TROUBLE Ahead!

By looking at all the markets, stock investors may be in trouble, the Fed may be in trouble and most importantly, the US CONSUMER may be in the MOST trouble. Let me explain a little and I have a ton of charts to go with what I saying. First let's take a look at the Dow Jones and the Japan's Nikkei 225

Ok, I added Copper as most traders will look to copper for strength in the economy. All charts today are weekly charts as they really do give us a sense of the bigger picture. You do not have to be a professional to see where these markets may be headed in the future. If copper does break below $3, trust me when I say this, It will not bode well for the equity markets! If you have been following me you know I have been warning the game may be up with the Stock Markets or that it would come to an end at some point. This upcoming week could get interesting, we have the FED meeting on Tuesday and Wednesday, will Big Ben Bernanke address all this tapering nonsense, will he make the markets happy and promise even more QE, which might as well be called Crack-Cocaine at this juncture because simply put, The financial system cannot do without it! Please look at the Japan's Nikkei chart above, the bank of Japan left the markets with no additional QE this week and look what happened. For those, who may have thought I was crazy for some of the things I have been writing, are you starting to take notice before it is too late?

That covers the investor and the Fed. The next one is the 30 year US Bond, this is the last market the FED wants to see break down. The economy is not strong enough at this point to handle higher interest rates, again everything you have been told and seeing with the Stock Market is all Fed induced. Take a look at BONDS

I promise to keep you posted on this, my opinion is that Bonds are headed higher with everything else that is going with the financial markets, but I really do not know, nor does anyone else!

Onto the US consumer, all I can say is PAIN AT THE PUMP and look at the how the US dollar is being perceived by the rest of the world. Please look at these 2 charts

Ouch! It sure does look that Oil is headed higher and just may get above $100 for the first time this year. I am surprised with how OIL has been very resilient lately with everything else collapsing. The problem is that OIL is priced in US dollars. If the dollar keeps falling, which in the bigger picture, I believe it will, not only will OIL and Gas prices be higher, but so will all the FOOD we consume. For example, please look at what LEAN HOGS have been doing, all I can say to these prices is WOW!

Anyway, sorry to have so many charts today, but I think if you do look at them all, you will get my point! I want to thank you all across the globe for following me, I do enjoy writing about the markets and am truly grateful for those of you who are interested in what I have to say. Again I say Thank YOU! Please share this with as many friends as you can, I feel this was such an important post, I may not post until Tuesday so that when readers visit they will see this one post, I feel this is very important!

Enjoy your weekend, I am going to get some sun!
Martin

Florida is a beautiful place to live!