Australia's largest stock trading and investment forum Australia's #1 stock forum

SAR

0.00%

$4.69 saracen mineral holdings limited

SAR Chart Thread - The Crescendo Is Near, page-338

First 338 Last

Share
Profile

Follow
aurelex90

4,404 Posts.

283

10/09/20

12:56

Post #: 47237999
Share

Originally posted by eshmun: ↑

"Anyone calling sub $5 on SAR is simply wishing for a bargain that is unlikely to eventuate"

and the very next day it trades below $5.

Seriously. It's like predicting that an on the money option is likely to expire worthless. You could have done yourself a favour and picked a lower support level.

We are dealing with a complex system at the moment. If the Chinese carry through with their plan to accelerate the selling of US treasuries it's going to put upward pressure on bond yields and tank markets further. Then the Fed will need to come to the party and print more money to step into the breach on top of all of the other demands placed on it through the ailing US economy and temper tantrums of the market speculators which are not at the top of the priority list.

As I predicted SAR and gold stocks just behave like equities when equity markets are falling. Gold itself on the other hand is in a class of its own and will only be pressured if we see another liquidity crunch. If that happens don't be surprised to see 10% daily falls in these types of stocks like we saw in March. We might not be there quite yet but as I have stated before the chances are we will see the beginning of the cyclical bubble market crash before the inauguration of the new president in January.

Remember you were also dismissing my ideas when SAR was trading at over $6 dollars only a short time ago. Your buy recommendation would be pretty deep in the red now. The landscape for equities after the next market crash will look very different to what we see now. It will look like a market where the Fed's ammo cabinet is laid bare and open for all to see and when people look in to it they will see that it is out of bullets. Imagine a child's water pistol as the water runs dry. This type of market is a cyclical bear market and there will be some real pain in reaching the bottom of that market. It will play out over this decade, but the silver lining is that gold will eventual shine above most other assets in the race to the ground. If people have the intestinal fortitude to ride out the volatility and stick with gold I think it will serve them well, but beware of vanilla gold products like ETFs and even gold companies which carry many many more risks including operational risks, market risks, market manipulation risks, regulation risks, jurisdictional risks, exchange rate risks. The list goes on and on.Esh

Expand

It actually traded under $5 because gold corrected yesterday... then it shot up to $1950 USD

So yes SAR acted just as predicted. Unlikely to go under $5 unless gold corrects under $1900 (and it came close!)

SAR Price at posting: $5.20 Sentiment: None Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

Your questions From the Floor: Fenix Resources (ASX:FEX)

AAR

Your questions From the Floor: Astral Resources (ASX:AAR)

From the Floor with Federal Opposition Leader Peter Dutton at Diggers & Dealers 2024

From the Floor with Kim Beazley at Diggers and Dealers 2024

From the Floor: Minerals Council WA chief talks uranium and gold