Juniors Gold and the Shorts
posted on
Apr 14, 2008 03:07PM
Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.
As the months progress it is evident that the Gold Cartel has exhausted everyones patience. They have swung the markets side ways, up side down and have gone against all economics 101. They have fooled everyone including themselves. Today was a great example; last night in ASIA the G7 said that they will have the USD under control and that it will stabilize. As a result they take down gold 10.00 over seas. This morning N.Y time Gold is back to 931 and the USD is down -0.61pts. If you can call the shots in todays market i will call you a liar. Notice Gold has been floating around 920 to 930 forthe past couple weeks. The USA know they are in shit deeper then their waste lines but they won't ever admitt it . We all saw how gold is suppose to react when they cut rates and stern was going under that sunday when Gold was at 1030.00 over night in asia up+24.00. The longer they keep gold down they think it will be beneficial to their economy as it shows inflation is under control. But the storm is hear and you all know what happens to the enviornment during storms, it affects evey structure, every tree and every one. That is what the USA is faced with and will continue to face as the months progress. I expect horrible earning to wash away the dow this week as everyone is suffering.
As for the juniors they are dead, there is no buying, no hype nothing and who is controlling everything the SHORTS. A wall is now considered 10 000 shares. I magine they pulled that crap 2 summers ago they didn't have a chance. The volume was strong the buing was back and nothing stood in the way. I mean nothing. But that was then and this is now. As they juniors that have deposits continue to find new discoveries it will only add value to the company. I think what you will notice as the weeks pass is one juniors will get taken out by a major(Gold corp Barrick) and that will trigger the rest. It will screw the shorts and it will create this huge demand to the junior mining sector. Its all physcological but many people love buing stock at higher prices WHY i have no clue. Think about how many peopl you know went to buy silver bars at 16.20 17.20 18.20 19.20 I know lots but i know very few investors who bought bullion at 9.00 10.00 or 11.00/bar. Investors love buying hot things at high prices.
Jim sinclaire says that if the shorts were smart they would start to cover this week, i am sure he knows something we can't see or hear but trust me that guy has his foot in the door with Big Boys who have the power to change a country's economic status. We have been surpress far too long and will all start to move shortly. Many have become flustered, have had margin calls triggered, have had stop losses triggered, have lost everything they once made in 2005. The juniors are way oversold and are running low on fuel and just like they USA is in shit deeper then their waste lines they KNOW that soon they will have to cover.
Momentum changes quickly and nothing bad last forever!
Lets keep the discussions flowing
sharky