I feel so bad for the shorts who are now going to be liquidated to meet their margin requirments. No JPM to save your hides this time around.
Looking at the 11/17 options, there's no way this finishes above 40 all week. Frankly, looking at the options for 12/17, this looks to stay around 40 all year. Sure, it'll move up and down a bit, but it will stay around 40 so says the options.
Cramer is right as much as he is wrong, so I wouldn't put much credence into what he's saying. It seems ol Jimbo still has friends on the "inside" on the street, so sometimes it is a hot tip, and other times they are playing the "pump it up" game. Its really hard to tell with Cramer as he has such a poker face. My reasons for investing in Sandstorm, are simple and straightforward. The guys running the show have that "midas" touch, in that they have turned Silver Wheaton (SLW) into such a powerhouse, using their revolutionary model of "streaming". They know the mining business, inside out. They know the financing business inside out. They make awesome deals for the money they invest. Of particular note for me, was that each of the two major principals in the company put up 80- 90% of their own wealth. That was enough for me to take the chance on SNXXF warrants, at 0.40 per share, about two years ago. They're over 2 bucks as of today. I've long ago pulled out my principle, but now I am letting the "house" money ride. It's one of those things that I'll sell when expiration is coming close, which it isn't right now. As I understand it, we can exercise the warrants as US citizens now, which only makes it more valuable. Years ago, I bought Silver Wheaton sometime in 08, for about 3 and some change, and rode it to 35. Don't know if this one will go that high, but I still do have some Silver Wheaton, and I'll keep some of this too. Excellently manged companies that just make money. They are like buying your own printing press.
Yes, it was below 4, and I averaged in at about 3.75, so I don't see the downside risk seeing as I am playing with house money. I took my original investment off the table, and booked half the profits, and am letting it ride. I sell out when it gets above 38 or so, and jump back in around 30. Been riding that wave several times over the last few years, and have been quite successful. I'd expect that the fed, via JPM will again short silver when it gets too high for their comfort level. Wall St, always invents stories to explain the huge crash their naked shorting of the stock causes, but we all know its JPM doing the fed's bidding.
The big banks and investment houses are screaming about low volume and that the small investors are staying away in droves. They actually wonder why, or at least that's the public stance. They are publically worrying about their lucrative jobs, and the fact that Wall St. is a ghost town. It's their own doing, as they couldn't make money off the retail in the old fashioned way, but had to manipulate the markets to slaughter the small guys. The last few weeks, have been a case in point.
In reality, the rally today is in reaction to what they've recently done. As soon as they could feel the small, retail investors coming back to the market, they couldn't wait to pull a bear raid. Today's huge uptick, for the most part is happening on less than average volume. How many times do they think they can screw the small guys, and that they'll keep coming back asking for another?
Don't suppose anyone noticed the change in Cap gain rates? Come next year, the cap gains rates are going to 38%+ or something similar from 15%. What in blazes did the democrats think was going to happen to the stock market, and the economy in general with such a huge hit on cap gains? Clearly, they are not capable of governing this country, and the Republicans are marginally capable. WTF?
Oh, Jim Cramer's guys are saying this isn't a buy but is now a hold. Hmmm....well we know he and the boys over at Golden Sacks never collude to manipulate certain stocks. No, in fact now that the street has weighed in on AXU, I'll guess I'll have to get out while the getting is good. The only reason they give, is that althugh the company's fundamentals are excellent and above average for the silver miners, the stocks price performance has lagged the other miners. It couldn't be that this thinly traded stock is easily manipulated, could it? No, of course not, we know that no stock manipulation takes place any longer, since Sept of 2008.
If what you say is true, and you have information that obviously the rest of the world does not have, why would you share such information with us, when you could capitalize on it? Is it because of your benevolence? I know if I had this information, I'd use it to my advantage and not tell a living soul. Sure others who might be well-connected might also have this info, but I'm pretty sure they'd keep it quiet. Funny thing about information, though, is that the more people know what you know, the less what you know is worth. Again, I have to ask, what is your motivation to protect all of us AXU investors?
You are far too rational to be posting to these financial message boards. Can't you see how you might be throwing a monkey wrench into this individual's amateurish attempt at manipulating the market? Good post, hope you stick around and post more.
You Ron Paulbots are insane, as is your leader. The conspiracy theories posited my Mr. Paul are those of a seriously delusional crackpot. The ironic thing is that after decades of spouting his delusions, he has finally found traction. Anyone notice how all the differing political sides now believe in these amazing conspiracy theories? If you think they're going to confiscate your silver, simply hide it in various places and stock up on some lead to protect your silver. I also have silver that I've stocked up on, but I'm not thinking the federal reserve is going to take over our country, nor do I expect to use my silver to purchase vital necessities when the world crashes. I expect the silver I have put away, will protect my wealth from inflation, and given that I paid in the vicinity of about 8 dollars an eagle, it has done pretty well for me.
If you really think its the end of civilization, wouldn't you be better off stocking up on other valuable commodities, like toilet paper, coffee, chocolate, cigarettes, etc. You could keep these commodities, and in the potential civilizational collapse you believe is coming, wouldn't you be just as well off with these commodities without fear the government would seize all the toilet paper, food, coffee, chocolate, cigarettes, etc? At least with those commodities, I can see you being able to universally sell or trade them, but silver would appear to only be useful to someone who needed it. Try and see a doctor, and get some meds, it will help.
This stock is on sale. I have begun to add to build my position. We don't control the market like the big manipulators, so we have to go on intuition, and some basic analyses. Frankly, the bollinger bands are a good way to know when a stock is relatively cheap enough. SLW has crossed into the "cheap enough" category, regardless of all the speculation and rumors. I see this weeks drop in price as that done by manipulators who were able to load up on the 33 and 34 dollar puts, on the cheap as the stock was rising, and then they manipulated the stock, selling it short, and making money shorting, as well as their dirt cheap options. It's criminal, but the US gov't has a vested interest in the prices of silver and other commodities remaining cheap, so they can falsely claim inflation is in check and interest can be held artificially low. All to allow the banks to recover from their money borrowed from the fed at 0% and earning 2% sitting in the fed's vault. What a ponzi scheme. It makes Bernie Madoff look like a piker. I just wonder what JPM did to become the government's golden child?
I hate to be a negative naybob of negativism, but what would you expect the CEO's of the silver mining companies to say? I like good news as much as anyone else, but it needs to somewhat realistic, and actually has to be from a neutral source. For the record I am long silver miners and physical silver.
You sir, win the prize for accurate guessing!!! It's amazing how many people miss the options as far as predicting what a specific stock will do. The big boys manipulate the stock prices, since there is so much to be made in options, compared to the actual stock. I also believe that it is a nice entry point to begin to build a nice position, heading into the inevitable inflationary death spiral coming soon. I have no idea where they will short SLW to, but I don't think they can go much lower without some contrarian funds coming in and buying their naked shorts and forcing them to deliver.
I've been in since the warrants were 40 cents about a year ago. I think they're trading around 1.20, currently. The thing that got me about this company was that it is run by the former CEO and CFO of Silver Wheaton, and they are the guys that build SLW into the powerhouse that it was. Also, each guy has about 90% of his personal wealth tied up in the company's stock. That's telling me something right there, they they have a real stake in the company succeeding as compared to other companies management teams.
I went in pretty heavy last year, and have hit a 3 bagger. Its up like 40+ percent since the first of the year. If anyone wants to know, you can buy stock warrants that expire in April of 20134for around 1.20. The warrants allow you to buy shares of Sandstorm for .60. There are some big caveats for American investors, so do your due diligence if you are interested. You should also understand what warrants are, and in the case of Sandstorm, you cannot actually trade them in, but there is a liquid market to help you dispose of them. The symbol it trades under for the warrants is snxxf. The actual shares of the company trade on the Toronto exchange and the warrants track exactly with the price of the stock on the Toronto exchange.
Looks like with all the open positions in SLW calls and puts, the Market Makers will want this to close at or below 33, and looking at next month's options volume, they're looking at below 30. I'm not saying this, just interpreting the options volume and open positions.
Many funds short the precious metals miners to hedge their positions in physical PM's and/or PM etf's, and SLW is one of their favorites to hedge against. I also understand the market manipulation that is being allowed to occur, mainly to keep the dollar propped up. I see no end, where the big silver shorters (i.e. JPM) have to ever cover. It appears to me that JPM is acting at the behest of the US gov't to keep the lid on silver/gold, so as to artificially keep the value of the dollar from falling off a cliff. Given the deficits that we are running, and the dollars we are printing, when the silver shorts collapse, it may very well take down the financial system of the world. All to keep the dollar from crashing and to allow the US to spend worse than drunken sailors.
Yes, I agree, it has been a great trading stock for me. I've been picking it up under 6 and riding it to around 8. Most people won't make any money on it, because it requires you not to sell all your positions at the end of the day. It took a couple of months last time to get from 5 and some change to the high 7's, but it was almost a 30% gain, so for two months, it was nice. This stock has is going to let me retire early.
Here's a website that is the be all, end all website on precious metals. It is essentially a kind of drudge site which condenses all the major articles and analyses on precious metals. Look around and read over all the articles. It is where I found Sandstorm $0.60 warrants when they were 0.41 cents last July. They closed today at 1.15.
Another thing many new investors don't get about large precious metal miners is that large hedge funds hedge their physical silver and paper silver by shorting large miners.