I have always been a trader and a long term investor. ATM SLR (and PRU) is a short term trading stock for me but ABU for example is a long term holding. At times of more volatility I prefer to trade and when the markets settle in an uptrend I increase long term holdings.
I'm not worried about the APAC curse for ABU. Only interested in the quality of the deposit. Mt Monger grades or better but in open pit starting at surface, just $27mill capex and $500 cash costs all inclusive (sub $400 otherwise). Incredible deposit with large exploration upside- check out my posts on that thread to see my detailed thoughts if interested. Looks a bit like an early stage SLR only with larger starting resources at surface rather than u/g.
SLR doing really well. Now up 50% off low- just as amazing a recovery as was the fall. Easily outperforming most other producers, especially the likes of NCM. I am getting confident the sector and POG has seen its lows for this cycle. In particular the length (in time) of the correction in POG has now just passed the length of the 2008 correction. I got really lucky this week based on that confidence when I took I very large (leveraged) position (PRU) on Friday. I sold most of that to deleverage but still holding a decent size parcel. I prefer SLR overall mainly because of the country risk but PRU has 10 years reserves (20 years on resources) so has its advantages as well. Both should do very well. I will probably take a longer term trade on SLR if I get lucky and see it pull back to 2.75ish. SLR is still my number 1 pick for a gold producer.
SLR Price at posting:
$3.01 Sentiment: Buy Disclosure: Held
