Wednesday, December 12, 2012
BUY CGR - $0.57
I was fortunate to scrape together a few new coins and get them into my trading account yesterday so that I was able to make this purchase of another 10K shares of Claude Resources Inc. (CGR) ahead of the FED announcement this morning at 57 cents.
I would have been very happy to buy something else as I already own a whole lot of this stock. But what to buy? After searching through the 200 or so miners that I keep an eye on, this one made the most sense (for me).
I like that CGR has only 6% debt and trades at 50 cents on the buck (.5X tangible book value). I like that it has shown a succession of profitable earnings years and that the 2013 earnings are projected to more than triple (even with gold priced to go nowhere). I like that it trades on the AMEX and is not a pink sheet OTC. I like that it has been consolidating at this price level for the past 6 months and has made a triple bottom. And finally, of all the miners it is one of the very few with a True Strength Index (TSI) trend line break BUY signal.
My TSI Trading Record has been updated.