price hit bottomed, page-6

You have to think hard about x earnings on AGO, FMG and ARI. Above $130 per tonne it is champagne days but at this level I have AGO barely breaking even and ARI doing OK but with a steel division (think idiot brother-in-law) to support.

Bones is right in that the shorts are benign but I think there is more shorting through derivatives and I do not believe that GS borrowed all those shares paying daily rent and forgot to short them at $1.60 plus. In other words, I do not believe the ASIC short data and never have.

Hence, when this bottoms you will know because about three days later it will be 20 cents higher on the back of a short covering rally.

PS I have no idea when the bottom will be and neither does anyone else but when I see headers like this I know it is a good 15 cents away..... and the rest. The last crack at it was at 1.265.