Hi Terence - I too have always had great respect for Teck, and was simply flaberghasted to be at the Royal York having them and others tell a crowd of 60 or so top analysts that this was one of their best holes and top priority projects only to find out in the insider trading that they would have been dumping 370,000 shares on the market more or less while that meeting was taking place!
Now let me just say this about that - its darn outright inappropriate to do that sort of thing, and if you can run such a high promotion meeting, whats the need to dump 370,000 shares. I've invited them to comment, but no reply.
So have the stops all been taken out on gold early this morning and this is the mother-of-all trunarounds? Thats likely a more imprtant development for us all if true!
Now maybe it was a mistake but not likely. David Patterson also disposed of some 130,000 shares or so around the same time.
Canaccord were reported by someone to be shorting these companies.
These actions together with the gold situation, Asian flu, tax loss selling all concentrated in the resource sector, still big fallout from Bre-X, certainly have done a number on the SVB companies. Again, I am surprised that there has been absolutely no news of any sort in the past three weeks on results that would keep up the interest.
Perhaps the stages of SVB are as follows:
1) Financing, last fall
2) JV deals last winter
3) Field work last summer
4) Drilling this fall with some results
5) Pause for winter, analyse results
6) Early January, put out complete update on SVB, with all results
6) Back to site by February or early to continue work
7) Big splash and update for PDAC in March
8) Drills back by March in selected area
9) Voisey's Bay #2 discovered by May
10) We are all millionaires by June
11) Teck is forgiven
So maybe we just gotta hang in there. Question is whether or not to be doing any buying of these puppies as they settle in for winter. Since we don't have any recent drill info or project updates, this is a hard one to call. If they don't like what they have found to date, and gold stays in the doghouse, buying these puppies isn't likely to be a wise move. Maybe buy on stop on an uptrend, and immediately get your sell on stop in, and let the market take you in and out. IF they are going back up on the potental merit of another Voiseys Bay they will be doubling or more, so buy on stop sell on stop may work OK.
Maybe Ed has read my trap the market idea and has some better strategies. |
