Good morning, once again world indices all over the map, no clear direction. Finanacial stocks continue to keep the markets in constant turmoil. This morning on the economic calendar is intial jobless claims in the US at 8:30 am. Pending home sales will be reported at 10 am, can't see either of these economic indicators being good. The $US is in a free fall, troubled times in equity markets, certainly no clear direction. Keeping portfolio in some cash in case the shoe drops in the markets might be prudent here. JMHO

In McFaulds Lake the speculative fever continues. Yesterday FWR was the investor darling as was FNC which put in a new 52 week high. The rumour mill for the various stocks is whipsawing the share prices. NOT has constant internet chatter about pending DE3 visuals. It's impossible to seperate fact from fiction so just play the swings. For those buy and hold types, enjoy the ride.

A couple of thoughts on NOT here. If the visuals from DE3 are good, we should see new 52 week highs, plain and simple. The one red flag for me comes with the soon to be annouced 43-101. I'm using 7 mil tonnes as the expected number here. If it comes in less than 7 million, I would expect the share price to do the tankeroo, anything higher and the upside potential goes up considerably. NOT is getting close to having a $1 billion market cap. For a company without a 43-101 its a lofty valuation. Even if the resource estimate is low and NOT's share price does the tankeroo, I don't expect it to stay low for very long. NOT simply has too much on its plate on the exploration side. So, personally I am keeping some cash on the sideline If NOT's estimate does come in low, I want to take advantage of the pending sell off and pick up some cheap shares. If NOT has better than expected estimate then I will deploy the cash in FWR and PRB for speculation on that front.

Staying ahead of the game in McFaulds Lake is requiring some extra leg work and thought these days. As long as the share prices keep going up and your in, its hard to be wrong is my theory.

Best of luck to all McFaulds Lake investors.

Al