Actual vs Potential

Without much ado I want to finish with my market stuff because I want so much to write about one other news. So here goes. Most indices continue their uptrend. Commodities are continuing their move up. Gold, Silver, Crude, Copper, Lead, etc. all of them are in an uptrend. The Dollar continues its downtrend and currently everything is perfect in this great big world of ours. I am long the Nifty as per my end of day RSI system.

The question that is left unanswered is when will all this end?. When will the market look at all the ugliness that is still hidden in plain sight?. The market's focus is currently on the some of the positives that have emerged after a horrible pounding last year. When will will it focus on the fact that all the problems of 2008 have not been solved but just papered over? Your guess is as good as mine.

And yes before I leave I want to make one wish for you. I hope all your bosses take a cue from the Nobel Peace committee that awarded the prize to Obama. In that case all of you will get rewarded big bonuses this year irrespective of performance. Why? Well because it is obvious that we have now moved from rewarding actual performance to rewarding potential for great performance.

Can you imagine the incredible impact of this move?. What can happen if one extends this argument to its logical conclusion?. All pay structures in organisations will have to be inverted. The lowest management trainee has to be paid the highest. Why? Because naturally he has the highest potential for greatness. A middle level official who is half is way to achieving greatness has lesser potential and therefore has to be paid less. And a CEO who has already achieved greatness? Well then he need not be paid at all. He has already achieved greatness and his potential now is therefore zero.

In one swell move, the Nobel committee has given us a new way of looking at things. This augurs well for me. I have done nothing in these last so many years. My potential for greatness is still at the same level as it was as when I was a management trainee!!!.