The pattern for the juniors over the last few years has been to short the hell out of them whenever a financing is announced. For ECU in particular, the stock has a clear trend of opening weak and then closing firm. This is indicative of intraday shorting. Meanwhile, the PM sector as a whole is also subject to predictable trading patterns. The HUI component stocks started to sell off on Monday, ahead of the options expiry for the metals on Tuesday. This is also indicative of short term shorting strategies, and as soon as the selling presure in the metals dries up, then the shorts in the juniors are covered. Today we see gold has been hit hard, which is no surprise on the day of an FOMC meeting. However, the HUI has been ramping up. The shorts are covering on weakness, and gold has been suppressed. All of this of course on a day when the dollar is weak. Go figure, for those that still have not figured out we are in the midst of a heavily managed market.

I think the way up from here is clear. I expect ECU to close higher today. I expect the entire sector to run higher into the end of the week. I expect further dollar weakness ahead, and gold and silver to make stronger moves from the current levels. The PP will be fully subscribed and the day traders will have earned more easy profits from this latest scam. And things will carry on as per usual. I bought a few more cheap shares today and will still look to get a piece of the PP if I can. Buying ECU in the 60-cent range has been a great strategy for me on several times in the past, and I do not expect anything different this time around. Its the same old drill folks, and as little investors we just have to understand what is going on, and put up with it until the conditions become stronger and the nonsense comes to an end.

cheers!

mike