Im going to say something highly unpopular here. Although Im bullish, lets not forget about the current prevailing risk, which was the miss in the most recent quarterly. It was an important one. Not managements fault or anything, just bad luck.
If TRY doesnt make those ounces up this quarter, It must rely on either a alteration to the gold loan (quite possible) or increased goodwill with creditors.
The gold loan in acting as a hedge, it was important that the original time table be adhered to, as it could have allowed a secondary gold loan in the new year for Smarts UG (if required)
would have provided additional quasi hedging over next few months in a global environment that is exploding with risk events.
Would a Trump victory in November cause a dollar rally and a gold price correction of a few hundred dollars per ounce. Very possible. What would a $200 USD drop in gold do in the short term, especially to TRY.
No matter how bullish we are, we must always be mindful of risk. The gold in the ground at Smarts UG isnt going anywhere overnight, thats the easy part. The rest is a little less easy.
TRY Price at posting:
15.0¢ Sentiment: Buy Disclosure: Held
