should we be worried?, page-16

g'day jimbo,

if you bought last November, your cost must be under 4c & you're not a short term trader. I don't give advice, but happy to say what I would do. I would sell at least my cost to be free carried. Indeed that's what I have already done, selling half at 5.7 from 2.1c cost for free carry + 30% profit. Realy easy sleeping with that position. You're lucky in that you only need to sell around 25% to be free carried! great position to be in.

Too many people see a recent High, like the 20c we just saw & that gets burned into their brain as there must have sell price. Some stocks retreat, never to see that high again. Right now we don?t know if AVB will ever revisit that high, as we need a lot more drilling to prove up a larger resource & that decision to mine later this year, etc.
From a <4c cost to now 15.5c is a fantastic result, but don?t be swayed by all the hype of what MUST happen according to people who have absolutely no more knowledge of what is going to occur than you or me.

AVB is a terrific little emerging junior, with potential to be much bigger, BUT for that to happen it simply has to drill more, find more & also get into production. Risk remains until that decision to mine, further drill result, etc. Other factors can derail them. There may not be much more to find (unlikely, but possible). Oxiana got from 7c to >$4 & I know some who bought all the way up as I did, but sold NONE (I sold plenty along the way), only to watch it fall to around 50c. Bad things can & do happen all the time. Sometimes bad luck; sometimes bad management; sometimes both, as in OXR case. So when I get offered a gift like a free carry in any stock, I grab it.
Later on, if all goes well & it all starts to prove up, no harm in then averaging up/buying more. But for now the free carry is what I would do.

Also remember that if you are to be a successful long term investor, you MUST be 100% responsible for all the choices you make. By all means read what others say, but you really must confirm it yourself. Do your own research, etc. That?s the key to long term success. The web makes that easy these days. Then you only have yourself to thank or blame for all decisions, good & bad.
All the best.

as usual;
CAVEAT EMPTOR - risk in all Investments.
Everyone should make their own investment decisions & not base them on what they might read on an Internet chat site, or receive from me (who is just an enthusiastic amateur).
Remember, this information is probably worth what you paid for it.

cheers,

ned.