Gold in Canada: Goldstone Resources Fight is on for the Hardrock deposit GRC.to, PG.to, GG, NEM, FCX, GDX, ABX, RGLD, TCK, AUY, BVN

Sometimes a little bit of emotion could do a miracle to the share price. Company has the owners and markets likes it.

We have a full blown fight for the company now and there are nice huge crosses in the market today.




Recent Trades - Last 10 of 11


Time ET Ex Price Change Volume Buyer Seller Markers

09:59:58 T 0.42 0.01 1,000 7 TD Sec 33 Canaccord K

09:51:55 T 0.41 0.00 1,000,000 1 Anonymous 1 Anonymous K

09:35:58 T 0.41 0.00 14,000 33 Canaccord 1 Anonymous K

09:35:21 T 0.41 0.00 1,985,500 27 Dundee 1 Anonymous K

09:30:00 T 0.41 0.00 333 33 Canaccord 7 TD Sec E

09:30:00 T 0.41 0.00 33 33 Canaccord 85 Scotia E

09:30:00 T 0.41 0.00 5,000 27 Dundee 7 TD Sec K

09:30:00 T 0.41 0.00 500 27 Dundee 85 Scotia K

09:30:00 T 0.41 0.00 4,000 27 Dundee 85 Scotia K

09:30:00 T 0.41 0.00 5,000 27 Dundee 2 RBC K

"Updated August, 27th 2010.

 

PHILIP CUNNINGHAM RESPONDS TO GOLDSTONE NEWS RELEASE REGARDING EXPLORATION DRILLING HALT

We have one more sleeping beauty for our Summer 2010 collection - Goldstone Resources - Premier Gold is drilling Hardrock property like a Swiss cheese and pulling up one gold intersections better that the other every time, deposit will grow in its size by the next resource estimation. Why the stock is performing so miserably even with Gold at the all-time-high? Other shareholders maybe know the answer:

Things are boiling up in this junior, hopefully steam will be released soon with share price to the upside."

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Next Bull: Lithium - Crash of the Markets, Gold and price of Oil for Helicopters TNR.v, CZX.v, GRC.to, BVA.v, BVG.v, GBN.v, RM.v, LMR.v, WLC.v, CLQ.v

Small print.

Some observations below are based on pure Science and some on solid Fiction, please be careful to draw any investment conclusions from some parts of the story. As a socially responsible citizens authors of this blog could benefit from your investment decisions regarding Ben Bernanke, Helicopters, Oil, Gold and Lithium.

  CS. It is time for us to sharpen our pencil and put a few lines together about socio-economic events of this week which will have far-reaching implications on our way of life. We will speculate on the real events going on behind the scene on a day of Cyber Meltdown: the spectacular Dow Crash with the sheer magnitude of 1000 point in fifteen measly minutes. We'll develop a very strong argument in favour of Inflation and its cost based on PhD Thesis: At what point does the price of Oil  make Helicopter use  by Ben Bernanke prohibitive in his open market operations?

  We will draw some lines on How Lithium, Gold and the price of Oil are all connected and what it means to be grounded. In the end we will leave you with the question: Where to invest - In Ben Bernanke, Ink Factory, Helicopters, Oil or Gold and Lithium?

  Our memories from the 2008 meltdown and the last deflation strike in March of last year are still too vivid for us to stay rational amidst the recent market panic of this week. Was it the fat finger, Cyber Meltdown or revenge of the Government Sachs, which was striped of its Olympus glamour? This  is not so important - the most important message is the reaction of the Market itself and and all the actions of the people in charge to follow this change.

  We will even speculate that the real reason for Dow to crash 1000 points in fifteen minutes was a subliminal and classified message in the networks that helicopter-commander Ben Bernanke had sent his helicopter squad to Europe. Unfortunately, the squad was caught over Iceland in the vast volcanic ash-cloud and was grounded on a deserted island, with all those precious billions of dollar bills burned in a camp fire to keep pilots warm.

  Messier Trichet from ECB has refused to send euro-copters stashed with cash and support the market operations on Thursday, pointing to high oil prices and high price to be paid in the end of this kind of "open market" operations. He even went to length talking about austerity measures, economic reform, budget cuts and fiscal discipline.

  The French connection with the Crash must be investigated further: first they took our wine lists, following by mortgage-based securities trading, so what will be next? We will point only to the obvious: ECB head Jean-Claude Trichet - the President of European Central Bank, with his frustratingly stubborn attitude to the Quantitative Easing. Next one will be Goldman Sachs' Mr Fab himself - Fabrice Touree at the heart of the recent scandal. Have you noticed that this time Goldman Sachs were par excellence on transparency issues, it has avoided any double standards allegations and immediately released all emails of Mr Fab including his love letters and proper descriptions of all those variety of products sold to the sophisticated "widows and orphans" as they call our banks, which were stupid enough to buy that useless stuff.

  Buy the way, they called these derivatives by a lot of misleading names for the clients in public documents, but in internal emails we're quite confident that the word s#*t (btw the French word is merde) was used quite regularly to substitute the names of all those complicated-sounding items they were selling.

 This twitter-based letter combinations is raising the same emotions as the subject itself and we will allow ourselves to use it in this context, lacking the better alternative. This time Goldman Sachs was equally distant from its clients and employees - they were sacrificed immediately. In the end, if The House does not give a  s#*t about its clients, why attitude to employees should be different?

Here's our part based on solid Fiction ends and we will move to pure Science.

  As it is difficult to simply believe in the reasons behind the Thursday 1000 point Dow Crash we wrote above, we will make few observations based on real time market data.

  The market was trading down on Thursday from the opening, with traders's heads filled with those terrifying images from the Greek violent Austerity Market Test, but they were sliding down in orderly fashion. At 14:00 hours, a sudden spike in the Yen Dollar chart occurred: Yen moved up and then all hell - called Carry Trade - broke lose. Somebody big enough to get busted in a spectacular fashion was caught naked on Yen funding side. With rising Yen Rise of the Machines began: algorithmically driven buy orders start to protect from the Yen run away, snow ball has driven Yen above USD by total 5% percent at one point. Please do keep in mind that another Carry Trade - funded in USD - moved up against all other currencies as well: the Euro and Pound were not spared, Hung Parliament in UK helped ignite the run on pound again. After the Yen move within half-an-hour Dow started to crash: our take is that with running up Yen and following USD margin calls kicked in and selling began in most liquid stocks in the Dow. Run-away in Yen was stoped by Japanese Central Bank intervention to the magnitude of 2 trillion Yen. The Dow Cyber Meltdown was protected by PPT, investors lost on filled stops much below limits, and somebody big got busted for sure.

  We will leave the situation on how technically stock like P&G could drop by fifty percent in just fifteen minutes to be investigated by the mass media, but will confirm here one more time: it was second Deflationary Test with sudden drop in liquidity, this time driven by sovereign debt crisis. Call it Run On The Bank among Big Guys. This fifty percent crash in fifteen minutes made no mistake about the state of the market and economy in deflationary environment - we have seen the future and let us tell you - it isn't pretty. The Deflation spiral means death of financial market by thousand cuts - the financial system is insolvent and the only way to run it is to keep liquidity high enough so that nobody is testing it to deliver. QE will provide the required flood of money, debt will be rolled over and by destroying the value of FIAT currencies Debt will be Inflated out in the end. This time it is different - it is not only our theory, but confirmed market action. This time the most important fact here is that Gold was at almost all-time high at the moment of the test, Gold was moving up against all currencies and this time in a sharp contrast to the events of 2008 it was sharply up and over 1200 on the day of Market Crash. This new round of QE (when Europe has not even started!) will be going already from this very high base in Gold value and rising Inflation in Commodity and Growth driven economies. We won't go into the debt issue today in details and will only point out that it is a notch under 13 Trillion and in dangerously close proximity to 100% of GDP of U.S.

  After those pictures from Greece, we strongly doubt that anybody will go there in the U.S. Corp. management. Deflation will be prevented by any means, it is easy and price to pay is not so obvious as to be seen soon enough. Newly printed US Dollars are "free", but price to drop them is not: you need Oil to keep you helicopters flying and here will be our first conundrum: At what point will the price of Oil prohibit Ben Bernanke's use of choppers in his open market operations?

 The time has come for us to move to practical implications of the new Inflation round to fight Deflation Scare, this time created by sovereign default. How are Lithium, Gold and price of Oil connected and what does it mean to be grounded? We will start with Gold and give you few observations:

1. We are in a new Bull market territory, with Gold moving up against all FIAT currencies.

2. Corporate default was exchanged on sovereign one - all bailouts were not more than transferring obligations from failed banks and other Corporations to the public finance. Bonuses were left with bankers, losses were privatised with public. Now we have on outskirts of Europe with less than 4% of EU GDP fireworks, which are supposed to end Euro legacy in wain. But don't rush to trash the Euro yet. The sovereign default is very different from corporate one. If the debt is issued in local currency it could be always printed more in order to repay it. U.S. Corp. is living in this space for years, the UK is there and Europe will have to decide and move in support of Greece to prevent the run on the bank and collapse of the following PIIGS members.

3. Expect shakeouts, but the direction in Gold market is clear: further Up - driven by run from all FIAT currencies, rising interest rates, generational Bear market in Treasuries, negative real rates and expansion in monetary base (QE) with inevitable by definition Inflation. And we have to pray for it - we do not know how to survive in the dreaded Deflation Spiral should anybody made a mistake at a crucial turn.

4. First Gold will make new all-time high, second will be M&A play: Majors will shop for Juniors with resources in the ground. Here is the double-game - Gold is moving up and Majors' production and Reserve Base is going down. If you like more leverage you are welcome to Silver market. Place to be is in stories will strong management, growing resources and stable political situations. Markets will be volatile by all means and political tensions will be driving this Gold Bull as well.

  We have been proudly running Gold Bull for nearly ten years now: Gold first, than Majors and follow up on Junior side. We were always wondering about Future of Energy and have collected some great memories on Uranium Run, Solar and Water plays. Gold Bull has years to run, but we are searching constantly for new Macro trends - it is very interesting to find out what will be the next Bull which will come out of these rubbles in case we are right and Inflation will be the answer to the Deflation war scenario. It is time for Lithium to come into picture.

Lithium is the leveraged play on Peak Oil and rising Oil price with coming Inflation. Sector is very small and market is even more smaller - everything is ready for the parabolic move in case of supporting fundamentals.

  Recent Oil Spill shows the real price for Oil and leaves no doubt for us that there will be no more cheap oil: offshore drilling is costly now, it will be even more costly later. Relatively cheap Oil is in the hands of state owned companies in not so friendly to U.S. places. Oil squeeze will come from diminishing production rates and rising Inflation. The move will be even more explosive than in the Gold market - in the end only minority of people is effected by the gold price even now, Oil is the underlining of all Western Energy Diet. It is not sustainable. Emerging markets are taking more and more share of world wide production, oil producing countries are spending more at home. If you account all cost to produce, deliver and protect Oil supply to U.S. corp the price is already above 150 USD/barrel.

  "Peak Oil and Lithium: Joint Operating Environment 2010

Please pay attention, this report is written by those who knows the Real Price of Oil. If you account all military needed to protect Oil supply lines and cost of wars to get more oil, price will be well above 150 USD/barrel already. Now we all have another problem: there is simply no more oil enough for all. Will future wars for oil be the only answer?"

  Another "liberation" operation like Iraq, this time against Iran will break the camel's back with no return point. Competition for Oil is heating up and aggressive move by China into Electric Cars leaves no other option for US other than to follow. In order to keep power, China needs gradually improve standard of living, it will bring upside pressure on labor cost. Electrification will not only provide Energy Security to China, but will at the same time significantly reduce the cost of its transportation element and provide another opportunity to stay among low cost producers. Situation in China is completely different to U.S. - they have capital to invest in Electric Mobility CAPEX now and rip the rewards of lower cash cost on transportation side later. We will refer you to the Economics of Electric Cars.

  Recent Ash Cloud events in Europe brought a very sobering sense of the feeling to be grounded. It is amazing how many things we are taking for granted. This time it is Ash Cloud - what will happen with oil above 150?

  Electric Cars  are the only commercially viable technology today to sustain mobility world-wide with rising Oil prices. Lithium is at the heart of Green Mobility revolution - it is an industry adopted standard for batteries and billions of dollars are invested into battery technology and upcoming by the end of this year Electric Cars on a mass market scale. This Bull market is still very young - only a year or so from the beginning after the crash of 2008.

We will provide you with few links to study the subject further:

1. Peak Oil.

2. Lithium ABCs.

3. Lithium the Next Big Thing for China Investments

4. The Future of the Lithium Market.

5. Lithium iPod moment.

6. Lithium and REE: How to invest in the Next Big Thing - Electric Cars and Green Mobility revolution.

7. God protect America and give us Electric Car - Obama on Clean energy, Batteries and Competition.

8. Lithium and REE Investment Manifesto and Next Big Thing in action: San Francisco notes.

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BYD Electric E6 will Warren Buffet drive this one? Geely Electric Panda.

Cherry S18 Electric Car from Chinese Chery Automatic Company.

These are our Next Big Thing Bull fundamentals in action:

BEIJING, April 15 (Xinhua) -- April's Auto Shanghai 2009 show highlights the use of energy-saving automobiles, with several well-known auto-makers, including GM and Ford, set to announce new products.
For many Chinese exhibitors this will also be a good platform to show new-energy products. Domestic carmakers including Geely and BYD announced earlier that they would unveil new-energy vehicles, while the country's first hybrid sport utility vehicle (SUV) CS7 is expected to make its debut.
New-energy autos mainly refer to electric vehicles (EV) -- driven by an onboard power generator; hybrid electric vehicles (HEV) -- which combine two or more propulsion system and can save as much as 40 percent of the fuel, and hydrogen or solar energy cars.
These automobiles, which features less reliance on gasoline and diesel, energy-saving and environment protection have attracted many countries worldwide to set foot in research and development in the hope of saving energy.
Industry insiders expect China to become the pacemaker of a new-energy automobile industry in the future thanks to strong policies from the government and a full industrial chain.
On March 20, China unveiled a revitalization plan for the domestic automobile industry, which outlines the details of enlarging new-energy auto production, and developing spare parts and components.
The plan said the country would channel "special funds" from the central budget to encourage use of new-energy autos. Government or companies that purchase the cars are expected to get a compensation of 4,000 yuan (585.6 U.S. dollars) to 25,000 yuan per car.
By 2011, annual production capacity of new-energy autos should stand at 500,000, and 5 percent of new vehicles, including lorries and buses, should be new-energy ones, according to the plan.
Li Chunbo, the CITIC Securities analyst, told Xinhua on Wednesday:" China doesn't occupy a leading position in developing traditional oil-fueled vehicles, but it has great potential in new-energy car production, if it takes advantage of policies."
Pei Pucheng, China's Society of Automobile Engineers praised the measures as a "positive signal" at the same time, saying favorable policies would guide more enterprises to engage in the industry, attract more talents and encourage consumption.
Worsening air conditions and energy shortages have been big risks to China's economic development and environmental protection.
China had 50 million automobiles in 2008, and it is estimated that the figure will hit 150 million by 2020, and fuel consumption is expected to top 250 million tonnes of oil.
China ranks the third largest auto producer worldwide in terms of production capacity, only behind the United States and Japan. Last year, the country produced 9.35 million automobiles, an increase of 5.21 percent year on year.
Wan Gang, minister of science and technology, underscored that it was a very good opportunity for China to develop self-made new energy autos.
The country is very likely to shift from the status of a "large producer" to "leading producer" of autos gradually, he said.
Expert Pei said, although China had been developing new-energy autos for a very short period of time, the country was playing an important role in battery production, one of the most important parts of a new-energy auto.
"The most widely-used auto batteries are lithium batteries. The performance of batteries directly decides the quality of new-energy automobiles," Pei noted.
CITIC Securities issued a report in March, which said, "It appears that more and more lithium battery producers are moving to China. This will help China to occupy more market share in the new-energy auto market."
China has about 200 lithium battery enterprises, accounting for40 percent of the world battery production. BYD company limited is not only an auto producer but also the leading enterprise in lithium battery production.
Last December, BYD unveiled F3DM hybrid automobile, which was driven by a lithium iron phosphate battery. This battery established its name for low-cost and high-efficiency.
Another domestic auto-maker, Chery Automatic Company, announced in February a new vehicle with a maximum speed of 120 km per hour.

Chen Quanshi, an expert with automobile engineering school of Tsinghua University, told the reporter on Wednesday that the country's auto industry was expected to enter a "golden era" with the support of government policies and a developed industry.
"The government should make more efforts to make new-energy automobiles popular, and further reduce production costs," Chen added.
The 13th Shanghai International Automobile Industry Exhibition, also known as Auto Shanghai 2009, will be held between April 20 and 28 in Shanghai.

Lithium: Bull market fundamentals and why invest in New Oil - Lithium for Electric cars? Updated TNR.v, SQM, WLC.v, CLQ.v, BYD, GOOG, TTM, GM, F, IOH, OIL,

Updated September 8, 2010

Investing in Lithium: Looking for Catalyst. September, 2010

Lithium Bull: Rest before the Charge. August, 2010

Next Bull: Lithium - Crash of the Markets, Gold and price of Oil for Helicopters. May, 2010.

  How to invest in Lithium and coming Green Energy Bull market. CS.

We were recharging our own batteries recently and sharpen our sword. With all this intensive news flow in the field it is important to step back and make clear what is making this trend not just a trade for a couple of months, but The real Next Big Thing and The Bull Market.

We took a couple of books in order to have a better perspective on the general market conditions and particular coming Green-Tech Boom.

First one is "10 World-Changing Trends. The Jubak Picks by Jim Jubak.

"A January 2008 independent study by Nielsen NetRatings found more than 1 million people like you look to Jim for advice and commentary. That's nine times as many as any other investment columnist on the Web."

Second was "Clean Money. Picking Winners in the Green-Tech Boom by John Rubino.
"John Rubino is co-author, with GoldMoney’s James Turk, of The Collapse of the Dollar and How to Profit From It (Doubleday, 2007), and author of How to Profit from the Coming Real Estate Bust (Rodale, 2003) and Main Street, Not Wall Street (Morrow, 1998). After earning a Finance MBA from New York University, he spent the 1980s on Wall Street, as a Eurodollar trader, equity analyst and junk bond analyst. During the 1990s he was a featured columnist with TheStreet.com and a frequent contributor to Individual Investor, Online Investor, and Consumers Digest, among many other publications. He now writes for CFA Magazine and edits GreenStockInvesting.com."

We have thrown into the mix of wisdom some of Warren Buffet timeless observations, who is our bed time reading favorite and all unconventional stuff as usual is our own.

Our conclusions for your own thinking consideration are following:

Jim Jubak has identified ten Macro Trends in the world and we were happy to find out that his findings are already in our portfolio. Here is our contrarian soul takes over: with one million readers he is wildly followed - trends are becoming Macro plays.

John Rubino helped us to translate Obama Dreams into market applications: "Solutions for global warming or Peak Oil will be worth literally trillions of dollars..."

With recent announcements on aggressive Infrastructure building for Electric Cars in China, Europe and USA; news from Toshiba about quick-charge Lithium-ion batteries and Electric Cars models rolled over by all major automakers, it is clear for us that Alternative Energy and Mobility are converging into Electric Cars solution with Lithium becoming New Oil - commodity of the 21st century.

Lithium could become the Key to investment strategy into this "...next great bull market...its going to be bigger and longer lived ten tech-stock and housing booms combined, according to John Rubino:

1. Why clean tech will be the investment opportunity of our lifetimes.

2. Why the hottest sectors are also the most complex and risky."

We are not sure who will build the best battery, who will sell the most popular car (or will they make any money by doing it), we have read somewhere that at the beginning of automaking there were more then 3000 automakers and still remember Etoys, Commerce One and Ariba.

We are getting old, lazy and more and more would like to bet on a "Sure Thing": like selling ink to FED for them to print money and try to sell it to public for a par value.

Lithium for us, particularly after Toshiba news, is that Next Big Thing. Risk of the new disruptive technology still exists, but place in periodical table guarantees at least that there is no Lighter Metal which could be used for High Density Energy storage where it matters most - in Mobility revolution. All major automakers has taken Lithium-ion based batteries as a standard and money are pouring in from guys like John Doerr and Warren Buffet. It is good enough for us. We are using our Dragon approach.

But back to Jubaks Macro Trends - will Lithium as New Oil for Electric cars stand its test?

1. Go where the Growth is - and it means putting some money in the developing economies of China, India, Brasilia and the rest of the gang.

For China and India to endorse Electric Cars could be The Only solution to bring Mobility to at least part of the population and it is not a theory any more - it is happening fast. India's Tata Motors TTM has announced first Nano with a basic price tag of US2000 which opens Mobility to vast consumer base, electric version to be rolled out later. There is an interesting observation that for first time buyers in China and India, who never experienced performance of gasoline based engines, it will be easier to sell Electric Cars, but here we think that running cost and improving performance will be really the key. Conclusion: it is happening now and Lithium play is in line with High Growth play.

2. The Rise of the Global Blue chips. These companies are emerging from the world's emerging economies to challenge Coke, IBM, and Wal-Mart on the global scale.

We have mentioned Tata Motors TTM already, if you missed they own iconic Jaguar and Range Rover among other things by now. These deals are actually killing their balance sheet now, but they are ready to sell their Nanos in Europe and USA as well. GM and Ford are crying now about Japanese automakers, wait until Chinese and Indian guys will start make cars and batteries for that matter. BYD company from China with Warren Buffet is not a bad company as well.

"China has about 200 lithium battery enterprises, accounting for40 percent of the world battery production. BYD company limited is not only an auto producer but also the leading enterprise in lithium battery production"

All these guys in the Electric Cars sector will need Batteries and Lithium supply secured for years to come to make them.

3. The world is getting wealthier and older at the same time.

Jubak has put here different meaning to apply this Trend to retirement money managing. We will make an application of this Demographic trend to Lithium. In retirement planning running costs are taking over above other considerations. In the Developed world Electric Mobility Unit could become the solution for aging Baby Boomers: they are Empty Nester's, need low running cost: Electric Cars now are estimated to be from 0.25 to 0.5 USD per gallon equivalent, need security, driving range is local - it must be small, secure and easy going. Think about not cars, but something futuristic with anti collision devise based on GPS and easy to get in and out. Once energy storage solution will be improved based on Toshiba claim for Lithium-ion batteries design of full Electric Vehicle could be out of today's GM and Ford comprehension: you do not need to play around transmission any more, actual electric motors could be inside the wheels.

4. Inflation, the beginning of new era.

Lithium as other commodities will be driven by Supply and Demand and with Inflation its price will be rising. More money chasing the same amount of Real Hard Assets will put prices up even without Increasing Demand. Inflation is a monetary policy decision to go for Growth. Recent Obama policy for growth will have Inflation as an outcome.We are well positioned with Lithium in this macro Trend as well.

5. Energy. As the world runs out of cheap oil.

It is how we started our Next Big Thing investigation.

We are still thinking that there is more life in the world than just counting effects of Budget Deficits and Quantitative Easing complications for sovereign currencies. After all our Gold and Silver plays are so far from close to our heart drive and energy of new and coming - it is almost like slipping into Dark Ages when the main drive is survival, are we all gonna end with miserable army trucks moving our gold bars? Is there any life at all after Obama Stimulus? What Chinese are gonna be driving for that matter? We are looking for new drives, new ideas, once we move into Inflation stage of recovery from second Great Depression - what will be hot? Gold and silver will preserve value and maybe even will become Reserve Currency - we are in this field already. What is next? Energy security? Peak oil? As financial system became totally unsustainable because of cheap credit, corrupted Agency relations and pure Greed, so the basis of modern life based on cheap energy consumption is becoming the next bubble to burst. Will it lead to downsize when oil will be used mostly for Military Applications? You can not fight the war with batteries so far, only oil can drive tanks, fighter jets and aircraft careers. With all rock style accessories without any substance so far Obama is keen on one thing: energy security - he is ready to debase the currency US Dollar, to cut Medicare, to tax "rich", but he is pushing on alternative energy and energy efficiency. He must be known something that we do not believe so far: cheap oil is gone and even stronger - oil is gone for ordinary consumer within next twenty years.

6. The Commodities crunch. Natural Resources demanding world.

Here our Lithium idea is spot on the money. It is price will be driven by restricted by Nature Supply and by rising Demand if all our Trends will work out for our application. It is already one of the major concerns. Demand could come almost overnight in mining terms and exploration and mining development are taking years and so far only handful number of companies are in the game in our High Leveraged Junior sector - who are developing future Lithium projects to become mines for new Bull.

7. Food. Tne new Oil.

We will send you to the book for understanding of this Trend. For our Lithium theme it means, that ethanol is not the solution to mobility so Brazil will be welcome to our Lithium Demand club - they will make more money on selling food then ruining the old new cars on it. Gas will not be cheap any more as well - Food Demand will push Agri business to the edge of using more and more fertilisers for which production Gas is an essence. Food production and its Distribution will become Lithium solution based as well.

8. The Environment, at last.

Here Lithium is The Play. Lithium based solutions are providing necessary Medium for all other Clean Energy Sources in the High Energy Intensive Mobility applications. Lithium-ion batteries are a storage of Energy. Electric cars are as clean as their Energy source - Electricity Generation and here you are welcome to John Rubino. There are some estimations that in USA off peak power is enough for recharging at least 10% of recent car fleet overnight. Nuclear power will be the solution on mass scale in our opinion, but you can chose from Solar, Wind, Geothermal and other alternative opportunities as well.

11. Hidden Technology. Tech stocks are dead; long live technology investing.

Lithium here is the necessary material to make all this Clean Tech and Green Energy revolution happen in the Mobility rim. Also it is important that other REE are found with Lithium like Tantalum which is necessary for High Technology Applications like super capacitors and High End Optics.

12. The stability premium.

Even we can get tired to invest in all Mambo Jumbo and places which are run by despots of different kinds, who will put shadows on our Green Dreams by eating babies or taking our properties overnight. With recent high volatile markets stability will receive its premium and our Next Big Thing Lithium must be based on a stable grounds. It is becoming the matter of Energy Security. This Bull is in its infancy and we would like to run it for years to come in a relatively secure environment. So we are very pleased that we can find stable from political point of view places for our Lithium Play in good old Canada and some top experts in the area are based there as well.

Do not forget that apart from recognisable Warren Buffet quotes all unconventional stuff about Juniors and Lithium combined in the Next Big Thing is our own made, there are No Investment Advises Here and before further study of our ideas, names and links remember Berny Madoff twist to the Effective Market theory - do not expect anyone to make money for you apart from yourself. Do your homework, read our legal disclaimer and welcome to the Next Big Thing.

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Silver - just wait until the Greed will come back. SLV, XAU, SLW, SST.v, KTN.v, OK.v, MGN, CNU.v, FVI.v, SBB.v, SAX.to, RVM.to, ASM.v.

Silver is out of fashion, Silver miners are filing for bankruptcies and Juniors were selling below cash value in December. Victim of its dual monetary and commodity qualities Silver was punished hard during the Irrational Delusion stage of recent madness. Silver miners and Silver streams SLW SST.v companies were sold into oblivion because of their Debts and Leverage to silver price.

Time is for a Change here in a public perception: Silver is up more then 50% from its low at 8.4 in October 2008 at Friday's close at 13.16 USD/oz. Technically Bear move from its highs of above 20 USD/oz is over. Strong silver companies are up more then 100% SSRI, Juniors are making over 100% up from lows as well SST.v, OK.v, MGN, SBB.v, CNU.v among many of them.

It will continue to be a very volatile trade, but technical picture is very strong on a weekly. RSI is confirming recent higher highs, MACD after Buy cross over is moving up and only approaching positive territory, STO has a lot of positive momentum.

Candles have made a Bullish Three White Soldiers formation breaking out MA200. With enough momentum in Gold going up next week, resistance between 13-14 level could be cleared and 15 USD/oz level will be not a distant dream any more.

We expect that Silver miners, Silver Streams and particularly Junior Silver mining companies with appropriate quality in resources/management/financing will remind us sweet days of Bull market with silver price approaching 15 USD.

Cherry picking will be the name of the game as usual.

Gold - on the way to the new Highs. GDL, GDX, AUY, HUI, XAU, RMK.v, TNR.v,

Technically Gold is very strong on weekly. RSI is rising confirming new Highs, MACD after Buy cross over is going into positive territory after break out, STO is positive. There could be a possibility of a retesting break out from MA50 on a general market rally and perception that Gold trade is just a risk averse one, but we will take it only as a joke and a buying opportunity before breaking out of 1000. Risk averse? You should tell it us in October - November, when gold was crashing in forced selling with any other "risk" trades. Gold is an Inflation indicator and the only currency preserving its value in a face of massive debasement of US Dollar and other FIAT currencies. We would think contrary now to a conventional wisdom: Markets Up, Gold down and when Major banks are bullish is a sign of a Top - currency trade is when Gold is strong, it will attract new money. After crossing its MA200 Gold pushed banks to pronounce new Highs to come, based on their clients assets allocation to gold, next step is a Buy on MA50 cross over MA200 and ultimate test will be in Gold move over old high just above 1000 USD/oz. It is not any more private business of Shorts Bullion Banks in the Comex, but a bold indication of Inflation coming and deflation scare subsiding back into the corrupt history of modern finance.

We are at an important juncture when TARP2 and bailouts could expose paper Gold scam and short covering in Comex could bring us to the new Highs in a matter of weeks. After that we will expect formation of a giant CUP and Handle consolidation stage with a handle above break out from 1030 level.

More leverage will be found in Gold Miners and Juniors will define one more time risk/reward definition.

On a daily scale we expect very volatile trade before Risk Averse and Ultimate Currency qualities of Gold during Bear market rally.

CDNX Juniors Canadian Venture - Warren Buffet moment. TNR.v, SST.v, CZX.v, SAX.to, SBB.v, RVM.to, CNU.v, FVI.v, OK.v, RMK.v, SNU.v, SGC.v.

Why is it so difficult to believe when you see a bargain? It is so sweet to chase stock price moving up, when your fellow lemmings are scratching each others backs just to get closer to the cliff. Maybe it is because your sickening feelings of collapse from that cliff of over 2400 to below 750 in a three short months are so vivid in your mind? Anyway we are here and we are having our Warren Buffet moment. Many of Juniors without merit and financial support will go bust. Weaker will be acquired, stronger will call their prices on resources to hungry Majors. We spend some time this weekend on SEDAR and file after file in MD&A: "we are reducing our exploration activities, putting properties on care and maintenance and firing personnel". Where from all those resources to be mined will come? When big fish will it other big fish in the next 12 months where all those bailout money will go? Chinese as usual are calling the shots and opening the cheque books in Canadian dollars for Juniors as well. South Americas to follow and Africa must be on Mandarin from now on.

Technically, please, notice squeeze in volatility represented by Bolinger Bands recently getting close together - it means that there is explosive move in the making, buying was persistent last week, all momentum indicators are strong. With all other conditions equal just return to the average means here explosive move up in valuation. Cherry picking will be the name of the game here, conditions we have discussed already many many times, just add one more: discipline and no leverage at this stage.

Gold Miners - do not be sorry about us any more. GDX, AUY, ABX, KGC, NEM, GG, HUI, XAU

With DOW still thinking whether to go Sushi style below 7500 and lose decade or two in oblivion, Bull market in Gold Miners takes High after High and one click away from crossing MA200. US Dollar is the key as usual and general market rally will help to resolve Cup and Handle to the upside. Last week it was very encouraging to see decoupling in Gold miners and general market. New found strength pointing to Gold Miners outperforming Gold which was much stronger then Golden equities. Next wave of excitement will be in Juniors - Majors are on a slimming diet now and investors will push them on a buying spree for resources.

Silver poor people gold is on the Rise again. SLV, SLW, SST.v, OK.v, KTN.v, MGN, RVM.to, SBB.v, FVI.v, CNU.v

Beautiful round bottom formed under the radar screens of many trading desks. Story will be back when silver manage to close above MA200 13.62. Should US Dollar confirm its double Top formation Silver at 15 USD will be not a distant dream any more. Bargains are still there waiting for their strong hands. Victim of its double nature as currency and industrial commodity on the downturn, silver will benefit of Inflation and Reinflation Recovery. Alternative energy with its control equipment, solar panels and smart grid systems will give Silver necessary push to shine again in investment ideas. Market is so small and Supply is reduced being a by-product mostly of basic metals mines with their cut of production and closings, that any meaningful inflow will bring fireworks in the sector again. Most of the strong Juniors are already up 50-100% from December lows.

“Argentina has solved its rollover problem for this year and maybe the next". TNR.v, MAI.to, SAX.to, AUY, CDNX, GDX, DXY

Very good news for all companies involved, default which discounted value of companies working in Argentina could never happen.


Argentine Debt Exchange Helps Cover Financing Needs (Update2)

By Drew Benson and Lester Pimentel
Jan. 29 (Bloomberg) -- Argentina may have lined up enough financing to cover its budget needs through 2010 after creditors agreed to extend maturities on 15.1 billion pesos ($4.3 billion) of debt, Credit Suisse Group AG and Barclays Plc said.
Ninety-seven percent of locally based holders of the so- called guaranteed loans accepted the offer to take new five-year peso bonds, President Cristina Fernandez de Kirchner said yesterday. The exchange will reduce the government’s 2009 debt payments by 5.4 billion pesos, Cabinet Chief Sergio Massa said.
Argentine bonds rallied this month, sending benchmark yields to a three-month low, helped by speculation that the debt swap will enable the South American country to avert its second debt default this decade. Argentina issued the guaranteed loans -- which were initially backed by revenue from a financial transactions tax -- in a 2001 exchange that sought unsuccessfully to stave off the $95 billion default that year.
“Argentina has solved its rollover problem for this year and maybe the next,” said Igor Arsenin, an emerging-market strategist at Credit Suisse in New York. “They will muddle through. There’s still quite a bit of upside.”
The price on the government’s 8.28 percent dollar bonds due in 2033 has climbed to 34.75 cents on the dollar today from 32.25 cents on Dec. 31, according to JPMorgan Chase & Co. The yield dropped to 21.66 percent from 32.25 percent. The bonds had sunk to 22.5 cents, the lowest since they were issued in a 2005 debt restructuring, on Oct. 27 after Fernandez said she’d nationalize the pension funds. They traded at 74 cents at the end of August.
‘Main Danger’
While the pension seizure hurt investor confidence, it also helped Fernandez cobble together financing by giving her access to more funds. The pensions held almost $30 billion in October.
“The main danger was a dent in confidence,” Arsenin said. “In a more narrow sense, it’s been positive. It has ensured flexibility in their short-term financing.”
Arsenin said the 2033 bonds may rally to 40 cents.
Argentina has been shut off from international markets since the 2001 default because some bondholders rejected the government’s restructuring offer and filed lawsuits in New York in a bid to recoup their money.
The government will extend the guaranteed loans swap offer next month to the 3 percent of locals who rejected it as well as to international holders of the securities, Massa said.
Faltering Expansion
Carola Sandy, a New York-based economist with Credit Suisse, said in a report today that she expects participation from foreign investors to be “relatively high” because the guaranteed loans are “very illiquid instruments.”
In all, about $4 billion of the $12 billion outstanding of guaranteed loans was set to mature this year, according to Credit Suisse. Sandy estimates that yesterday’s swap will reduce Argentina’s principal payments by as much as $1.5 billion a year through 2011.
“This is the most important voluntary exchange in the history of Argentina,” Fernandez said at a ceremony last night at her residence outside of Buenos Aires.
Argentina’s financing needs climbed to $18.4 billion this year from $4.7 billion in 2008 as a six-year economic expansion fueled by commodity exports faltered amid the global credit crisis, according to Royal Bank of Scotland calculations. Growth will slow to 2 percent this year from an estimated 6.7 percent in 2008, according to the median forecast in the central bank’s most recent survey of economists. Growth topped 8 percent every year from 2003 to 2007.
The new five-year bonds will pay an interest rate of 15.4 percent in the first year and 2.75 percentage points over the Argentina’s Badlar interbank rate after that, Massa said.
The swap “sends the signal that the authorities will look for market-driven transactions rather than moving straight into unfriendly restructurings,” Barclays analysts Guillermo Mondino and Donato Guarino said in a report yesterday. They recommend investors buy Argentine dollar bonds due in 2013, known as Bonars.
To contact the reporter on this story: Drew Benson in Buenos Aires at Abenson9@bloomberg.net Last Updated: January 29, 2009 12:27 EST

CDNX Canadian Venture Home of Junior Mining near Death Exprerience. TNR.v, CZX.v, SST.v, SBB.v, OK.v, RVM.to, RMK.v, AMM.to, ASM.v, BTT.v, CGP.v

This is why I called it obliteration. We have a Buy on weekly and Index is above MA50 on Daily. A lot of companies will vanish into oblivion strangled by cash calls. The best will prosper and consolidate resources at pennies for the dollars. You know what to look for:

1. Trust in management.

2. Financial backing.

3. Solid properties.

4. Manageable country risk.

5. Near Term catalyst to realise value.

Insiders are Buying actively into Juniors. CDNX, TNR.v, SST.v, CZX.v, OK.v, CNU.v, SBB.v, RVM.to, AMM.to

* Indicators represent companies with buy only transactions divided by companies with sell only transactions of direct ownership equity securities or trust units on the public market by officers and directors (exclusive of officers and directors of subsidiaries) filed over the last 60 days. Transactions filed on Saturday and Sunday are aggregated into Friday's number. Information on this site does not constitute a buy or sell recommendation. For a more comprehensive and recent insider sentiment reading, please visit www.inkresearch.ca.

Insiders are selling for a lot of reasons, but they are buying only in one case: when value of the business which is run by them is apparent and they are expecting best return compare to other opportunities on their own investment.

Gold Miners GDX Very Impressive Come Back. GDX, AUY, SLW.

Gold Miners have bounced off MA50, STO at Buy, RSI is turning Positive. There is still a good chance to resolve Cup and Handle into Upside after last week correction with definitive move in Gold Up and US Dollar down.

Gold Miners GDX, HUI, XAU - Ready to confirm the Bull market. AUY, SLW, SST.v, MGN, SBB.v, RVM.to, OK.v

USD is the key to Gold. Falling US Dollar, rising Gold and Obama rally in the markets is a powerful combination needed to confirm the Bull over MA200.

Silver is waiting for Gold for a leadership. SLW, SLV, DXY, SST.v, OR.v, MGN, SRLM.ob, CNU.v, FVI.v, KTN.v, RVM.to, SBB.v

Silver is a call on Gold move:

1. USD is the guide for Gold.

2. Supply is decreasing as by product of closing base metal production.

3. Demand will increase with Reinflated Recovery.

Gold Miners GDX is ready for a break Up. GDX, ABX, SSRI, SLW, MGN, TNR.v, SST.v, OK.v, BVG.v

Fear VIX down, Market DOW Up, US Dollar Down, Gold Up. Gold Miners double up on rising Gold and Market. Very important move should overtake MA50 again.

Trade is coming back: Dry Bulk Index shows signs of life. FCX, CZX.v, TNR.v, MAI.v

We have here a Buy crossover on PPO from extremely oversold level. We have already discuss the theory that Credit Crunch could overstated the real danger of down turn in Real economy in China and Asia. Trade is based on Credit facilities and if you can not secure Letter of Credit for your trade operations Trade is just do not happen. With all that flood of liquidity making its way into system recovery could be not so far away in commodities. China stimulus package is a Major turning point here as well. Ben and Hank will talk today on the Hill, before every time they have testified markets were selling off. Will they make it different this morning?

China Retail Sales and Domestic Demand is Growing. SSRI, SLW, GDX, AUY

China Retail Sales Rise 22%, Help to Counter Slowdown (Update3)

"Nov. 12 (Bloomberg) -- China's retail sales rose 22 percent, close to the fastest pace in nine years, signaling that domestic demand may help the fourth-biggest economy withstand a looming global recession.
Sales climbed to 1.008 trillion yuan ($148 billion) in October, the statistics bureau said today, after gaining 23.2 percent in September from a year earlier. The increase matched the median estimate of 16 economists surveyed by Bloomberg News.
China's government pledged $586 billion of spending on low-cost housing and infrastructure on Nov. 9, seeking to boost confidence as the economy loses steam. Waning export demand and slumping real-estate sales threaten to undermine growth that has already slowed to the weakest pace in more than five years.
``The big package sent a signal for people to keep shopping,'' said Arthur Kroeber, head of research at Dragonomics Advisory Services Ltd. in Beijing. ``Rising domestic consumption will help to cushion economic growth in the coming months.''
The benchmark CSI 300 Index of shares closed 1.2 percent higher. The yuan rose to 6.8285 against the dollar as of 3:58 p.m. in Shanghai from 6.8305 before the announcement.
Automobile sales climbed 19.6 percent in October from a year earlier, boosting the Chinese ventures of Volkswagen AG and General Motors Corp. Jewelry rose 30.6 percent.
Andrew Wu, the group director in China of luxury goods maker LVMH Moet Hennessy Louis Vuitton SA, said Nov. 11 that he was ``cautiously optimistic'' about the economy after the stimulus announcement. ``China is in a strong position.''
Signs of Weakness
Signs of weakness included slower sales growth across sporting goods, cosmetics, jewelry, furniture, garments and food. Spending on telecommunications equipment and construction and decorating materials fell.
Household electronics rose only 0.8 percent after a 30.3 percent gain in September.
``Stiff headwinds are ahead and we expect a slowdown in retail sales growth in coming months,'' said Merrill Lynch & Co.'s Hong Kong-based economists Ting Lu and T.J. Bond.
Ha Jiming, chief economist at China International Capital Corp. in Beijing, said the retail figures were inconsistent with evidence that growth in household spending had already weakened.
Rural sales helped to underpin today's figure, accelerating to growth of 21.9 percent from 21.8 percent in September. For urban spending, the gain was 22.1 percent, down from 23.9 percent.
Investment, Construction
China's economy expanded 9 percent in the third quarter from a year earlier, the slowest pace since 2003.
Falling demand for real estate is undermining investment and construction. In Shenzhen, a manufacturing and exporting hub on the nation's east coast, house prices declined 12.6 percent last month from a year earlier.
Inflation has halved from a 12-year high of 8.7 percent in February. Exports grew by the least in four months in October and manufacturing contracted by a record. The benchmark CSI 300 Index of shares has dropped 67 percent this year.
Wage gains may sustain spending. Urban disposable incomes climbed 7.5 percent in the first nine months of 2008 from a year earlier, after adjusting for inflation. Rural incomes climbed 11 percent.
PepsiCo Inc., the world's largest snack maker, said this month that it plans to invest $1 billion in China in the next four years to increase production and sales.
Railways, Roads
The stimulus package, running through 2010, includes housing, rural infrastructure, railways, roads, airports, tax cuts for business investment and subsidies for farmers.
The central bank has already lowered interest rates three times in two months and reduced restrictions on lending to stimulate growth. The key one-year lending rate is 6.66 percent.
For the first 10 months, retail sales climbed 22 percent from a year earlier to 8.8 trillion yuan, the statistics bureau said. That was up from 16.8 percent for all of 2007.
In the first half, consumption contributed 50.2 percent of the nation's economic growth, investment 44.9 percent and net exports 4.9 percent. Last year, net exports accounted for 21.5 percent.
The biggest gain in China's retail sales since Bloomberg data began in 1999 was a jump of 23.3 percent in July this year.
To contact the reporter on this story: Nipa Piboontanasawat in Hong Kong at npiboontanas@bloomberg.net "