Bill Cara’s Blog for July 30, 2010 [See post-close report]

Mr Cara, hope someday I can accurately read the markets like you do. How you are able to gleam such information from the most unlikeliest source amazes me.

SSNHY
Samsung Electronics ... 3.0%

TSM
Taiwan Semiconductor... 2.0%
PBR/A
Petroleo Brasileiro ... 1.9%
CHLKF
China Mobile Ltd ORD 1.9%
OGZPY
Gazprom OAO DR 1.8%
Percent of all Holdings: 10.6%

Just my general observations:
Samsung offers some of the clearest, best value big screen TVs and a digital camera with a viewer on the front as well as the back that's in high demand.
Taiwan Semi just reported blowout results and offers great dividend.
China Mobile has over 540 million customers, positive topside and bottom line earnings growth and lots of room to grow.
Petrobras & Gazprom - full govt support(which both seem to be more politically stable than the US right now), fantastic exploration programs(especially of the coast of Africa/So Amer) for a product that forms the very basis of our society.

Fingers crossed that Bill's timing is right on this one!

The best thing about the stress tests fiasco is that banks were forced into revealing what sovereign debt they have on their books.

Downloaded Wiki and other stuff out there are providing the bigger picture and now we may be able to predict the future:

http://www.wired.com/dangerroom/2010/07/exclusive-...

Well Bill someone is in there buying with both hands. No steady grind up, these are big green candles. Someone in the market sure likes the GDP numbers. Either that, or the computers have figured out there are a bunch of traders continually going short every time they see weakness, and the computer guns their stops every time enough shorts have been initiated.

Me, I went neutral yesterday - I pruned back to my long term positions and I'm just watching now. For some reason, I've grown quite risk averse suddenly. I can't quite put my finger on it, but I'm feeling cash is best at the moment.

I know small sample size, but is this one of those nibble things?

Price action feels bullish, but the semis appear to have rolled over lately. Have they lost their leadership position? Time will tell.

is DLB at $62 after beating by .12. Wrong day to announce.

Ah that's right Vad, I think I was bitten by this last time. Oh memory, where did you go? :) I guess this really was a "Chicago" effect after all.

The U of Mich Consumer Confidence came in at 67.8 vs 67 expectations and 66.5 previously. So it is all good.

The only fly in the ointment is the 10 yr Treasury yield is down .56 to 2.94%. This is sure telling a different story than the stock market.

The bond market is definitely not buying the good news. TLT is still +1.11 on the day even with the market back to green again. And gold has taken off too - up +7 pretty much straight up since the head-fake down at market open.

Agree 100%.
The opening dip was extreme with $VIX well above its BB on 15 min charts. This had to be bought by nimble traders and software. Now since $VIX normalized, it's a different story and markets are going back to their normal that is dropping again. My positions hold well above the stops and I added XLY puts recently.

I like the comments you made yesterday about trading range this summer. I also believe 2004 is a game plan for 2010, unless we DO have a double dip recession, that is clearly possible and another crash is not out of question.

BTW, I'm thinking about employing my long term accounts in gold/miners again soon based on rapidly dropping PM sentiments.

I am keeping a close eye on IWM. Since this rally began, IWM has been outperforming SPY and DIA in both directions. Today it is leading in the green after a huge morning gap down - it has been filled and is running.

It appears to me that IWM just succesfully retested its 50 and 100 day EMA's between 64-5 and found support. It also may have drawn in a lot of bears as it appeared this morning that we might break down to the 200 day SMA.

This is the chart I am looking at:

http://tinyurl.com/23habjc

As long as IWM can outperform, I am a bull. IWM has been underperforming for months so I see this as a significant change in market attitude.

davidfairtex, jack black:

I am curious for your opinions. What do you know or feel about bond holders? Do they miscalculate bearishness or bullishness, no particular order here, and if so usually at what point in the business cycle? Now we have an altered cycle presently to be mostly true. On a related point I presently understand that businesses need at least a five year horizon to plan for capital improvements and Weighted average cost of capital which is integral to said calculations and likely profitability.

Thanks for anything you can provide to illuminate this sometimes less than obvious to me area.

Thanks for the input, need more data...lol. Either way someone is going to get soused!

Since market open gold has staged breakout after breakout. Every dip was bought. Right now, its +14, and it looks to be challenging the Tuesday drop off point. What's the reason? I have no idea. The oil chart looks similar although it's still negative on the day. Gold's move is not euro related - could it be the big banks steadily covering their shorts after hammering gold down (monday/tuesday) prior to COMEX futures expiration?

When I don't have a reason for a market move, I always enjoy suspecting some nefarious plot just for entertainment's sake. From a trading standpoint though, today's move seems definitely bullish to me - as bullish today as Tuesday was bearish. You can't argue with the tape. However, it always makes me feel better to see some sort of correlation with something else to explain why.

I thank you for the input, helpful, but I still need to know what you think about mis-perceptions during a normal and/or altered business cycle.

Almost everybody I respect predicts that the markets will rise in August. The problem is that it feels like there are too many people are on the bull side for August to be a bullish month. But how am I to know. For now, Vad's system (which I am only just beginning to use) of skimming a few $ intraday feels most comfortable.

Do not know if this is the reason, but Gold is testing its 200 dma.

http://content.screencast.com/users/Telestar3d/fol...

Fox Business was suing the s.e.c. under the Freedom of Information Act and now we are told that is no longer allowed under the latest financial regulation act . There Shall be no Transparency . This suit was for actions that occurred previous to this regulation act. It appears this retroactive action , Covers up all #@$%& not yet uncovered in the past . I have heard this lack of transparency now also applies to the F.C.C. courtesy of the financial regulation act. Bob . http://tinyurl.com/27p39o4

force,

I'm afraid I don't quite understand the question about "mis-perceptions during normal or altered business cycles.

I can only tell you why I am mostly in bonds:

1. I'm retired, have no pension and my wife and I had to begin living on my retirement savings (Self-employed w/ Keogh plan deferred investments) before age 65.

2. I have been doing OK trading Treasuries (10-yr and 30-yr) since the late 1990s.

I personally am not sure what a "normal business cycle" is anymore and doubt if we can determine when we will see one since there is so much tinkering by the Fed, the Congress and more wild cards being added to the deck all the time (health care and Fin Reg).

I have read Bernanke's strategy as outlined before he became Fed Chairman and he is certainly trying to use every possible way to reflate.

I am a regular reader of Hoisington's opinions and will continue to hold bonds (including his fund) until I see actual rate increases.

The only significant inflation I see in my life today is government tax increases at every level of gov't.

Lower wages and diminishing job quality along with oversupply in so many products and services will, I believe, prevent people from borrowing to buy any but the required items.

My business disappeared by 2005. One son has lost two jobs and recently had hi hours cur to 32. I learned yesterday that my cousin's daughter and one son-in-law just lost their jobs (in their early 50s). Here in the midwest jobs are still being lost and people are scared.

Took a position in CCJ Aug25 Calls @ $1.11. Uranium had a nice jump in spot price on Monday which led to a big day on Monday but then the shares and those who bought on the news got swept into the broad market pullback. I think that probably many short term traders are exiting positions this afternoon and taking some losses. I think it is presenting a good opportunity and the multi-year chart looks pretty attractive to me.

If uranium (U.TO is a good proxy) is indeed awakening from a 3 year non-stop price decline, it could be time to look into the uranium space. I am also encourage by the stability in electric utilities to support this notion.

Since the duration is so short, I'm gonna keep a stop on the calls if CCJ should fall below about $25.20ish, which may signal another retest sub-25. If we make a jump above $26 I may look to sell some higher priced calls at $27 against the position to take some risk off.

That morning reversal and outperformance of IWM was the tell to go long today. I think we may have just bounced very hard. Big Bear trap IMO.

And if their currency were valued on the open market, China would be the world's #1 economy today, I think, because at the same time, the relative value of the dollar would drop...

Learner2,

I guess the reason I see nothing unusual in the bond action is that I have never taken the talk of recovery seriously. It is all just talk built around artificial supports like first time buyers house deals, cash for clunkers, bank bailouts and ignoring real accounting standards.

CNBC talks it up, the main stream media repeat the blather, Congress passes reform legislation and yet, nothing has changed the real problems.

In the real world people deal with real issues and eventually that has its natural effect.

For centuries people said the world was flat, but eventually we came to accept the facts as they always were.

ALOHA!!

I always imagine Carl Sagan in my head when I hear BILLIONS!! What would he say now that we are in TRILLIONS????

Well, the US TREASURY is ...

So it was Thursday yesterday and time to add on another $147BIL USD in short term debt issues with some $121.9BIL in Regular Series Bills. This happens every week.

I will also say that on Wednesday, the 28th, like clockwork, the US Treasury had $11BIL in outlays for Social Security, Medicare and Medicaid. That also happens every week.

An interesting side note I might add here is that I have noticed the past month that TARP withdrawals(spending)is increasing and far exceeding TARP payments to the US TREASURY. Not huge amounts yet but substantial to you and me and our money standards. On Thursday $230MIL USD was handed out to some entity out there in BANKLAND, while only $161MIL was paid in. No transparency at all so its anybody's guess where those hundreds of millions are going to. I doubt even your Congressman knows, on a daily basis, what is happening over at the US Treasury.

Total withdrawals since July 1st now stands at $995BIL USD, in a 21 working day time period. Not bad ... that's only $47.4BIL per day! My guess is the US Treasury records a $1TRIL withdrawal(outlay) for the month of July, but I'll have to wait until Monday to find out as the 30th is Friday, so it is reported on Monday. Does it matter to anyone anywhere that the US Treasury withdraws over $1TRIL for the month of July out of the Federal Reserve account? The chances of that $1TRIL being accounted for accurately and spent efficiently is high unlikely. If it isn't even mentioned then that no doubt is a green light to those who watch and wait at the US Treasury backdoor where some serious money runs the gauntlet every single day. With zero transparency who knows what happens.

Still ... the BILL will come due! I guess we'll wait and worry then ...

Grym,
The bond action today struck me as a little unusual. First it is very unusual for bond yields to decline in a recovery; typically yields are increasing as the demand for credit gets stronger. You saw the 10yr Treasuries almost up to 4% not long ago; very typical of a recovery with some traction. For the the 10yr to go below 3%, it is saying there is a lot of doubt about the recovery, and some fear of further slowing. Today, for it to go almost below 2.9% is equivalent to the market telling Geithner that it spits on his recovery and dares him to start his Quantitative Easing II. If that wasn't bad enough, the 30 year Treasury coming solidly below 4% is only giving emphasis to what the 10yr is saying. This action is flattening the yield curve which will not help banks stay profitable.

The stock market went screaming up on the Chicago PMI and the Consumer Confidence survey, basically saying that the recovery is still on. Well the bond market couldn't have taken a more opposite conclusion. I think that we will see the 10 yr at <=2.0% very soon. (If the ISM manfg Index on Monday is down significantly on Monday, it may be sooner than we think.) There is a lot of downward force in the current labor market that Washington DC doesn't realize. But I just visited DC and they are building roads everywhere, not to mention a new rail out to Dulles airport. I could fire all my workers and probably rehire a higher caliber person for less money. A recruiter friend essentially told me the same thing; they are seeing people that get rehired are getting 10%-15% less than their old jobs.

Investor's business daily editorial , " Obama is building an imperium of public debt and crushing taxes, contrary to George Washington's wise farewell admonition: "cherish public credit ... use it as sparingly as possible ... avoiding likewise the accumulation of debt ... bear in mind, that towards the payment of debts there must be Revenue, that to have Revenue there must be taxes; that no taxes can be devised, which are not ... inconvenient and unpleasant ... ." http://tinyurl.com/2cexupn The bills keep mounting . Bob .

In our system of debt-based money, more money must be created every year to enable debtors to pay off the interest on the existing debt, or else defaults and bankruptcies will increase. Money is created by banks during the loan process. When loans are paid back, deflation occurs, since money leaves the system.

Net deflation is the enemy of a debt-based money system, and it must be fought tooth and nail by the guardians of the system. Integral to the design of the system is the need for the money supply to grow every year. This is why the Fed targets 2% inflation. It's not because they love inflation, its because that is what is required by the system to function properly - so that there is enough money floating around so that interest on the existing debts can be paid.

With this in mind, all the seemingly absurd measures to increase debt are perhaps more understandable.

FD: I have no debt. :)

Dave,

"FD: I have no debt. :)"

Feels good these days, doesn't it?

I fear the tax bubble will be the biggest problem for those of us who saved.

Watch for unbelievable taxing creativity.

ALOHA!!

Why is it that Republicans, the supposed "conservatives", never mention their own President's, George Bush2, massive spending and debt? As I see it the US Treasury under George Bush had Federal Reserve account withdrawals of $843.4BIL USD on July 29, 2009. While that was less than Obama's $995BIL the YTD withdrawals for FY 2009 was at $9.82TRIL for George Bush, yet the spendy" Obama is only at $9.45TRIL USD YTD for FY 2010, that's less, not much less, but less. So which party is "conservative" here, in terms of spending? According to the US Treasury reports the Republicans spend more than the Democrats. When it comes November and you Republicans are standing there in your voting booths keep that in mind, because you are not voting for the "less spendy" government. That is why I call the current political system in America a "monopoly". One of the defining characteristics of a monopoly is the lack of "choice", the lack of "competition". To vote for a Republican in November is to vote for yet more spending and debt, the same as it is to vote for a Democrat.

Now you Democrats do not take heart to Obama's less spending than George Bush because Obama has spent less but he has created more debt than George Bush. Total US Debt issues, counting both marketable debt and non-marketable debt, for Obama on July 29th FY 2010 is at $53TRIL USD. For George Bush on the same day YTD it was only $44.8TRIL USD, $8.2TRIL less than Obama. The "marketable" debt issues, US Treasuries, for Obama on July 29th were at $6.78TRIL USD, for Bush it was $7.25TRIL, so Bush created more "marketable" US Debt while Obama has issued more "non-marketable" US Debt dipping into Trust Funds.

When it comes down to it neither party is what America needs at this point and time. In fact American voters should have been looking to a Third Party a long time ago, one not so enamored with US and Foreign banks and their fiat monetary regimes. In truth the US Congress controls the US FED and given the right kind of politicians sitting in the Rotunda the US FED could be shut down in December and a new monetary system in place, but that depends on voters first to send a message to the current fiat regime. Think about it for a second. When I post these spending and debt numbers these are numbers that are at America's account at the Federal Reserve Bank. Why does America, the Nation, One Nation Under God, need that Federal Reserve account anyway? A lot of our taxes are going to the Federal Reserve Bank to just pay the interest on our debt. The principal is never paid down. Your next question should be ... who is the Federal Reserve Bank? Its not a government bank ... Look who we owe. Its not "ourselves"! Just maybe in that light TARP was not a GS and JPM bank bailout but a "temporary" payment on the principal. Why else would these same banks keep getting "bailed out" over the past 100 years? What was Hank Paulson and Bernanke really saying to the US Congress behind closed doors? I would rather have a monetary system that did not include a US FED, even if it meant default, because we are truly never Free and never Brave so long as the US FED exists. So what is it our troops fight for in Iraq and Afghanistan because its not Freedom from debt. Maybe we should instead withdraw our troops from the Middle East and send them to defeat our real enemy, the US FED.

Sorry Dave and Grym, but your FD is wrong. None of us Americans are ever really "debt free", unless you can owe nobody and pay no taxes at all legally. The US Treasury is "indebting" you on your behalf, which is what I would hope my US Treasury postings would point out, even in a subtle way. Think of your income taxes as payment on the minimum due collected by the US Treasury on behalf of the the US FED. When you think in those terms then you understand why income taxes became permanent the exact same year the US FED was created in 1913. Then you might see why I say "eliminate US Income Tax and the US FED", because they are one in the same. Of course, without a compliant and willing US Congress, the money monopoly cannot be complete.

Food for thought next time you are standing there in your voting booth trying to decide which "banker" you want to vote for. Rothschild was no fool and we now live in his legacy. Why else would we have a debt-based monetary system? Without first addressing the corrupt money in this country none of the other political, banking and corporate corruption will ever CHANGE. That is the real CHANGE we need to demand from our political leaders. Anything else is just lies. Is it any wonder the US Constitution never mentions a "central bank" ...

"Sorry Dave and Grym, but your FD is wrong. None of us Americans are ever really "debt free", unless you can owe nobody and pay no taxes at all legally."

Touché!

We were of course, referring to the additional and optional, personally acquired debt.

I have little or no control over what those nut cases in D.C. do. Although I have usually voted, I am usually presented with only the good (for nothing), the bad and the ugly.

The few times I've voted for an alternative candidate (Anderson and Perot) it has only been a hardly notice protest.

The only way my representative would ever respond to my pleas is if I tied them to a rock and bounced them off his head.

Kaimu

RE: Corrupt money

"Maybe we should instead withdraw our troops from the Middle East and send them to defeat our real enemy, the US FED."

The other day I was thinking of "the coup d'etat" and wondering if one could occur in the US? Could a group of patriotic Generals and Admirals take over the country, re-establish the Constitution, eliminate the Fed and return to a partially backed gold currency issued by the US Treasury?

I read somewhere the Fed charter expires 12-21-2012. Maybe they will choose to leave town with their stolen trillions before they get arrested and sent to prison.

I was browsing the Fed website and looked over some of the stats they collect.

http://www.federalreserve.gov/releases/z1/Current/...

Under the heading of Debt Growth by Sector, Q1 2010:
-2.4% home mortgages
-3.8% consumer credit
-8.6% financial industry
0.0% non-financial industry
4.3% state & local governments
18.5% federal government

Without the federal governments absurd spending (debt growth of +18.5%!!) we would be in deflation right now, and I suspect extend and pretend has kept the financial industry from showing the true extent of their deflation too.

Congratulation's on that allocation Grym and any others here who bet that scenario.

As hard as it seems to be, I think this will continue to play out the same way as individuals and perhaps institutions continue to shift from equities. I think the boomer's have just started this trend for the last few years and it could go longer than one expects.

Interesting times, strange times.

Also, it seems to me that QE has failed to accomplish its goal of turning the economy around as we seem to be rolling over again. This should be enough evidence that Keynesian methods are a failure unless you were one of the fat cats that were able to buy time through the $700 billion gift we gave to these #$%#@&'s.

How can any central banker think that QE2 can possibly solve our problems?

It should seem obvious by now that WW2 was what pulled us out of our last depression with its pick-up in economic activity.

try nitro pdf. maybe you have an adobe related issue.

http://bit.ly/8Xy1iM

I am still watching the video. i have yet to form an opinion. So far it is entertaining/intriguing. Talks about peak oil and the relationship of oil prices spiking so high the world economy shuts down. this is what i end up watching when there are no good new movies.

Part 1: http://bit.ly/bKlWPx
Part 2: http://bit.ly/bwQRfO
Wiki on the documentary: http://bit.ly/b7e8ur
Amazon: http://amzn.to/cdRtX6

Thanks NYUGrad, I'm going to give it a try.

ditto using XP - gave up on adobe's product some time ago.

http://www.foxitsoftware.com/pdf/reader/

just note that once installed it wants to download and install additional features. Refusing all extras will help to keep it a quick opening app.

Thanks.

I love a bit of humor with plenty of pun(ch).

I gave up on Windows years ago and went to Linux. It depends on what your computer requirements are of course but in my case I don't do windows.

http://www.ubuntu.com/

Ken.

Chinese manufacturing output slows to 17-month low

The official purchasing managers' index of manufacturing output fell to 51.2 in July from 52.1 in June, said the China Federation of Logistics and Purchasing.

http://www.bbc.co.uk/news/business-10831139

Isn't the 'problem' that those designing the solutions (e.g. HB&B and political allies) will design solutions most favorable to them?

Most people who go into politics probably go in with the idea that they can make a difference, and over time that evolves into something more pragmatic, more partisan, and more personal?

Most of us probably see JOBS as the priority and INFRASTRUCTURE (energy, energy transmission, transportation, etc.) as the logical targets. But I'd imagine that other motivations emanate from Goldman Sachs and their allies...

Sadly, I've just come to the point where I believe the idealism ship has sailed and most everyone in Washington has zero credibility or trust.

"Sadly, I've just come to the point where I believe the idealism ship has sailed and most everyone in Washington has zero credibility or trust."

I'm afraid this is so. The few who have seemed to be trying are giving up — like Byron Dorgan, who always seemed to me to have a broader, more "U.S. First" view on most issues.

I imagine it must be terribly frustrating to be totally out-gunned for years.

Senate Republicans (11 in particular) went out of their way to block the DISCLOSE act last week — a bill that would stop big business from secretly funneling money into elections through various 'fronts'.

These 11 Senators are up for re-election thus fall. One wonders if they are on the take and covering sources? This bill was pretty modest. It wouldn't even have barred corporations from making contributions to campaigns — it just required disclosure of corporate election spending.

Will we vote the REPtiles out?

(I do not claim to be a member of any organized party except when to do so lets me vote.)

I just logged into TWS under Ubuntu 10.4 with no issues.

I know with earlier versions I had to load java to make it work.

Give it a try

I don't do windows.

Ken.

Not that I agree with everything represented, but sound money and freedom go hand in hand I think.

http://maxkeiser.com/2010/08/01/libertarianism-or-...

Edit:

How does this evolving definition of money and global enterprises such as the IMF, BIS, Martin Armstrong's writings, Gordon Long, etc, fit with the possible showdown? World wars have been fought over many things...perhaps usury will be one...I am asking?

http://www.wimp.com/babymoose

Is this the fringe? Can Obama get a fair hearing seeing as the American people have taken over the country, did I get that right?

http://www.examiner.com/x-37620-Conservative-Exami...

I was unable to get this from Kingworld however, I do know the roman empire did implode because of such stuff as greed and lack of morals. Thanks also.

Edit: also, the religion brought out in the video is Islamic...didn't think that that is the biggest.

Sorry, very sorry to be that insensitive. I found the material a hard read, but chose a not good way to express it. In fact, some of it makes sense and it was not my intention to put anyone down. I was trying to incorporate some of the material that was alluding to the fact that Jesus spoke in parables and that only true believers would understand...sorry again.

"Many traders have decided to withdraw their capital from the market on account of the prevailing opening gaps higher and lower and the many intraday whip-saws caused by computer algo traders (including flash bids and offers that are intended to suck in day traders using conventional analysis, leaving them as losers)."

This has been an important lesson since rearming and returning to the arena, but as I've observed from Vad it can be countered by being very choose in the setups taken so as to improve risk/reward.

It certainly hasn't been all sunshine and lollypops, mostly because I walked into the casino with my eyes lit up looking for money and have permitted myself to be subsequently robbed - this during a very difficult period of the year. Although risk control is kicking in now an example from Friday illustrates how I can still defeat myself with ease.

Bill was looking for a test of 1090 followed by a move higher, which I used as an if-then scenario for FCX breaking 70. I bought the break at 9:43 with a 100 share position (my monetary risk control) at .19 (no risk control). I say no risk control because the index at 9:43 was spiking, and if that had been a false move proceeding with a big spike down I would have taken the bait hook, line and sinker.

As illustrated, if I had simply waited at 70.10 for a successful retest of 70 being new support, I would have been on my way to a $1 move, which was what I was positioning myself for. What's worse is that initially after accepting 70 as a stop I refused to accept risk, sold +.01 and then watched as 70 support held and the train full of money left without me.

This is not the first time I've defeated myself in what should have been a successful trade. Look at WHR on the 7th - for a measly .25 risk I missed a $3-4 move cause I thought it was already overbought for the day, despite my understanding that this was bounce time (can't recall if it was Bill's prediction).

CAT had a beautiful 70 breakdown on Friday with me watching it from the sidelines, although admittedly I've become overly wary of false breakdowns and non working setups as Bill describes, that when the setups do work I'm too afraid to take them. Friday was peculiar after weeks of rinsing in that the setups worked well.

Vad graciously offered the 2x4 negative reinforcement therapy in response to FCX, but I prefer to write it up here to show that it ain't impossible, but does require that the thinking cap is on and a bit of discipline in the follow thru - both lacking at the moment. Looking forward to hopefully more frequent and profitable setup opportunities in September.

ALOHA!!

From the Diggers And Dealers Mining Forum August 2010 ...

SLR BECOMING A MID TIER GOLD PRODUCER
LINK: http://www.asx.com.au/asxpdf/20100802/pdf/31rp14ph...

What I see is mine life extended to 10 years plus the addition of a new production center in the Murchison, working multiple open pits at a 3g/t grade(see slide on page 28). When I first started buying SLR that was the big concern when compared with other companies like TRY and DOM, mine life. Now its not a concern. That would be about a 35% higher grade than the Super Pit with half the contained ounces @3million AU, which would not be realized until ~FY2012, same year as production.

Within two years the exploration target is 5mil ounces(JORC), just over half way there right now. Highly under explored, with 300,000 AU oz production by 2014.

Current production is up by 35% @ 66,700 AU ozs.

Share price(Aug 2) ended up 3%+ at $1.94AUD on average volume around 600,000 shares traded.

When I look at what some of the TSX listed exploration companies(years away from production and profit)are trading at compared to Aussie profitable producers it makes you wonder if the long term value investors have misallocated their capital. I have an 1100%+ return that says they did! This was what I presented at the CTA Conference 2009 in April.

FD: 220,000 SLR shares long term, with $0 invested.