Originally posted by slange
I think the problem with you guys is that you don't seem to be able to get your head around the fact that the gold explorers have been smashed into oblivion and are now crawling around the bottom and any negative news and the stock gets hammered while positive news is ignored.
This is the absolute bottom for these guys and we are in a once in a generational buy zone here from what I can see.
Gold has been attacked constantly since early April in a failed attempt to control it.
It is now beginning to break higher and once sentiment turns on these things the price of some of them are going to double based on that alone and then add in the rising gold price and even higher sentiment some of these things are going to explode.
These markets are not linear,they are dynamic and once the dynamics in this sector change (which is happening now) this thing could be easily a ten bagger from my perspective.
Over the last couple of months I have been taking profits from the bigger guys and redirecting them into the bombed out explorers.
You guys need to widen your scope in the big picture instead of just analyzing company metrics in this screwed up environment.
The main driver is sentiment and no one wants to buy.
Thats the time for me to buy,with both hands.
This isn’t an explorer slange. With the share confetti give away its now being priced as a developer/miner on an EV basis and it needs to perform, except cash flows are 18 months away so to take advantage of a booming gold price and returning sentiment it might be smarter to find developers/miners that are right on the verge of increasing production/cash flow. If you are right and this turns into a ten bagger from here then 25 cents vs 32 cents makes little difference so it makes little sense to increase one’s exposure if fully weighted already. Averaging down when already fully weighted is the road to ruin in the share market game, no matter how confident you are. The reason the WAF SP is down in the dumps is not just down to sentiment IMO, it’s been held down IMO for a reason by dark forces that aren’t necessarily going away.
We shall see who is ultimately correct, your 10 bags ($2.50 on booming gold sentiment) or my 0.6 bags 40 cent TO offer (possibly 45 to 50 cents with a sweetener). Your scenario sounds like the typical retailers wet dream to me, but hey dreams are free. Esh
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