"For myself, I have 21% in SLR and 28% in gold stocks total. I know for a lot of people this would be considered high...."
mrmars, if that is high, you will call me mad!
I have been 100% gold stocks (and or cash) for around a year. ABU is my largest long term holding at the moment but I have been trading SLR (and PRU as well more recently) most days since I sold out of my "long term" holdings at $3.80. They were meant to be long term but went beyond my near term target. Then they pulled back to $3 and bounced again to $3.80. I thought the potential for a double top was high and expected a trading range to follow so I sold the lot and have only traded them since. At some point I will decide to buy for the long term again. It still is my no.1 gold producer pick.
I still have no intention on buying anything non gold for macro reasons but if anything compelling enough comes along I might reconsider that. The only macro picture I like is gold especially in AUD terms as the AUD should cushion the AUD gold price from any shocks, and therefore insulating earnings for our producers from shocks. I sold non gold stocks that were meant to be long term growth stocks with very good assets like MNC (sold at 40c), ELM (sold above $2) etc when I got more worried about the macro picture. Most of that went into SLR at $2.40 down to around $2.20 before I sold at $3.80 (while ELM and MNC have been decimated). People say you need diversity. I say I need to stay only where I am very confident. Not everyone thinks you 28% in gold stocks is high :)
SLR Price at posting:
$3.01 Sentiment: LT Buy Disclosure: Not Held
