I dunno, Hutch ... don't know how the leaps are priced, but as far as the stock goes, I would expect to be able to pick up cm in the near future cheaper than this - could be the very low twenties in a real October meltdown. That's the one of the Big Five I watch the closest, and I picked up a few as soon as it broke 30 on the downside, intending to hold them long-term (sold the last ones at 50-g-), but as soon as they were showing 2.00 profit a share I sold them. They were in a discount account this time, makes it easier to trade. I guess I just had a better home for the money in oil and gas and gold stocks. Actually, the day after I bought those cm I bought Kinross - in hindsight pure k would have been a better choice. That's where most of the cm money went afterwards, anyway, and the market on Thursday and Friday seems to have confirmed the wisdom of that move.
Banks are all about paper, and faith in paper. Two and three and four years ago the world's faith in paper was rising, so interest rates were coming down and bank profits were rising. It's going the other way now - even if AG eases Tuesday, which he likely will imho, the reason for the easing is fear of deflation, not recognition of disinflation - big difference, imho. They're going to print a lot of paper, inflation being the lesser evil to deflation, and people are going to reduce their faith in its value, imho.
So I like real things right now - oil and gold mainly, with uranium (cco) right behind. I did pick up a few cwb and bpf, but not many - while I think they are both cheap, they could get cheaper ... but not much. The bpf is imho putting in its second bottom, I'll have a sell order in for part at 2.85 - that's 40% after commissions - by Jan 15, I betcha. Been playing that one a long time.
I never did look into options much, probably should. The thing is the time decay - the great majority of options expire worthless, they say. In a time when a person can effectively buy 'options' without time decay on an undervalued asset as they can in the form of shares in quality beaten-down gold and oil juniors right now, the kind that expire just don't appeal much to me. Here's some unpromoted solid values;
greywolf.ca ... 90% gas/10% oil, cheap
minefinders.com ... silver/gold, cheap
dynatec.ca ... mining services, cheap
alpineoil.com ... oil/gas services, cheap
The slowest of these will beat cm in a two-year period, I betcha .... cheers .... marcos |
