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Gold/Mining/Energy : Blue Chip Gold Stocks HM, NEM, ASA, ABX, PDG -- Ignore unavailable to you. Want to Upgrade?

To: rubbersoul who wrote (43210)	4/28/2013 7:24:58 PM
From: SwampDogg	1 Recommendation Read Replies (1) \| Respond to of 48092

CLL is insolvent, some other energy companies are as well but many are not and they will survive and many will go on to new highs. We see this playing out in the market right now. Look at a stocks like TOU and ARX. the mining business it no different. in the last cycle the more gold you had in the ground the better as the key metric was the optionality of the gold in the ground. basically no mind was given to the economics of a deposit. Now the gold business has grown up and like any other business it must make money. There are many large deposits that are marginal and high cost that had the most leverage in the past cycle. Now they will never be built and they are worthless. Why should a stock with only one large property that will never be built not be zero? The fact that these marginal deposits are worth nothing does not mean that nothing will get built and that other companies will not survive and thrive. It actually probably means that the high grade deposits and the low grade low capex projects will get more attention that they ever have before. Look at a stock like SVL in this market. not crash there. Why not? Clues all around as the market changes. Still opportunity in this market to make changes into high grade companies with money or mid tier miners that are on the right track. As far as what gold or silver does that is ST stuff. This correction is over or will be over in a matter of weeks. Whether gold and silver go lower has no bearing on whether projects get done. stockcharts.com