Saturday, June 29, 2013

Going Back & Looking Forward

Hello and good day to all my valued readers, it is early Saturday morning and I had the urge to write. First I would like to reflect on why I started this blog back at the end of January 2013 in the first place. My big picture view is that the whole global financial system is in deep trouble and most people do not have a clue that whole thing could blow up at any time. The system is one big DEBT bomb ready to explode, yet we have Central Banks all over the world trying to weaken their currency, the thought being-the weaker the currency, we can export our way to prosperity! The Central Banks are doing everything to give the illusion that all is well in the world by having rising stock markets and at the same time interest rates are being held at all time lows by buying their own countries bonds. Currently the US is buying $85 billion per month in US bonds. My opinion and I believe it to be factual- The FED is doing so because if rates rise, the United States of America will NOT be able to pay the interest on its outstanding DEBT of almost $17 TRILLION DOLLARS.

With all this being said, back to my point for the day and the weekend- I started writing because I have been trading the markets since 2000 and feel the need to open peoples eyes to what is really going on in this crazy world of ours. I talk from experience and from the heart! When I started writing the US stock market was approaching its all time highs from 2007 and I felt that GOLD was getting ready for its next major leg up, after consolidating between 1525 and 1800 for the past year and a half. I did think stocks were not far from topping out and obviously I have been DEAD WRONG on both accounts. I urge you to please read through this following link, it is my second blog post I ever sat down to write.
http://tradermartinstake.blogspot.com/2013/01/stocks-or-gold.html

Although I have been wrong with my view, I feel I will be proven correct going forward. Did I dig my head in the sand and quit writing, NO! If you have been following, you know I believe this has been mostly manufactured by the POWERS THAT BE to give the ILLUSION that things are just fine by suppressing the price of GOLD and making it seem that the only place an investor can find yield is in STOCKS. I stand by what I say, if you really believe what you are seeing, you are being FOOLED!

If you have been following me, I hope you know by now that I do have a good sense of the markets and how the game is being played. Have I lost money this year, you bet. Do I still believe what I started writing about, ABSOLUTELY! Look at what has happened in the past few weeks alone, ever since the FED put a feeler out there on Tapping the Brakes on QE. Volatility has finally come back to the equity markets- sorry folks- the one way street seems to have ended. The BOND market has finally had a major move in the opposite direction than what the FED would prefer. And my goodness, GOLD traded below $1200 this week.

They have unleashed the beast on just talk alone and as predicted THEY rush to the microphones to calm the markets down. How can you possibly TRUST  any of these markets or any of our financial leaders? What a take down in GOLD, I can only imagine how many people threw in the towel after all this BS. Now from what I understand about GOLD, it is in the STRONG HANDS NOW! I hope you have some or at least some physical possession of a hard tangible asset that is going to hold its value when all else fails! I was going to comment on some charts today but I said a bit more than what I thought I was going to. Gold hit a low of 1185 and bounced more than $50 off the lows to end the week, with all the FED speak, please see the BOND chart below with GOLD and the S&P.



With that, I say- Thank you so much for reading and enjoy your weekend!
Martin

No comments:

Post a Comment