Wednesday, January 20, 2010

The Daily Note - Let the Fallout Begin

No, I'm not going to talk about the election, it's consequences or make predictions. I've voiced that already. The fallout I refer to is the reverberations we shall begin to experience as the results and it's implications get absorbed and then explode into the atmosphere. The fallout shall permeate everything, everyone, everywhere.

Perhaps this result is again a shot which will be heard around the world, but rest not, for there is always someone ready to snatch victory from your grasp and abscond with your liberty.

For now, let's again focus our attention to the present and to trading. As I said the markets may breath a sigh of relief, but there is still a huge behemoth in Congress ready to act on a Health care $Bill$ of great $cost$ and unknown proportion. The markets have a stake in it, one way or another in the short term but more on the long term and the taxation has already begun.

A short visit to will reveal that along with Social Security, Medicare and most of all government spending ventures are basically failures and would have already been bankrupt except for the bailouts we provide via our taxes. The banks have been made the "fall guy" for all that ails a government which does not wish to take responsibility for their mismanagement of funds.

Most of the population believes the hue and cry not realizing that the banks have, on the most part, repaid their bailout loans with interest and that the federal reserve made $58 billion in interest earnings which the government does not wish to use to reduce the deficit as originally promised.

Why is it that no one is crying out for us to be repaid with interest for all money we have provided to bail out Social Security, Medicare, the Post Office, Freddie Mac, Fannie Mae, and coming soon the Health Care Reform? Do you really think that our tax dollars are well spent?

Enjoy the victory and watch the healthcare industry, watch the financials and banks today, but also watch the fall out. Do not to sit too long with the joys of victory because while you rest, other forces are at work to take your liberties and your prosperity away.

Happy Trading, Living and Victory

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$PCLN Lower or higher breakdown/breakout possible on strong market moves.

Posted 07:03 ET 1/20/2010