buy on misery and sell on prosperity

Hey Guys,


I just wanted to give my perspective on getting back in to this market and particularly PLA. Some of you might know I recommended this stock a couple years ago based on the drilling results and PGM prices where I bought in at 16 cents the rest is history.


I believe the stock is at an excellent price to take a holding for the next couple years right now. Although the price may be unstable for the next six months and could be a little erratic in the short term on auto financing politics and PGM prices, nobody out there can predict what's going to actually happen with any certainty.
I have pretty much have taken the decision to acquire PLA stock now and see out the volatility over the next few months because by the time the media and general market start to talk a little more positive about a potential recovery with some sort of timeline to recovery and extent, the market is going to rally very strong, so strong in fact I doubt I could get a serious holding of stock at these ridiculous current prices.


The market knows there are preposterous bargains out there at the moment and many people - well almost all who have been in the market over the past 12 months have been burned badly with incredible losses either realised or on paper. These same people despite knowing the market is hugely undervalued at present are holding off buying equities because they are scared of further losses if things devalue further with the recession. But as soon as there is some positive sentiment, all these people, most the bloody population actually are going to re-enter the market to try and make back these losses they’ve taken. This in my opinion is going to lead to the mother of all rallies next year.


Frankly I’m going in now folks and not going to be caught with my pants down on this one as there is a huge Monza to be made in my opinion on PLA. You need to be in when misery is the talk of town. I.e. you going to need to get the jump on the rest and surf the volatility on the next 6 months, and not be a sheep because by the time the analysts are saying it’s safe to go back in the water, they’ve got their holdings secured. Be assured of that.
One other thing, did you know the Comex only have about 1000oz in physical Platinum in their warehouses? Physical platinum is substantially more expensive to buy than a Comex spot paper contract price for fairytale future delivery. Go to ebay or somewhere and just try and buy yourself some platinum coins or bars... If Comex defaults on delivery on gold or platinum the future because the actual price of the metal in your hand is substantially more expensive than a Comex contract future price for delivery, all hell will break loose on the spot price, thus company’s like PLA who actually have the real ore to mill will explode in value to the real price of the metal.


Hybrid cars also need catalytic convertors as they still have regular petrol motors as well as electric and traditional power cells for electric batteries need platinum as well, although I believe there is a new invention out there based on Gortex that does away with platinum in fuel cells. I think these fuel cells are a long way away from major production and as long as we’re talking Hybrid cars platinum is still going to be in demand for a long time. Also as long as oil price is in decline to the prices it is now, it would be difficult seeing the investment going elsewhere.

Happy investing!