Looking back over the past 18 months or so, there have been two instances where the ECU.TO:$Silver ratio shot up dramatically in a short time period.

The first was from early October of 2009 through early November of 2009 where the ratio moved from .0301 to .0528. ECU opened at $.50 on October 2, 2009 and hit an intraday high of $ .85 on October 21, 2009. I believe this related to positive production news related to September of 2009.

The second was during November of 2010 where the ratio moved from .0279 to .0535. This move was related to the announcement of New Minerilization at Santa Juana Mine...something the market seems to have totally discounted and forgotten about at this point in time. Michel Roy, CEO and Chairman of ECU stated on November 8, 2010: "Once again this new resource block provides further evidence that we continue to open mineralized areas that prove to be either higher grade or larger widths or both, than what is reported in our mineral resource report. In this case, higher grades were realized plus an additional section that extends almost 70% beyond the reported mineral resource section. This new mineralization is in the heart of the developed area of our most important mining unit, Santa Juana."

ECU opened at $.87 on November 8, 2010 and hit an intraday high of $1.44 on November 9, 2010. $Silver hit an intraday high of $29.33 on November 9, 2010.

For reference, yesterday's closing ratio was .0263. Are we on the verge of another sharp move up in the ratio? If so, it appears that the impetus will have to be news related....something significant that will force the shorts to cover...at least temporarily before resuming their apparent shorting activities.

I hope the day comes when we get a news related spike up, the shorts reshort at a higher level....and this time they are overwhelmed by stonger buyers....a guy can dream right?