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Gold/Mining/Energy : JAB International (JABI) -- Ignore unavailable to you. Want to Upgrade?

To: D.McQ who wrote (1725)	11/30/1997 4:02:00 PM
From: GOLDIGER	Respond to of 4571

Goldiger: I noticed you didn't give us a link so that quote could be taken in context. The links are there. You will find the statement in the links. BTW, You have done a great job on this thread and I DO believe BCMD has a bright future so take a chill pill and relax. GOLDIGER.

To: D.McQ who wrote (1725)	11/30/1997 8:28:00 PM
From: DDS-OMS	Respond to of 4571

Darlene, Chose to respond to you rather than to the obnoxious CYJ hypster. Reflecting on why the "regular" posters become quiet when a stock starts dropping in price, and the negative hype begins: As long as the price is rising, a consciencious poster has no qualms about recommending the stock to friends, and to post his(her) findings on the thread. When the price reverses, what can he then post? If he continues to recommend buying the stock, and the price continues to tank, then he is causing more losses to anyone listening to him--a heavy responsibility. There are several people in BCMD from that were acquainted first on other threads--like VVUS and TTRIF. On the VVUS thread, one of the most prolific and ardent cheerleaders never stopped screaming BUY! BUY! BUY!--all the way down from a high of $42 the day of earnings announcement to its present ~$22. Of course he has lost a lot of money (at least on paper), but I wonder how much he has cost his "followers"--or if he even gives a damn. So, about all anyone with a conscience can do is to try to ascertain why the fall in price--which is always just speculation--and reassess the stock's value: 1. During the time BCMD was doubling in price, virtually all other gold mining stocks were dropping by 50%. Since the recent peak on October 1st, the CBOE gold index has dropped 48%. BCMD, in such an unsustainable countertrend, fell victim to one of investings enduring cliches: Buy on rumor, sell on news. After the completely anticipated JV announcement, what was left to drive the stock in the short term? Add to this the large following by day traders (Lionel once estimated 1.5-2 million shares) who, by training or knowledge, by and large bailed out around $2. It's nice to have the day traders in during the uptrend phase, but it's murder to have them bailing out in the inevitable downtrend phase. It then becomes a downhill rolling snowball, as otherwise long term investors sell into the avalanche to try so preserve some profit. 2. IMO, the effect of the POG has been vastly underestimated. It admittedly seemed to have no effect up until the JV announcement, but the piper is now being paid. Specific meaningful BCMD news not withstanding, the stock will continue to erode if the POG keeps falling--and the EXPECTED low cost of production will not significantly offset the decline in the POG. Nothing technically or fundamentally indicates the POG is bottoming. Only the nightly reminders by the talking heads that gold has made a **year low gives some solice that a low is probably near. 3. Being in the worst performing group--even if you have chosen the best of the group--is usually not the recipe for success as it continues to make new lows. New money will not flow into the group until there is a proven turnaround, except for a few bottom fishers. 4. Announcing technical supports that are soon taken out doesn't help maintain one's credibility. Supports are just that--they are not barriers to further declines. Early last week by email I told a few that 7/8 should be the outside low, and it held Thursday and Friday. Will it hold tomorrow? Dont know, but sure hope so. Last Monday I had thought I would be buying at 7/8, but I haven't--mainly because of the POG. So, in the face of falling stock price, it's hard to find anything to be upbeat about--and this is not peculiar to the BCMD thread alone. The pessimists come out when a stock is falling, and the optimists hold sway when its rising--I guess it's just the nature of human psychology. Regards, Gary