GBN.V Weekly

The problem with having a stock collapse as if it were going bankrupt is that the likelihood of recovery is very slim. This occurred during the Dec. 2008 collapse, where the company was experiencing legacy problems with permitting and had no production.

The stock recovered, and gained a multiple of 7X before collapsing once again. We are in the throes of another legacy issue, more to do with witholding information from the shareholders than anything else. Certainly if you make some ~$50m.(my estimate) over costs, that you would not endeavour to hide the fact. By no small matter of irony, it's trading for that price.

Running a publicly traded company as if it were a private concern has to be a mistake. But then again, you can see from the $USB and LQD charts that its not necessarily what the company is doing the contributes to a low share price.

There are much bigger legacy issue in the markets, such as OTC derivatives and lax regulation. Its a problem when you want to invest, and yet you cannot obtain information at all on whether there's an equity swap position held against short sales in the stock. This should be available to all.

OTOH, It should also be very easy to point out the benefits of investing in any company, especially quoting financial numbers. But with this company, you are taken for a complete fool for investing in it, simply because you can't point out just what they managed to accomplish.

I didn't buy any shares at the 'exact' low of 10¢ in 2008, but bought some more just a little after. I believe that 17¢ was the 'exact' low, since a certain trader was trading with themselves in order to bring down the price. The weekly chart, over which now have some very long term resistance lines, confirms what the long term monthly P&F chart says.

Of course, I've managed to call the low several times now.

supersize: http://www.flickr.com/photos/11747277@N07/7615523644/sizes/l/in/photostream/

http://scharts.co/QksAZx

-F6