today’s guest back in 2015, where he predicted the Dow Jones Index would go to 32,000…a bold call back then. Mahendra Sharma is an astrological investor with an amazing track record of accurately predicting market fluctuations. He has spent his career studying astrological charts and conveying those findings, along with his understanding of human behavior, into a lucrative business giving advice on when to sell and when to hold various commodities, bonds, and currencies. His latest book on 2021 Financial Prophecies will be released in January.
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In This Episode, You’ll Learn:
- How Mahendra got into astrology
- Why he relocated to Kenya as a young man
- Why Mahendra pivoted to predicting the global markets
- Why Mahendra stopped predicting big world events after 9/11
- How he built his financial astrological charts and what he is looking for
- How astrological charts are in some ways similar to other statistical based investment approaches
- How human behavior fits into the astrological process
- Mahendra’s prediction of Tesla from 2018
- What are Mahendra’s predictions for 2021
- What trend the European equities markets will follow
- Why Mahendra sees an issue with the Euro as we approach 2024
- The interesting correlation between the year 2021 and the Fibonacci sequence
- Mahendra’s interesting prediction about Gold for the year 2052
- Where Mahendra sees the $Dollar bottoming out
- What commodities stand out to Mahendra
- Mahendra’s prediction for a potential Bitcoin CRASH in early 2021
- Why investors should be careful after 2024
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Transcripts
Mahendra:
I will recommend, as I said,:Introduction:
Imagine spending an hour with the world's greatest traders. Imagine learning from their experiences, their successes and their failures.
Imagine no more. Welcome to top traders unplugged, the place where you can learn from the best hedge fund managers in the world. So you can take your manager due diligence or investment career to the next level. Before we begin today's conversation, remember to keep two things in mind. All the discussion we'll have about investment performance is about the past and past performance does not guarantee or even infer anything about future performance.
Also, understand that there's a significant risk of financial loss with all investment strategies, and you need to request and understand the specific risks, from the investment manager, about their product, before you make investment decisions. Here's your host veteran hedge fund manager. Niels Kaastrup-Larsen.
Niels:
Hey everyone, and welcome back to another edition of Top Traders Unplugged where today I'm joined by Mahendra Sharma, who is the founder of Mahendra, Prophecy Publications. Today we are really going to take a look into the future and what the markets have in store for us. So first off, Mahendra, thanks so much for coming back to the podcast.
I'm excited about our conversation, how you are doing and whereabouts in the world am I talking to you from?
Mahendra:
Thank you very much. It is my pleasure. Right now I am in India, a mistake due to these travel restrictions. So, I don't know, maybe [it will be] a few months that I'll be here, until the travel restrictions get lifted.
Niels:
Yeah, yeah, but normally you reside in the U. S., as I recall.
Mahendra:
Yeah, since the last 15 years I'm based in Santa Barbara.
Niels:
Very nice, very nice. Now, it's been five and a half years since you were on the podcast. So a lot of things have happened since [then]. It almost feels like we're living in a different world when you look outside and you see what's going on.
Last time you raised a few eyebrows, I have to admit, when you made some big calls on things like Facebook, which we may come back to later. I'm very excited to introduce a lot of our new listeners to your way of looking at the markets. Now, of course, as many of my listeners will have heard me say, over the years, it is impossible to forecast the future, or the markets, and therefore you should follow a rules based investment strategy that does not rely on predictions.
I have to admit that I have come across a few exceptions, and you being one of them, where I just have to say that you are right so often that it can't be just luck. So I think we'll have a lot of fun today. I think having someone like you on the show today is important because I feel, at least, that we're standing in front of some major changes in the world and the markets.
It will be super interesting to see what you see on that point. So, Last time we spoke, I was very upfront with you. I said, I don't know anything about astrology or financial astrology, myself. So, I apologize in advance if I use some terms that are neither here nor there.
Before we dive into the markets, perhaps you can just remind our listeners a little bit about your background and how you learned your craft that you are practicing today. Just to give them a little bit of context for our conversation.
Mahendra:
Sure. I started astrology at the age of eight because of my grandfather's poor eyesight. I was just helping him, and he used to ask me a few questions [such as] what is written and which planet is in which house. So, I used to just help him. Then slowly, slowly, it just started building interest within me.
I used to see that my grandfather's predictions used to be very accurate. So, at the age of 11, 12, when I was young, I started reading people's charts and people used to get very fascinated because of my young age, as well as how I read the astral chart. So, yeah, so then slowly I became a professional astrologer and it was my source of earning money. I came from a very, very normal, middle class background. So, this was nice income for me in my school days, as well as for my college days.
ngs started changing when, in:The media kept asking me, and my friends said, “Mahendra, it looks like this country wants you here.” And I said, okay, fine. That's how I settled down in Kenya. I just went for a 10 day holiday, but then I settled down in that country. I love that country, and the people started loving me.
What happened then was that I used to read people's charts, and I used to write many predictions, international predictions, but predictions used to come true, but there was no… If I predicted something negative, nobody was able to save something. If I said that there would be a terrorist attack, or if I said there would be some climate disaster, nobody used to do anything about it. You know? People would talk about it, and they would say, "Okay, Mahendra, you were right, you were right." But there was not really any benefit.
major predictions I made, in: and internet stocks in early: In:That's what happened. People started listening and people started investing. I was very fortunate that, while I was in South Africa, people from USA, [in particular] one of my very good friends, Bill Murphy, from GATA. He talked about my predictions. Everyone from the USA started searching about my work, "Who is this boy and why is he predicting that gold is going to $1,800, and silver is going to $50?"
This was in: ng out on the fifth of March,: to stay with the market from:Still, I am recommending people to stay long although the market is very close to 32,000 - the Dow Jones. Let's see what happens next.
Niels:
Yeah, we'll come to that, we'll come to that much later and there's some good stuff in there because I certainly also want to quote some of the things you said when we spoke five and a half years ago.
I can certainly attest to people because I've received, not your paid newsletter, but a lot of the free stuff you give away as well. I will attest that you have been incredibly bullish for many years. So, absolutely we'll get to that in a second.
I want to just stay with these... I know you said you stopped predicting these big world events, which is understandable. I fully understand the reasoning for that. I'm just curious; one thing is that you may not write about it. You may actually still do some work about these things. I don't know. I'm, I'm curious whether COVID-19 was something that you had on your radar, so to speak, or something of the sort last year when you were doing your work?
Mahendra:
irst book in South Africa, in:After two days, the 11th of September happened. It was, I think, the saddest day of my life. I wondered why I predicted this? I don't want to predict something where people are dying, where there is a lot of pain and all these things. So, that was my last international prediction about anything about attacks or people dying. I don't want to predict all those sad events. So, that was my last sad prediction and then I stopped predicting anything about the world.
about COVID. The [events of]:If everyone is happy, if they are doing well, then I think they can take care of their family. They can take care of their neighbors. They can take care of their society. People can do a lot of things with the money. Many people might be, "Oh, we don't like money." I think the truth about it is that money plays a central role in this life. We can do a lot of good things with money: I think a lot of charity, a lot of helping needy people. So, money plays an important role.
et me come back to COVID. The:Let me tell you that I never saw COVID. But, one of the articles, 10 years back, when I was writing, I mentioned about one of the most drastic or worst diseases was coming to this planet, and that it may change people's lives. It will be the event of the century. So, I think that might be this one, but let me tell you very honestly, that I never predicted that COVID-19 was coming. I saw, 10 years back, that some horrible disease is coming on the planet and the whole world will be affected by that. I hope this is that COVID and we may not see it again or something like this again in our lifetime. But yes, I never saw COVID.
, that each and every line of:Niels:
Sure, sure.
Mahendra:
I'm just a reader, you know?
Niels:
Yeah, absolutely. It's fascinating. We'll get into that a little bit more. I wanted to, again, just before we get into those things again, for context, when people hear about financial astrology, there are many different ways that people try to predict the markets. I'm just curious, for example, if you take something like technical analysis, you give two different technical analysts the same chart and they come to completely different conclusions, right? Is that the same in, in astrology where people can look at, and I imagine (I might be using different, wrong terms here), but you have some kind of chart you look at and then it's really up to the reader to get to the right conclusions, not necessarily the chart itself. How does it work?
Mahendra:
Yes, I think we have to, Niels, remember one thing that we (all individuals) are unique. We're 6 billion, 7 billion in populations. Everybody is different from each other. We are all unique. The way we think, the way we interpret anything, and especially subjects like astral cycles or astrology, it is completely different for every individual.
Each and everyone, they also have their astral time cycle. If they are going through the great astral time cycles then they may be able to predict something very accurately. If anybody who is reading the technical chart, if his astral cycle is good, that means his mindset is good - mind, body and soul. So his energy is in the right direction. So, he may be able to predict, spot on, a technical analysis or anybody like an economist or anybody.
I made a wrong predictions in:I will always try to not predict during the Scorpio moon. In my own theory, I have found out that whenever I predict during the Scorpio moon, there is a 99% chance that I am going to be wrong. So, it’s better not to predict during that day and not to misguide people. That's important.
So, I think, yes, the chart astral cycle chart and the combinations of all the planetary movement on certain days, these will be the same. But, the interpretations are completely different with each individual - how they read, how they see. There are millions of combinations in the astral cycles. Every second, planets are moving.
I think I'm dedicating (since:So, when the major 10 times move came, what were the corresponding similarities in the planetary movements? That's how I slowly, slowly built this astrology subject for the financial markets. And I, I can see, today, that this subject, for the medium and longer term, I think it gives you a mind-boggling accuracy. I see my past record, maybe short-term many times I may be wrong (for the short-term, for very short-term predictions), like in one month, two months, sometime. But overall, if you said, "Mahendra, in the last 25 years of doing these financial market studies, how accurate were you?" I can say medium to longer term, I think over 95%. Really, I amaze myself with how this subject is able to be guided so well.
Niels:
I think that's really helpful for people to understand because I also work in an industry where you use quant models. I actually find it really interesting and I did not know what you just explained about you looking for patterns. It's almost like you're also looking for some kind of statistical evidence that, when these things happens, then you're likely to see this outcome. It’s exactly like we do, but we do it differently. I think, actually, that's really helpful for people because, trust me when I say that it is difficult to compel people to trust in these things, because they can't see into the “black box”. They don't know exactly what it is that's happening. So, I think that's super interesting.
I want to just ask you one more question before we dive into the prediction, because I think this will also be instrumental for people and that is, you talk about (as far as I can recall), you talk about that, in your work, human behavior plays a role and I think it comes into the Wave of Nature. Also, people will know, from the podcast, that in trend following (which we do statistically, you do it in a different way - we do systematically), basically, trend following has worked for more than 50 years, some people will say for 800 years, because of human behavior. So tell me just a little bit about how human behavior fits into your world. (Our audience knows how to fits into our world.)
Mahendra:
Yes, so, human behavior... In the astral cycle there are the 12 houses in the Zodiac. There are the nine planets in our Vedic astrology, and there are the 27 Nakshatras, we call it. Then we divide by the four, and four, and nine.... There are so many divisions we can do, but overall, the major Zodiac signs are the twelve.
tes a wave. [For example,] in:The wave starts when the majority, more than 50% of the people, start thinking in those directions, which the planets forced them to because the Moon controls the mind, and Mercury controls the intellect, and the sun controls your soul. Jupiter controls your spirituality as well as money matters. So, when all these planets, when they start influencing people, and if the gold astral chart is very positive, then these people get attracted towards it.
Some people's astral chart is negative. They believe that, no, gold won't go up, and they will short the gold and they will lose money. Gold is the same instrument but one group is making money and one group is losing money. [This is true] even with the stock market or any stock, or anything. Sometime, when the time is negative for that instrument, people will start buying and that instrument will start going down.
There are so many combinations, so I created a Wave of Nature theory where I try to understand how a measure of people will be thinking (due to current planetary movement). [It’s about putting together] these current planetary movements; [plus when the number of people thinking along these lines] will be more than 50%, 60%; [plus] when (for this instrument) the time is positive or negative. It will able to attract the people, or it will able to repel people who refuse to believe. That's what I think is very, very important about every individual cycle. If your cycle is negative, you won't be attracted. You will say, "No, this is not a good thing.”
I'll give you a very, very interesting example about Tesla.
Niels:
Yeah, sure.
Mahendra:
Yeah, in:Niels:
I think a lot of people are interested in Tesla.
Mahendra:
Yeah, in: t if Elon Musk survived July,:Niels:
Yeah, sure.
Mahendra:
And those who are not lucky they said, "No, no, no, no, no. This may not happen."
Niels:
And that's exactly right. Mahendra, I read that stuff when it came out, and I don't invest in stocks, so it's not that I want to, but I'm interested in it and I'm interested in Tesla. There are so many people in Twitter land that are interested in Tesla. You can find so many arguments for why that company should, probably, be worthless, if you listen to all the stories. And then you come out with something like this. I can kind of understand why people are incredibly skeptical if they hear someone say, “If you survive this, you're going to be one of the richest men in the world.” But you did say it, so, kudos to you.
Now, I think with all of that context, let's dive into some other things.
, you talk a little bit about: Anyway, back in: olution, which I predicted in: where we are with stocks, and:Mahendra:
ike to say, today, is that in: ahendra, this is the issue to:People are making errors, and those errors are costing them. Because of those errors many people were not able to buy into this bull market of the last 10 years.
Niels:
I agree.
Mahendra:
initially people bought it in:So, I think the one thing... Even today, I'm still saying that people have to be very, very careful when they say it is expensive. Yes, and sector by sector is a different story. Definitely, for many other sectors the valuation systems may work - the old valuation method, but the world is changing very fast.
ery accurately. If you see in:The equity market may move higher. There are always... Within a trend there are always short term down trends if the negative cycle comes, then there are always downward trends. But, the future prospects of the global equity markets still looks fantastic, at least for the next three years. After that, yes, after that, there are some signs that the volatility is going to come.
Maybe, in:Even if markets go sideways, these stocks can outperform the markets and keep outperforming markets. So, that's the one that I think, out of the, let's say, five golden eggs. That is one of the golden eggs I'm giving you. Medical device stocks I see. Because, Saturn is currently going through Capricorn. After Capricorn, it will be in Aquarius, and then Pisces. This is the one of the most beautiful times of a cycle. Even the device stock can keep going higher for the next 10 years. So, I think it's a very interesting time in this cycle that is coming for the investors.
You have to be investors who are very, very specific about what area you choose. Definitely in the growth area I still recommend (in the technology area), I still recommend biotech - that is what I still recommend. We will talk about the commodities.
At this stage, I don't see much worry. Definitely, those stocks are running very sharply higher. Lately, electric car company stocks, like many new stock that came from China. Many USA, company related, electric car stocks are moving aggressively higher - like 300%, 400% higher. But, people have to be invested; have to be a little bit careful. Surely, that is a future play, but you have to pick the right stocks at the right price and, I think, you will always make money. You will always clear wealth if you focus on the medium to longer term.
That's what I have seen in the last 25 years. People made a fortune by staying longer term rather than speculating on the short term.
lar views on Tesla going into:Mahendra:
in:Niels:
Interesting, interesting.
time, especially coming into:Mahendra:
llow the USA market trend. In:Lately, I think, they have been following USA equity market trends. Why do we see this with USA stocks? Because everyone is focusing on Amazon, Tesla, Apple, and Microsoft. In Europe they don't have those kinds of companies. There are definitely great companies in Europe, but also all the European traders can trade the USA equity markets. So, I think I don't see any problem with that.
right. I talked about this in:Niels:
OK.
Mahendra:
. That's the time in, I think:If you see some indications starting around that time, then I think people need to be very, very careful. Then I think Europe can lose, I think, 40% 50% value, and the real estate market can lose huge value. A lot of problems can arise. It may also affect the global equity markets, as well. But, definitely Europe will be in the center. The bond market will be in the center - European bonds.
Niels:
Yeah.
Mahendra:
er three years, at the end of:Niels:
Yeah, I think people would need to subscribe to your service to make sure they get those warnings. If I look around the world, right now, it looks like many things are going wrong all the time, but it seems not to affect the markets as such.
t use this at all, but I find:So, in my own mind (and I have to say that I do follow you on the sidelines), I follow a few other people [as well] that, over the years, I've built up confidence in their work. I have to say you're probably the only one who's bullish right now in terms of equities. But, admittedly, I will say that you've also been, obviously, very right about what's happened, but they really do see trouble ahead.
happened, here, at the end of: when your book comes out for:Mahendra:
I would like to give a small note here. Definitely, we have seen lately that in the last five years, whenever the market fell, they lost their value very quickly and very fast - very quickly. Investors, long-term investors, have been very lucky that the market went down so sharply and that the market recovered, also, very sharply.
e thing. A second thing about:Niels:
Yeah, yeah,
Mahendra:
So, yeah, we’re going to talk about that.
Niels:
Sure.
Mahendra:
ee any major crisis coming in:Niels:
had really difficult times in:Did you say that you think those kinds of market moves, that era has ended or will these short term, quite fast and quite deep crises; are these the kinds of crises that you think will continue? Are we coming to an end where we, at some point, we'll start seeing slower (let's call them) traditional Bear markets?
Mahendra:
No, I, I don't see that kind of the traditional Bear market coming very soon. I don't see it. When it will come, I think is that we are three, four years away from that kind of Bear market, but when that market will be rising that will be the end of the Bullish eras of the global equity markets. [At that point] the market may be sidelined and people can lose huge amounts of wealth because it can remain sidelined for many, many years.
Niels:
That is, actually, quite interesting because I think, right now, most investors think that market's only go up, but when it does come in two or three years, people have forgotten that equity markets can actually stay 10, 15 years doing nothing.
So again people should pay attention, I think, to Mahendra’s work as that comes closer.
o this is what you told me in:Talk to me, a little bit, about gold today, what you think about gold and where it's going. If you have more thoughts about that 52 year cycle, I would love to [hear your thoughts] (even though I may not be around in 30 years, who knows)?
Mahandra:
Yeah. Who knows? Yeah, you and me.
gold trends. Since last year,:So, yeah, definitely people will make a good chunk of money in the mining stocks. So, stick with those.
ay. Let's talk about the year: ting era for gold starting in:Niels:
I'll come to that.
Mahendra:
Gold still holds an interesting time cycle.
Niels:
Okay, cool, so yeah, we'll definitely come to the Bitcoin side and crypto, because I've got a few really important things I want to ask you about.
s again. I want to go back to:Now, clearly, that has not happened, yet.
Mahendra:
Yet.
Niels:
So, tell me about that. I do know (because I know from your Facebook predictions) that you do change your predictions from time to time. So, just tell me about interest rates, because that is the market that so many people debate because we cannot understand why interest rates on $19 trillion in bonds, nowadays, are negative. So, where are we in your view, on interest rates?
Mahendra:
little bit higher, I think in: verything is pointing towards:Very interesting things will happen, and it will be very difficult for economists and analysts to understand, or to predict because they have been following one pattern. They have a mindset that ‘this’ happened, and that ‘this’ is ‘this’ happening, but everything is really going to go together.
ing higher. So, yeah, I think:Niels:
That's super interesting. First of all, I think it's super interesting that, that everything on your chart, in all these different asset classes something big is coming in a few years time. I think a lot of the people that I follow, even through their different analysis (and as you say, it's not always exactly the same timing and so on and so forth), they also certainly point to something really big happening. What's interesting about what you say: gold going high and interest rates going through the roof, to me that suggests some kind of complete breakdown of trust in government. Those are the things that really point towards that kind of correlation, which we don't often see. So that's interesting. So good, I'm glad we got that out of the way.
We talked a little bit about the Euro, but another big topic for the people that I see talking on the various financial outlets is the dollar. I mean, there’s a camp that is saying the dollar is going to rise because the world is in trouble. You have people saying no, no, the dollar is going to completely collapse and so on and so forth. Where do you sit in this debate, Mahendra?
Mahendra:
So far I think, over the last so many years, we have been very accurate on the dollar. So, let's follow that same theory. At this stage, I have been predicting that the dollar may bottom out around the $91 index, may bottom out around the 91 level, which is very, very important, according to my theory.
Niels:
Yeah, OK.
Mahendra:
I do not see the dollar index going below the 89.11 level. So, that's the bottom line. If people want to take a trade for the medium to longer term, they want to convert the currencies or whatever X, Y Z. Also, at the same time, the currency volatility will be there. Dollar may again go to 95, 96, and then may come down to 22 and then may go back to 97. So, there will not be a single sided trend where we predict and take a trade and we stay with that trade. No, you have to be very, very alert. As soon as you see that trend changing, you are to get out. You don't need to stay with that investment.
well. In the coming time, in:Still, we recommended that the time is coming closer to book some profit in the South African Rand and the Mexican Peso, for the short term. So, yeah, they have gained very nice value - more than 20%. The Rand, I think, gained around 30%, so yeah. So, these are both currencies that will do very well in the next year – the South African Rand and the Mexican Peso.
Niels:
Just going back to the dollar index, since we are not that far away from 89.11, so to speak. You’re seeing more of a range, it sounds like, you're not necessarily seeing a very strong dollar going back to making new highs above 1.04 or anything like that?
Mahendra:
ints. I don't see that in the:Niels:
ing, just again, a quote from:Let’s jump, just quickly, to some of the other sectors before we come to a close in our conversation today. I certainly wouldn't do justice if I didn't ask you about commodities. We talked about inflation before. One source of where inflation can come from is, of course, the commodities. Which of the commodities, for you, stand out? What do you think about those sectors - both soft commodities and grains?
Mahendra:
Yes. In: buying soybeans and wheat in:So yeah, metals, they will remain very volatile. They may rise quite sharply and then they may fall very sharply. So, traders have to be very, very careful with any sharp rise. They should book profit, then stay on the sideline, and then buy back if they come down.
Our letter, our weekly letter is, I think, one of the greatest services we have. People love it. Wall Street people love it. I think if people can afford it, they can buy those services.
But yeah, metals will perform well, but in patches. Grain can outperform throughout the year, and coffee and cocoa can outperform.
Niels:
That would a nice change for trend followers because they have been stuck in ranges, I think, for the last five years. So, that would be nice.
Now, I want to go back and touch on Bitcoin, right? I'm not a Bitcoin expert. I'll say that for sure. However, it is something that everybody talks about. It's interesting when you talked about the human behavior aspect and, when the masses starts talking about it, how it has an influencing effect. To me, looking at it as just a simple observer here, certainly, this year has just looked like that is exactly what has happened to Bitcoin, where more and more people just started talking about it. There are certain, platforms (let's call it) where there are some really big influencers that have talked a lot about Bitcoin. It's obviously it's in scarce supply. There aren't that many free-floating Bitcoin, so, it has moved the price significantly.
However, in the last month or so, I've heard Ray Dalio; I've heard Jim Rogers (the older partner of George Soros); and I've heard someone (with whom you may be familiar with, or may not), a guy called Martin Armstrong who also does cycle work and does AI forecasting, etc., etc. All of these guys have come out and are saying (very much along the line of what you talked about with gold), listen, the Bitcoin may go up, but at some point it becomes so expensive that the authorities are not going to allow it, and they are going to confiscate it. By the way, they are much further down the road with their own central bank, digital currencies than anyone believes. Is there any of this that shows up in your work in terms of something as drastic as, “We're going to confiscate Bitcoin, or we're going to ban it or whatever we do. Oh, and by the way, here are our own digital currencies.”
Mahendra:
th of February,:Niels:
OK, so let’s just take that again because I didn't quite hear that. So, you said that if it doesn't drop drastically between… What period are you looking at?
Mahendra:
th of February.:Niels:
So, that week is crucial, I'm sure a lot of people are going to make notes in their diaries right now.
Mahendra:
Oh yeah, that week is so crucial, so I'm just confirming.
Niels:
Right, yeah.
Mahendra:
So, that week is so crucial. It looks like, from that week, the Bitcoin will go into a crash. It will have a toxic fall. As we talked about, it can have a very volatile trend, currently, but it can still hold value. If, between February 20th and 27th Bitcoin keeps moving higher, then it may test the 50,000, 45,000, somewhere there.
Niels:
Okay.
Mahendra:
ocurrency will begin from the:Niels:
Well, we didn't hear that, but that's good you mentioned that. So, 25,000 on the NASDAQ? What about the S&P, is that 5,000 you’re looking towards?
Mahendra:
Yeah, I said S&P 5,200 to 7,500 - there are chances in the next three years.
Niels:
Oh my God. The Elliott Wave guys are going to be so disappointed when they listened to this interview. I can assure you.
So, interesting. But just to be sure, on this Bitcoin thing, So, you're not recommending people having Bitcoin, per se, because either prices are going to crash in February, you said, if it doesn't go above that level.
Mahendra:
There’s a 99% chance of a crash.
Niels:
OK, right, OK. I think that's a high enough probability for me to not worry about investing in Bitcoin. What's interesting about that, do you actually see [central banks playing a role in this] because it could crash because central banks come in with their own Bitcoins? Have you seen any signs of that we're just going to have digital central bank currencies coming much sooner than anyone believes?
Mahendra:
I will recommend, as I said,:Niles:
I'm sure, at that time, it won't be a question of us investing. We’ll all be forced to have digital cryptocurrencies, anyways, exactly.
Now, just a few things I've got left that I wanted to pick your brain about today. One thing that I've also picked up from other people, in terms of their expectations, is just volatility itself: that the markets, in general, will see massive volatility that we have not really experienced. Well, we've experienced it this year (some volatility, for sure). We also had, a few years ago, hardly any volatility - certainly in equity markets. Where do you stand on volatility itself?
Mahendra:
said that somewhere in early:If I keep mentioning things people will not buy my book (laughter).
Niels:
Right, of course, they will have to go and buy your services. I agree with that completely. I don't know if you do this at all. It's not specifically market-related, but politics, (I can’t remember) Did you write about the U. S. election at all this year and, in general, politics? Maybe we stay U. S. centric because it's such a topical point. Is there anything that you've work you've done on, on that?
Mahendra:
This year, no. As I said I stopped writing about politics and especially the political predictions. One thing that I did… I don't want to say that I knew that Biden would win. I don't want to say it because I never said it anywhere, but in my deeper heart, I knew that. The important part is that what I did very, very, very, very carefully and very, very smartly (and that prediction was very accurate), what I said was that it doesn't matter. Whoever wins the elections, the market will move higher. And it made 3,600, you know?
Niels:
Right.
Mahendra:
So I gave the hint that regardless of whoever wins, the market is going higher. So, better you stay long in the market rather than trying to short the market. I used to write every letter, ”Do not short the market, do no short the market.”
I think that advice really helped investors with how to trade. That's what I think is important for investors.
Niels:
Yeah, there are two areas that I have left. You may not want to comment on one of them, because again, as you say you don't do [certain things], but, I can't help not noticing that people like Ray Dalio (because he's done a lot of work in recent years on the new world order) he talks about the great reset. Of course, other people do too, but everybody knows who's Ray Dalio is, so, I’m using him as the figurehead for this. He also keeps leaving hints, and I've seen this from other people doing cycle analysis, etc., etc., of hot war, not just civil unrest in the U. S.
tering a time (and maybe it's:Mahendra:
I think in:Niels:
Okay. Yeah, that's fine.
Now, nothing to do with people killing each other or anything like that, but you did mention some natural disasters. From what I understand in the things that I read and pick up on is that, for example, the polls are moving. We're actually seeing shifts in the world and that has major effects. Some people that I have seen be right about things they have said even though it sounded unbelievable at the time, but they're very concerned about a few natural disasters such as Mount Fuji, in Japan and also California, as a whole, which is linked to the ring of fire. Is that something, at all, that you… I know you live in California, so, it should be on your radar if it's true. Is that something you worry about?
Mahendra:
e on our planet earth between:Niels:
That is also, unfortunately, what I hear from other people, even though it is very difficult to comprehend. So again, we will hopefully get a warning from you as we get closer, for those who subscribed to your work.
you're going to release your:Mahendra:
Yes. I think, I normally release, always, toward the end of the first week of January. That’s the time, or maybe the second week of January. I always wanted… I like the sun in Capricorn. I try to release during those days because I believe in cycle theory and I want to release and people buy the book and they gain from the book, and they are able to pick up a few good predictions to invest, and that the investment in my book can make them 10 or 20 times or a hundred times the money and I'll be very happy.
If everyone makes money, then I always say one thing, if you are making the money from my predictions, then, please be charitable. Please help needy people.
That's one thing I believe and that is because of the nature that we survive. Always, I have said one thing, and it is a little bit controversial, but we are not alive because of the religion - we are simply alive because of nature.
If I stand in front of my God, and if I stop breathing, I will die in front of my God. So air is one of the most important elements. Air is given to us for the free as part of nature. Water is provided by nature. Light is provided by the sun. So, there are five elements. We are alive because of the five elements.
If there are five different people with different religions they cannot divide the air. If they are working together, they will breathe the same air. Nature never divides anyone. I think we are the source of the religion we create: we respect nature; we respect humanity; and we take care of people.
I think we will love our life. We will love people and we will love ourselves. We will be proud, one day (even if it’s that last day when we will take the last breath). So, that's the message I want to give people. I think that getting involved in not focusing so much on religion as on getting involved in the elements of nature that make you happy. Make nature happy and the nature will make you happy.
Niels:
Yeah, I've seen you write about this from time to time. So, I know you are very humble about this and you actually do a lot of this to really facilitate that people can do good in the world with the things that they do on the scale that they have.
So, I think on that positive note, I want to say, thanks so much, Mahendra, for this amazing and fascinating conversation. I hope that everyone out there who is listening have taken some notes and will do their best to share and comment on this episode so that a lot of people will hear it.
It's up to you, of course, then to decide whether you want to subscribe to Mahendra’s work, I recommend that you do and go and check it out on his website. We'll put a link in the show notes, of course, for doing so. And with that, we will, of course, hope to have you back. Five years is too long, especially with your predictions, Mahendra. We should do this a little bit more often.
It is always a wonderful, interesting conversation to have you on.
So from me, Niels Kaastrup-Larsen, thanks for listening, and I look forward to being back with you on the next episode of Top Traders Unplugged. In the meantime, go check out the show notes of this episode and the resources you can find, including Mahendras link and, most of all, stay safe, stay healthy and take care.
Ending:
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