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Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.

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Message: Re: Precious Metal run...Scruffy

Jun 09, 2009 11:31AM

Geting to 1.00 But once 1.00

Any stock under 1.00 is cheap to the average investor, also very cheap to funds that have tons of money. It is a funds nature of the business to use others money to make them more money and use more money to make them and their friends even more money. Whats a lot of money, well lets just say that an average investor who owns 100 000 shares makes $1000 profit on 1 copper penny! 200 000 shares that is $2000 profit on a copper penny. 1 MILLION SHARES makes $10 000 on a copper penny. I hope you understand my perspective when you are playing with more capital. A stock like ecu has doubled within the last 6 weeks and that means that many playing the capital game have made a ton of money. Then there are those that have made a bit of money and then there are those that only made paper money (long term) who believe that the stock is undervalued and want more ROI on there $. Every which way people were making money but those that were highly leveraged laundrying (lets call is that ) were making the most times 10 when you continue to buy and sell from one fund to the other.

What i have yet to mention is that if you own 100 000 1 copper penny on the downside means that you are -$1000 on the cent. when you own 200 000 share on 1 copper penny you are now -$2000 on the cent. 1 million shares on the penny your -$10 000 on the cent. Unless.................. you short and put your bet that the stock is going to go down and how much before you have to cover. But would you risk that if you knew the stock was going lower? Yea... Would you risk that if you knew she might pull back? BUT FOR HOW LONG is the real question? Keep in mind the capital laundrying game through all this! Then again IS EVERYONE WILLING TO PLAY THIS GAME when the price of precious metals are only increasing and when this stocks is now starting to have others buy all your asks? At this point in time not everyone is willing to committ to these games because there is more risk and less return. So what do they do now? They begin to loose power and start to release the pressure and barriers. But what you don't know is that they are now sitting on a huge position going long waiting for a massive rally! That alone will give them the best ROI on the month end and quarter. The stock moves higher and higher she will move as other funds only like buying stock over 1.00! Not a veteran but have seen some magic shows! Money makes money and the wiseman that told you that........ heard it from an older wiser man, who heard it from his grandfather!

"the game gets very very hard as the shareprice gets more expensive"

Terry Mankow

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Jun 10, 2009 06:00AM
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