Con men at the federal reserve probably just lost control of the interest rates.

In this post I changed my model for the TNX ETF (10 year treasury bond ETF).  I thought that they were going to give Yellen a 6 month grace period.  I thought there was going to be a short honeymoon before the divorce (she's ugly!).

Today's update shows that TNX has clearly made a new high.  Folks, what we are likely looking at here is the end of the 1st wave up of the breakout of interest rates.  They have been under the distorting influence of the fed for too long.  The current wave is now higher than the 3rd wave and that means it is the 5th of 1 of a new bull market in interest rates.

Unless Bernanke and Yellen (the new, disposable fed chairman) can take that chart below the resistance turned support line then the markets are going to get very unsettled very quickly.  I think we have until the chart does an a-b-c retrace back down to test support before things will get crazy.

But keep in mind, crazy has already arrived at the gold and silver charts.  We are talking wild intra-day swings that look like a major battle is taking place.  Of course, predicting the short term market moves with predictible accuracy is difficult but in the long term gold and silver will win every time.  These monetary metals have been in countless wars against elite bureaucrats throughout the centuries yet they still stand while all of the fiat currencies they labored against are long gone.

Keep an eye on these interest rates.  If they pop a bit more and then fall back down to the 38.2 fib and then take off again it is a clear and certain sign that the world markets are throwing in the towel on US bonds as a safe store of wealth.   This will cause world wide turbulence.  It will hasten civil wars in other countries and it will whip up American civil unrest as well.
Global events are unfolding in a manner very similar to what I envisioned 5+ years ago would occur.  If all Americans knew what I knew they would not be so calm as they appear today.  In not too long a time, they will come to understand and they will be pissed, just like Madoff patsies were.  At that time, we Americans need to stand together against the government con men.  We will, at that time, need the wisdom to stop asking for change from a group of liars and con men.  We will instead just need to band together in person and go invoke it.  Change cannot happen as long as the same old con men are in power.  They need to be escorted to traitor's court and sentenced for their crimes.

Hey NSA, CIA, FBI and other government TLAs:  UP YOURS!