should i hold until tomorrow or sell now, page-18

sure is one of life's unexplained mysteries that kcn opened at $5.82. this was only marginally higher than the $5.50 level that the company had been trading at for most of may, and about the first half of june - and that was when there was a lot of uncertainty.. indeed, it is still one of lifes unexplained mysteries that the company is trading at about $6. from watso's perspective, there is no gambling involved at these levels - but who knows, it might well be that holders will have to wait, till the company actually cranks up output, - first of all to the 150,000 per annum level (simply by mining the ore in the chatree north leases)

watso would guess that the likes of jabre and ubs (substantial shareholders) are laughing their heads of, as they are probably soaking up more stock at these levels. from memory, jabre was a multi billion dollar enterprise - yes, just found a link

http://www.efinancialnews.com/assetmanagement/pensionfunds/content/2348367552/printerfriendly

"Jabre has set himself up as a rival to GLG, launching a firm whose investment strategy is comparable to GLG market neutral fund, which he used to run. The Swiss-based Jabre Capital Partners has raised $3.2bn and hired former colleagues."

so jabre capital partners has raised $3.2bn, and they have become a substantial shareholder in kcn. watso doubts that they are into kingsgate, just to pick up a couple of dollars per share. watso thinks that jabre, as well as ubs, are accumulating stock, with the expectation of making a killing

anyway, the present market price, is the present value that the market puts on the company - sometimes the market is wrong, and that is where there is the chance for a value buy. all the reasons are given, somewhere in the kcn threads

watso will now change his sentiment, from "hold" to "buy"