Wednesday, October 27, 2010

OnlyDoubles Profit Spotlight for October 27th, 2010

Hello and welcome back to CRI's OnlyDoubles Profit Spotlight.

Here you will find past OnlyDoubles trades that have been recently closed. This blog's purpose is to update the public on recently completed OnlyDoubles trades as a demonstration of the model and a teaser to get you to subscribe. If you would like to learn more or subscribe (for real time access to OnlyDoubles NewTrades) please visit our Subscription page.

When it rains, it pours

Uranium has come back into the spotlight of late and one of our little gems has moved rather dramatically. Subscribers will recall that just a month ago this stock got CRI's attention. It was purchased at .23 (based on the tight double bottom registered) as the chart shows and half of the stock was sold today at more than double our purchase price. Since the company is still trading at a huge discount to its book value, I am more than happy to sit on our remaining 'free shares' and see where the wind will blow this little one. For those readers who are not subscribers, here is a little background on the company and why I thought it was such a great buy a month ago.



PIT-V (Pitchblack Resources - Cdn. Venture Exchange) is a Uranium exploration company that used to be called Cash Minerals. During the crisis of just a few years ago, Cash ran out of money and unfortunately the stock collapsed. Over the past summer the company was reorganized, the shares were rolled back (only 7.5 million outstanding as of writing!) and its old debts resolved. As well, the company graciously offered lots of NEW stock to directors at very low levels. From a valuation perspective, at .23 the stock was trading at a ridiculous .16 times book value per share. Put all these fundamentals together and the story was very compeling. Finally, the technical picture improved dramatically in late September as a double bottom was registered in price as well as Volume studies (here shows OBV) and momentum (here is the 7 period RSI and a slightly modified MACD ROC histogram).

FYI these are setting developed by CRI over the past 20 years and are very helpful in determining if a trend is for real or not! Feel free to try and apply them to your trading...



...speaking of trading....do you know which market CRI's OnlyDoubles is trying to take a position in right now? Seems to me it's worth $100/year subscription to find out....

That's all for this issue of CRI's OnlyDoubles,
Brian Beamish FCSI
the_rational_investor@yahoo.com
http://www.the-rational-investor.com

Wednesday, October 20, 2010

OnlyDoubles Profit Spotlight for October 20th, 2010

Hello and welcome back to CRI's OnlyDoubles Profit Spotlight.

Here you will find past OnlyDoubles trades that have been recently closed. This blog's purpose is to update the public on recently completed OnlyDoubles trades as a demonstration of the model and a teaser to get you to subscribe. If you would like to learn more or subscribe (for real time access to OnlyDoubles NewTrades) please visit our Subscription page.

CRI strikes again!

In a hot market, many of the junior stocks that have sat dormant for months on end seem to magically come alive. This week we review a trade that took very little time to develop but that has been on our radar screens for quite some time.

Regardless, TIX-V represents our third double (in as many months) in the Junior cap arena and our fifth since starting this blog in July. That is pretty damn amazing if you ask me...

so here then is the profit write up on TIX...



TIX came to CRI's attention in earnest this summer when it started to meet CRI's venture Cap Investment Model criteria (Please refer to CRI's Investing in Companies seminar material for more on this model and how it works).

Specifically, TIX has a very low share count (23 million shares with about 10 million tied up in escrow). As well, there was substantial insider buying of the stock (through options to director, link) through the summer. And finally, at .05/share, the company was trading at a HUGE discount to its tangible book value per share.

In essence, the company was trading at pennies on the dollar and the insiders were lining their proverbial pockets.....and people are surprised that the rich get richer while the poor get poorer.

Technically, the stock registered a very well defined double bottom in price through the end of the summer. It broke out the week of Sept. 20th at .04 and we were fortunate to buy at .045.....

As you can see from the price chart, a simple 50% retracement of the spring/summer 2010 bear slide ought to bring prices back to .11. Since a move to .09 would represent a double, CRI put 1/2 of the position up for sale at .095 and was filled two trading days ago. With the stock now at .10, we can comfortably suggest that CRI was correct in the call....

Going forward, the fundamentals are still very positive for the company. While the underlying metals market can remain strong, I see no reason to touch our remaining 'free' shares. In fact, I plan to get ready to sell another half of the position at .19....

...speaking of trades....do you know which market CRI's OnlyDoubles is trying to take a position in right now? Seems to me it's worth $100/year subscription to find out....
OnlyDoubles NewTrades)

That's all for this issue of CRI's OnlyDoubles,
Brian Beamish FCSI
the_rational_investor@yahoo.com
http://www.the-rational-investor.com

Sunday, October 10, 2010

OnlyDoubles Profit Spotlight for October 08th, 2010

Hello and welcome back to CRI's OnlyDoubles Profit Spotlight.

Here you will find past OnlyDoubles trades that have been recently closed. This blog's purpose is to update the public on recently completed OnlyDoubles trades as a demonstration of the model and a teaser to get you to subscribe. If you would like to learn more or subscribe (for real time access to new OnlyDoubles trade ideas) please visit our Subscription page.

'Make hey when the sun is shining - boy'

Seems like an appropriate cliche for the current market. Currently the S&P TSX 60 and TSX Venture exchange are breaking to new intra-year highs and are pointing much higher. In these types of environments once can see little stocks double and more in very short periods of time. With this in mind, it should be of no surprise that we at OnlyDoubles have yet another little stock that has given us a double in the past few trading sessions and fully expect there to be a few more before this rally is done!



AndeanGold (AAU-V) is a typical little stock that in a 'hot' environment can move dramatically. The stock first came to CRI's attention because some of CRI's Venture Cap Investment Model's criteria were being met. Specifically, this stock was subject to a significant 'roll-back' or consolidation in its shares over the summer of 2010. Shortly after, the company granted options to directors and did a financing to raise some working capital. Being in the precious metals industry and working on their property has put a bid in the stock to say the least...

The stock has doubled and CRI has sold half the position. Because there are so few shares outstanding, the share price is still a fraction of its previous highs, and the company is still trading at a huge discount to its book value, I'm more than happy to sit on my remaining position with the goal of selling half of that at yet another double. With this in mind, I have open orders working to sell at or near $.65.

...speaking of trades....do you know which market CRI's OnlyDoubles is trying to take a position in right now? Seems to me it's worth $100/year subscription to find out....


That's all for this issue of CRI's OnlyDoubles,
Brian Beamish FCSI
the_rational_investor@yahoo.com
http://www.the-rational-investor.com