Friday morning thoughts
in response to
by
posted on
Nov 23, 2007 02:57AM
Discuss the various junior resource companies within the McFaulds Lake Area
Well another week is coming to a close for the McFaulds Lake stocks. Its been a mixed bag, NOT and FNC are basically even from where they closed last week. PRB and BMK have taken a beating.
I have been a buyer of NOT, FNC and BMK on weakness this week. FNC for the long term account and NOT and BMK for the quick flips. What the McFaulds Lake stocks really need is a dose of good news from one or several of these stocks.
NOT should be releasing assay news any day now and this one is a biggie as you can see the market is on edge needing some news on the tonnage front to keep its frothy market cap propped up.
FNC and PRB need news from the new EM survey's to get their shares prices kick started, there is no doubt both of these stocks aren't getting a whole lot of support on the market cap front. Valuations of market caps under $50 million is a tad bit on the low side for these 2 puppies from where I sit.
BMK has a much higher market cap but the fact they currently have a drilling program underway makes this understandable. Any good news or leak from BMK on the visual side of the drill program and this stock could go ballistic. A specualtion investor may want to have a few shares of BMK tucked away just for a share price run up on the rumour front.
One common thing I have seen in the posts of many investors in these stocks, is the fear that investors have of selling one of their stocks and then see the share price taking off on them. This is so irrational, it just doesn't make sense. I have heard this time after time when investors try and rationalize why they ride the share prices up on these stocks and don't sell, then ride the share price down. People there will always be shares available to buy on any or all of these stocks. If you bought lets say NOT and paid $4 a share for it, then sold it at $5, you have made $1 a share on this stock. The trade is complete, you bought, you sold, the money is in the bank. Now sit back and decide when and if you want to buy that stock back again, remember, there is NO hurry, the stock will still be available to buy back tomorrow, or next week. If you get lucky when you decide to buy back in, the share price may be lower than you sold it for, good for you, you are ahead of the game. Now, if the stock keeps moving up after your sell and you decide you just have to own the stock, it may cost you lets say $5.50 that is no big deal. Look at it as now you have entered into a new trade and your hope is to sell the stock for higher than you paid for it, somewhere in the future. The statement that you as an investor aren't nimble enough to buy and sell is just plain bunk, silliness, irrational. There will always be stock for sale on the open market. The fear of not being in on a stock at any given time just doesn't make sense. JMHO
We live in exciting times as investors in the McFaulds Lake stocks. May the God of Speculation treat us investors well, going forward.
Al