I don't want to sound like too much of a cheerleader here, but it's hard not to.

The following is from James West's Midas letter, which I lifted from SH. I'm not a West subbie - I just thought it was interesting how his prediction played out.

"Newstrike Capital was no exception, with a$17 million dollar financing that closed on February 16 at $1.10 per share, which means…you guessed it! 16 million shares that cost $1.10 in February can be sold today for $1.93. That’s a 75% profit, and who, I ask you, woudn’t take that off the table with the global economic tempest thats brewing out there?

The answer is nobody. So guess where the share price of Newstrike Capital is going by the 17th of June? Well if the pattern we’re seeing in this whack-a-mole market is anything to go by, its going to be a lot closer to $1.10 than to where a deposit of this calibre should, and will ultimately be valued, when risk appetite returns and the cheap share tsunami has petered out."

I think some of the recent weakness was due to this expectation, which only partly materialized. I used the opportunity to buy another 1/4 of my position, so I'm 3/4ths in at this point and it's my largest position so far this year. Of note is an increase in insider buying over the last few weeks - go to SH for the details. So, stock comes free trading and only dips slightly, insiders still buying, potential major discovery in an as yet unnoticed (by the masses anyway) emerging district play with Goldcorp at the helm.

So, what's not to like? That's a serious question actually - I get nervous when the ducks line up so neatly, and I'm also a bit annoyed by the fact that I've brought this to the attention of two people I consider serious mining analysts and neither of them seem all that interested. What's up with that?

It just seems that with the Yukon getting all the attention these days, the GGB is flying right under the radar. What other district plays are currently out there? I don't know of any.

ebear