Strictly: Drilling II Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Strictly: Drilling II

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Frank Pembleton who started this subject	3/4/2003 8:54:19 AM
From: SliderOnTheBlack	Read Replies (1) of 36161

Reality Check re: Holding the Bag... The REAL cost of buying & holding in a cyclical sector. How many top Gold/Silver Stocks now need need 35-50% upside, merely to return to their former recent highs ? MDG $12.42 - $20.88 AEM $13.35 - $17.98 HMY $13.45 - $19.00 RGLD $13.10 - $28.82 HL $ 3.72 - $5.90 CDE $ 1.45 - $2.50 PAAS $ 6.39 - $ 9.85 GFI $12.01 - $17.15 DROOY$ 3.33 - $ 4.88 The $64 question is whether this selloff is another buying/add opp, or are we going lower, if not lower & lower ? What do you do if you buy/add, or merely even continue to hold here as many have....and then we continue the slide and slice thru the HU 120's down to HUI 115 ? Do you stop out there ? - if not there - WHERE ? How long can you hold - untill you eventually fold ? How much are you going to give back ? How about the "time" value of money & the lost opportunity costs of sitting in deadmoney, if not actually being down - 15-20%+ after a year ? HUI 150+ first hit in May 2002...it is now nearly a year later - and the HUI's in the 120's and for those who have held - at best, have now spent - NEARLY AN ENTIRE YEAR IN DEADMONEY. And at worst....30-50% upside is now needed to just get back to where you were in most stocks. The goldstocks lead POG on the way up AND on the way down. Look at 2 of the most highly levered goldstocks to POG...DROOY in So Africa & RGLD in No America. Both hit very, very hard here - what are they telling you about POG ? Is ANYONE listening ? Look at the huge volume selling on RGLD - which really started in Feb, even though RGLD got a little toppy in Dec, saw some selling thru Jan and culminating with heavy, heavy selling volume Feb 20 - 26th (before the Barrons article) and then the blow off here just collapsing right thru the 200dma. Once you start trading behind the market, in reaction to it versus in anticipation of it... the question begs to be asked: - how long ya' going to hold untill you eventually fold ? Get's awfully crowded at the exit door once the herd starts moving for the exits - ie: RGLD tic-toc`

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next