Re: I can't think of one good reason for SP at this level
in response to
by
posted on
Sep 16, 2009 08:39PM
Golden Minerals is a junior silver producer with a strong growth profile, listed on both the NYSE Amex and TSX.
It has nothing to do with the GOG dispute or options going to be granted cheaper and if you want the facts, call the company and talk to Steve. The simple matter is the traders are having a field day with the sellers. I heard there was indeed a real seller from TD today for about half the volume and this provided cover for TD,s trading actions. Obviously CIBC didn't know because they were big buyers. This selling begets selling from others and even some from this board.
I also note the importance of the 200 day moving average technically and I expected it would take a few days to break this barrier which will then become support and stated so just a few days ago. ECU has lots of time to gap up to where it should be after this event and we all know it can move very fast when it wants too.
There is only one step left to go for ECU to declare the new mill operations a success and that is being cashflow positive. The company is very close to this objective and this will likely bring a torrent of buying. This is a very important milestone and combined with the technicals could really move the stock higher.
Many companies take twice as long as this to make money and as some even stated here months ago that a mill of this nature takes 4-6 months minimum to get up and running let alone making money. ECU is ahead of plan and has done an excellent job getting the mill to this very important operational objective, being cashflow positive.
The real ultimate tragedy will be those who won't be around who should be around because they have paid the price when ECU runs much higher.