The Hebrew word “Shemitah” signifies “to release” and it alludes to giving the land area a “Sabbath” following six years of being aultivated to yield crops. In that year, agriculturists must stop working their fields and give up responsibility for area, and everything that develops is public property.
IS IT POSSIBLE that there exists a three-thousand-year-old mystery that lies behind everything from the implosion of the New York Stock Exchange, the collapse of the American and world economy, the attack of 9/11, the rise of nations, the fall of nations, and events that have not yet happened but are yet to take place? Small traders could not survive stock market crash in Shemitah years.
It may sound like something one would expect to find in a Hollywood fantasy or science fiction—but it’s real—as real as any phenomenon could be. This is called “Shemitah” or SHMITA.
Historical Evidence of Shemitah
Things being what they are, when is the following Shemitah? It began a year ago, on September 25th of 2014 and the last day, Elul 29, falls on September 13, 2015.
Have you known about the Shemitah or SHMITA? Neither had I. The Shemitah is a Sabbath year watched at regular intervals after 7 years in Judaism, in which the land isn’t cultivated and debts are wiped out. The Hebrew date-book is not quite the same as our advanced date-book. On the last day of Shemitah, all obligations should be excused. Shemitah endures a year however on the last day, known as Elul 29, in the Hebrew date-book, all obligations are to be overlooked and a kind of “wiping the slate clean” should happen.
In 2001, the last date fell only six days after 9/11, on September seventeenth. That was the day when the US equity markets re-opened and had one of its greatest drops ever, falling 7%.
In 2008, the last day of Shemitah was September 29, 2008. That day is notorious for having the third biggest equity market breakdown in US history, falling 9%, or 777 points (and the one and only day where the opening bell of the New York Stock Exchange were not being heard).
In this manner, if the last two Shemita dates are a sign, something gigantic may come to pass for the worldwide money related businesses at whatever time between the Shemitah dates and, all the more particularly, on the last day, i.e, September 13, 2015. Firtunately or unfortunately 13th September, 2015 is a Sunday. So, can there be a blow on the exactly previous trading day (11th September 2015 or 9/11 of this year 2015) or next trading day (14th September 2015) in the US Stock Market or global stock market? I am not an astrologer, so I cant predict, just having these two examples on mind.
Some Statistical Observations
- On 2001 US market has fallen by 7% in single day.
- On 2008 US market has fallen by 9% in single day.
- On 2015 – 11% fall is most likely, isnt it?
- If nothing happens, that will be due to last day of Shemitah is Sunday.
Technical Evidence of Shemitah on Nifty:
I am not thinking of US giants, IMF or big US traders. Rather I am worried of small Indian traders. I am not a student of history. I only came to know about this Shemitah effect from an good old client of mine and then I tried to gather resources on the subject. I have then came back to charts and my findings are not keeping me comfortable. After 44 weeks of hovering above 7900-8000 level, Nifty finally has broken down the weekly multiple support zone of 7960-7940 and we have got weekly close below that support zone.
From the above image it is quite evident that the next lower support is quite low, near 6415. I dont know upto which level Nifty will come down, but I am sure that Nifty will fall if it cant make an weekly close above 8000 mark now. I am almost sure that Nifty will come down to 7550 and There can be times of uncertainty, there can be volatile moves, we can see September 2015 to be a worst and terrible time for investors. We must think now how to survive stock market crash in this Shemitah year 2015.
10 Ways To Survive The Shemitah Effect?
- 101% Short sell Nifty, but follow the next points.
- Dont short because you know market has broken support, only short on sudden rallies.
- Use a trend following oscillator like RSI or Stochastics and only short if your oscillator is overbought.
- Keep a stop loss on your shorts, preferably above 8000, best to wait for an weekly close.
- Avoid bottom fishing in stocks trading below 200-day moving average.
- Avoid stocks trading close to 200-day moving average.
- Avoid trading with low margins, as any time the market can see trigger of margin calls and one sided furious moves.
- Dont listen to TV jokers, this will distract you from your own strategy.
- Stop taking your friend’s advice.
- Do not short puts till we close above 8000, as this may bring you in trouble.
I have identified some good shorting levels and also some shorting targets for Nifty. I have also seen few scrips have broken their major weekly supports, I warn all my readers to long positions on them and try to be a short seller on rallies. The content below is locked. Kindly use any of the social share buttons to see best shorting levels of Nifty and Nifty downside targets and also to see which scrips can be your best choice of shorting in September 2015? Remember, I am not a born bear, above any weekly closing of 8000, I will be a super bull.
Forst and foremost the Nifty trading levels:
- Closely watch the 7450 zone, this is now initial support zone of Nifty.
- Nifty must close 1-2 sessions more below 7660 to acieve 7450.
- I can not even rule out possibilities of testing 7200 in Nifty, remember 7200 is 450 points away.
- Very good shorting levels are 7850 and 8000.
And now its time for the weakest stocks, short on every rise:
I suggest you to short sell those stocks on any upmove. You may short sell 1 lot or 100 lots. Short, short, short truckloads. No mercy on these stocks. To know more quick gain scrips and real trading alerts, you may subscribe our services. To know more just call our sales help line or contact us.
Indrajit is a professional blogger and trading system developer. Amibroker expert, Wordpress expert, SEO expert and stock market analyst.Trading since 2002, he has started the journey of StockManiacs.net on 2008. He follows Indian and world stock markets closely.