great story

Catherine Davey wrote a great report on dream stocks yesterday, stocks which go up to unimaginable levels, its really worth reading, its good for the soul.

www.investorweb.com.au called "Hitting the Jackpot"

She used a company like Paladin as case study - where your investment in this company would have gone up from $ 10 000 in 2003 to $ 4.5 million today!

The article proposes that you should allocate portion of your portfolio to the cheapest resource stocks around, because at least one of them could go up 100 times, possibly 1000 times in time.

Cath maintained that the tech boom showed us that when boom turns to bubble, prices go mad and this may well happen in the resource sector.

To hedge the penny stocks risk, it was suggested that you diversify your penny stock portfolio

Evidence points to the fact that in the long term, "a range of 10 penny resource stocks is more likely to observe the rules of probabilities general trading: 20% will be huge winners i.e. 10x or more, half will 1,2 up to 5 times , while the other 30% will do nothing or go off the board. "

Part two of the report next week is going to highlight a series of small stocks (under 20c) that could be the next Paladin. Its interesting to note that she believed Mount Burgess is one of these stocks and will include it in the list next week.