SGX went from an open of 51 cents on Jan. 14, 2008 to a staggering close on Jan. 21, 2008 of 22.5 cents (i.e. -55.9%), just 6 trading sessions later. Sound dramatic? Well it is.

However, a key thing for longs to remember is that this rapid decent occured on trading of just 25.7 million shares. To put this is perspective... Between the dramatic 'breakout' on Oct. 17, 2007 (i.e. +13.5 cents to close at 36.5 cents on 9.8M shares) and Jan. 11, 2007, SGX traded 283 MILLION shares (i.e. ~2x current float) at prices ranging from 35.5 cents to 80.0 cents, after that first 'breakout' day. Also worth noting is that during this period, 'big volume days' generally resulted in significant gains to the updside, not the downside. SGX currently trades at 25 cents. Combined with the overall market meltdown... SGX oversold?! You be the judge.

In the days following the meltdown, SGX posted a respectable rebound. Between Jan. 22, 2008 and Jan. 25, 2008, SGX increased from an open of just 20.5 cents to reach a high of 36.5 cents on 17.5 million shares in just 4 trading sessions.

Since Jan. 28, 2008, SGX has been 'floating' on relatively lower volume and currently finds itself at 25 cents. The 'no-news effect post meltdown' IMO.

News can (and will IMO) change things very quickly. What if more gold at Jacobus? That could (will IMO) realistically happen soon. What if Lynx zones joined? Big M? Sugarloaf (watch for MNV-v results)? Kerrs (watch for EXS-v results, on fire as of late)? Dare I say 'Golden Mile Extension'?! Assays pending and drilling throughout 2008.

Go long or go home.

red911