I have just read the latest " Gold market update" by Clive Maund ( http://www.kitco.com/ind/maund/dec242010.html) and read a missing piece that might breth a bit of life in TRE.

Sinclair's latest announcement about the joint venture with Stimco was a strategic announcement. In other words you do not make an announcement like that when TRE would be topping. That would a waste of really good news. If we assume that this news was announced strategically, then we can conclude that Sinclair also plans on helping the stock upwards imminently.

What does this have to do with Clive Maund? He talks about " an upward correction" in gold. In other words, this is not a typical ABC downward whack in the gold price. It is actually correcting upwardly. If that is the case, it might appear that TRE is taking its place in the canon ready for someone to pull the chord.

One of the reasons TRE is so sluggish is that it has been declining for over three years and Edgar Online has just released TRE's financials (http://finance.yahoo.com/q/is?s=tre&annual) which features another year of losses up a million dollars. This is definitely not good and this explains why TRE is declining.

Somehow something has to change. There are 18 days until the January 11 strike 10 call options expire and 22,000 contracts are betting that TRE will reach $10. The bet is that TRE will go up over $3.00 in 18 days.

Obviously, something dramatic has to change because TRE has never gone up over $3.00 in 18 days not even close.

Here is what we know. This is it. Apparently there will be a rally starting next week in gold. Somehow TRE has to beat the stigma of a 3 year decline and of 3 consecutive years in million dollar losses. The window of opportunity will start shrinking charting-wise for the stock to make its move.

Maybe after 3 years this will be the moment of the scrooge that would not be!