ER6N I feel happy sometimes. I feel sad sometimes. I feel like no one cares how I feel. lol
Based on what the Chinese ended up doing last time they put the brakes on the shadow banking industry, I suspect they will turn the tap back on and lower interest rates sometime in the next week.
This will cause their market to recover and confidence to creep back in to the steel industry. This will happen in mid winter with mines shutting down because of the weather.{Just like last year} It was below -25c in Northern China on the weekend. It is likely to cause a price shock in the Iron Ore market. We all know how much AGO loves a high Iron Ore price. If the report comes in with 100 Mill profit while the Iron Ore price is taking off, it won't matter how we feel about it, AGO will take off also!
My guess is, even if AGO drops further it is likely to rise above $1.20 in a single day and then move above $1.30 in just a few days if the right Macro environment exists! AGO has a history of dramatic runs up to a quarterly! In the two weeks leading up to the September Quarterly release AGO's share price went up almost 24%!
AGO Price at posting:
$1.16 Sentiment: Hold Disclosure: Not Held
