Did Maxine Waters and Hillary watch the 100 Correction?

  • Posted on: October 29, 2009

I was just looking at a weekly chart of the crude oil futures..Does anyone remember July 07, with a double top at 146.86 and then 146.75 on the weekly chart? That was marked by Congress person Maxine Waters telling the Chairman of Exxon and other US oil companies that she favored nationalizing the oil industry…

Typically, that was the top. If Maxine had had her way, we would have been long oil as a nation at its all time highs…Ditto for Hillary, who, in the heat of the campaign, suggested windfall profits taxes to build windmills and other green stuff….

Fast Forward to Feb 09, just 8 months ago… Crude traded to 46.18…That’s right, a 100 dollar “correction”…fueled by the depression in this country, plus the fact that people stopped driving when gas was expensive…The market corrected… Fast forward to today’s GDP, showing that the US economy, for the time being, is off of bed rest, and being allowed to walk the halls, albeit with an IV drip, with a nurse following along with a wheel chair just in case….

What is the point you may ask yourself? Well, given that the half-way back is 95 bucks a barrel, assuming the economy holds up, we should be able to make it back to that level…its really only a hop, skip and a jump back there.

Be ready, however, for the politicians to start getting on the news squawking about putting the oil companies in a nationalized system…Assuming health care passes, the oil business would be the next logical target, followed most likely, by a law requiring GM to provide a car and a gas card to anyone who has a need for a car…ad infinitum…

Think how many votes a politician could give if they promised every US citizen a hybrid on their 18th birthday… Of course, the auto insurance industry would be forced to provide insurance for those kids, but hey, everyone would have a car…Doesn’t everyone really deserve a car?? Come on, its almost a right of existence in the USA….(Note— for those of you not familiar with sarcasm— this is sarcasm)…

Anyhow, bottom line, look for 95 dollar oil because its half-way back…
Good Trading