DOUBLE DIPPING

Making money in 2011 will be as hard or harder than 2010. In 2010 there were multiple false break downs and false break outs.

Because of the change (again) in the tax code...nobody is selling stocks right now...they will wait until early in 2011 to do so.... So buy that first dip. Then as oil blows through $100.... that will be our first material inflationary scare...bonds will get their next leg down and certain sectors of the stock market will get hit hard....buy that dip again. Over weight anything that relates to materials and hydrocarbons.

We learn from the National Geographic....

-) In 1975 only three cities worldwide had more than ten million people. Today 21 such mega cities exist.
-) Almost 7 billion people now live on the planet. If you wanted to take a photo of all of them standing shoulder to shoulder..."all we would need is a place that's about 500 square miles, the size of Los Angeles."
-) When we were born (me) there were 3 billion people, when we were married there were 5 billion people and today of course 7 billion or 133% more.

ML says,

-) One third of the world's tallest buildings are now in China.
-) In 1980, 80 of the world's 100 tallest buildings were in the USA. Today, just 27.
-) Of the tallest buildings scheduled to be completed in the next 2 years, 14 are in Asia, 13 are in the UAE, and none are in the USA.
-) From 1899-1996, the worlds tallest building was in the USA.

Should it be any surprise the fastest growing states from the Census are with no state income tax? Led by Texas. Yes, there is oil in Texas. There were no new congressional seats given to California..for the first time since it joined the union in 1850. There is oil in California but also some of the highest state income taxes and debts in the country.

Scarcity is upon us....cash and bonds lose even more money.

There is growth, it is measurable, and very global now......with inflation...probably high inflation coming.

Remember QE/4 is when the FED and wdc,llc bail out the States and their liabilities...that is when the gloves come off the dollar....and gold goes higher.

Danny Boy seen here cooling his heels. And patiently waiting for the sellers in 2011.