I'm not much of a chartist but I do find it useful when...

I'm not much of a chartist but I do find it useful when following the price of metals

check out this one



Marcus Padley, a guy I like because of his honesty but not necessarily because he makes good calls came on Lateline last night and said it appears that we weren't in a super cycle at all. In fact what we were in was actually a bubble...lol hilarious

he was probably right

anyway there has been a lot of talk about copper going to $1.20 or even a $1

have you ever wonder where such talk would come from?

well I would say that it comes from a person looking ata chart for the long term price of copper

if you draw your lines I think you will notice that there are two supports
one at $1.50 and another at .50
add the two together and divide by two and you end up with $1
so there you have it the long term price for copper between $1 and $1.20

I am hoping to hold on to this one for ten years or so am not really concerned

I am sure we will go above that long term average at some point particularly if trailer trash in the US stop taking out loans on houses they can't afford.

So what does this all mean to OZL?

well I think we are mainly getting our copper from sepon at the moment and bit from golden grove

as long as we were to get more than US$1.08

it may not be be enough to offset the loses from century though

Prom Hill is supposed to double our capacity from around 100,000 to around 200,000 tonnes

but we may not be up and running to full capacity anytime soon

anyway that all I know

by the way Mark, are you still holding?