Re: Strange
in response to
by
posted on
Jan 13, 2009 03:07AM
Creating value through Exploration and Development in the Sierra Madre of Mexico
Good job for you CD. I got all in a bit too early on the juniors and do not wish to trade them. Logic says trade them when you perceive an opportunity but foolishly I resist booking the losses for the hope of increasing the number of shares. Additionally, I just can't read the junior market for trading very well as it is tied to some extent to the metals prices. The metals price is too chaotic what with the interventions and I can't be at my computer screen all the time so I need something that moves more slowly. But if you can buy the bottoms and sell the runups as Norcini suggests the interventionists will provide the volatility for you. It is the momentum traders that are getting killed. Just as the momentum signals a buy and they all jump in and the rug gets pulled out from beneath them.
I have some shares in PGH (Canadian energy trust) and have been able to trade them profitably, catching the required oil rise in the commodity index, selling and buying back some about half way down and a bit more yesterday.
When the money that has been dumped into the economy begins to get traction the only sound sector remaining is the commodity sector. It is the only sector without supply excesses. It had a runup but never achieved bubble status. The recent turn down in commodities will only further fuel the price rise that is sure to come as many projects scheduled to provide more supply have been canceled due to low prices. They will not quickly get started up again as the developers will be a bit gun shy.
P.