Re: BKP - Baraka Petroleum
Thanks BESBS for your thoughts. How did you end up with PEP11? I sold enough just before TH to be free carried, but it was a close run thing. Still keen on the project, was fortunate to get in early. Expect your strategy pretty much relies on getting in early, 0.003 for BKP is great.
How many stocks do you tend to hold at any given time? I hold about 20 small/mid cap miners, and heavily weighted in the top two (both in Wyoming) represent about 30%, then down the line. l plan to hold my top five long term (50%). Tend to take profits as SPs increase, pick up new ones and sell off non-perfomers quite regularly. Are you full time on this?
Hope you don't mind Q's, just interested in your strategy as while delighted with my outcomes post GFC, am interested in BESBS concept, plan to stop working later this year.
Hi Donga,
No problems with questions...happy to answer. I try to be as honest as possible, hence I post as soon as I buy and the SP at the time so that it is transparent.
1.
Re. MMR and PEP11. I was very happy with this, a classic BESBS (Buy Early Sell Before Spud/Drill) play.
All of this can be confirmed on the MMR thread. My initial play resulted in a 565% profit (bought in at 10c, sold at 68c). I then played the recent game with profits from the first result, in at 38c and out at 62c. This gave an additional 60% gain on the original 550% profit. Overall, a pleasing result.
2. Yes, strategy does rely on getting in early for the BIG plays. However, you can play the little 10-25% gains but these are purely for 1-4 week holds. Provided that you feel that your late entry point has a platform under the SP, then I will play it. This is largely how I see BKP now, in the light of the SPP. A new platform will be around 1.7c, so if you see a SP close to spud/drill between 2.4c- 3c, then a quick gain can be made. If you don't see this SP close to spud/drill, then one would avoid an entry here. It is all about preserving capital, yet going for large gains while trying to minimising risk in the big risk end of the market.
3. I don't tend to hold stocks as long-term holds to see them develop into established companies. I do try to keep to the BESBS model although occasionally a drill is delayed and I'm happy to invest and wait at a low SP entry point (although $$$ are tied up).
Although almost always oilers, I have rarely played a mining stock and OBJ 12-18 months ago. Generally I stick to what I feel confident in - oilers.
4. Sometimes I have 6-8 oilers, generally around 4 stocks. It all depends on how many companies fit the model of BESBS plays at the time. If there are no stocks, then I've learned to wait. In a bit of time, they do present themselves. BKP was an obvious BESBS play once I knew that the Canadians were sniffing around.
5. No, not in this game full-time. I teach Business Management but with the BESBS model, you generally don't have to be glued to the computer as it isn't day trading. It also allows you the freedom to have a great lifestyle but also research your stocks without the pressure of daily trading (if this suits you).
Anyway, hope that this helps.
All the best with your investments.
BESBS