Yes, you're right about the presentation and the short selling. A lot of people are using it as a trading stock.
SDL - Sundance Resources
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Yes, you're right about the presentation and the short selling. A lot of people are using it as a trading stock.
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According to the ASX, 10% of all sales yesterday were "short". I'd love to see today's stats.
Forgot to say that SDL website has an upgraded value by an anylist company of about
77c and I think thats as it stands now, I could be wrong but check it out.
Yes it says 77c in Nov 10. It seems to have a resistance point at 48c today and if does not break that there could be an upside next week which confirms buy low sell high, sounds easy doesn't it?
It is behaving very irratically but most mining and energy did today on news of China having to reign in its economy, this seems to have pannicked the market, I dont know why because China is set to ramp up its ore importing after the China luna new year in Febuary and commodity prices are expected to rise throughout the second half of the year. If you watch the market depth on this stock the other day there was nearly 3 times as many buyers as sellers and yet the sp went down? Nothing has changed for this stock the company is still on track and infact ahead of schedule. Thats the market though but Im not selling out cheap on this one their is too much interest in this stock from some big movers.Yes it says 77c in Nov 10. It seems to have a resistance point at 48c today and if does not break that there could be an upside next week which confirms buy low sell high, sounds easy doesn't it?
Have faith but make your own decisions bye for now
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I agree with recent posts and just a few of my on ideas to share.
I bought in around .13 cents with a strong belief in the SDL story AND, I still like the story. However, the infrastructure demands (rail, port) are significant and will inevitably require a spp.
Not only will it dilute share value but also the target that you refer to. Indeed I believe the writer of that review alluded to that also.
The sp fall from .665 to .485 has been harsh. In this regard it is hard to see it as profit taking. I smell a SPP in the air!
My approach, and I note there is a thread on long term holding vs trading is to simply do both! I will hold my original parcel as it is in my SMSF so no interest loan to be concerned with (share return vs interest being paid for holding). I will also be buying more for the purpose of trading.
I agree that there is good support around the current price level, and the MDA I have applied reflecting support levels is almost approached.
Because this is a great stock I am happy to short term trade as well as hold my original parcel. It is this type of stock that one can confidently do both, and make both short run and long run returns.
Others I am doing this same approach succesfully on are GXY, ALD, ADU and BHP.
I also have other stocks just for the purpose of trading where I have no intent on holding. But these good story stocks with upside, I believe provide fuller benefits from both having a hold parcel, and a trading parcel.
Cheers to you all
I bought in around .13 cents with a strong belief in the SDL story AND, I still like the story. However, the infrastructure demands (rail, port) are significant and will inevitably require a spp.
Not only will it dilute share value but also the target that you refer to. Indeed I believe the writer of that review alluded to that also.
The sp fall from .665 to .485 has been harsh. In this regard it is hard to see it as profit taking. I smell a SPP in the air!
My approach, and I note there is a thread on long term holding vs trading is to simply do both! I will hold my original parcel as it is in my SMSF so no interest loan to be concerned with (share return vs interest being paid for holding). I will also be buying more for the purpose of trading.
I agree that there is good support around the current price level, and the MDA I have applied reflecting support levels is almost approached.
Because this is a great stock I am happy to short term trade as well as hold my original parcel. It is this type of stock that one can confidently do both, and make both short run and long run returns.
Others I am doing this same approach succesfully on are GXY, ALD, ADU and BHP.
I also have other stocks just for the purpose of trading where I have no intent on holding. But these good story stocks with upside, I believe provide fuller benefits from both having a hold parcel, and a trading parcel.
Cheers to you all
I see suport at $0.40 and GOOD support at $0.30
Happy to see price doing something else, but re-entry before $0.58 carries higher risk.
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Sellers are well and truly in control of SDL ATM, it's failed at critical support at 0.51, I too see this stock heading much lower. Buyers are just getting run over ATM. It would need to find a level of consolidation, at what price? I don't know, I'll just wait to see what happens. Keep your eyes open for a 'Suckers Rally'.
Definitely on the way down - and stupidly I bought back in high 50s after riding from mid 20s up to low 60s Should have seen it coming really, timeline (as re-released the other day) clearly laid the ground for a delayed news release until end 1st qtr so realistically the rally up to 60s was not sustainable without news and hence was always going to retrace back to decent support.
Chartwise there looks to be some support mid 40s from week prior to Christmas, with a couple of down days that hit 43.5 and held, but agree with happy that 40 then 30 are key levels to watch. I'm hoping to see some buying support around the mid 40s (obviously!) so will be watching closely this week
Should have seen it coming really, timeline (as re-released the other day) clearly laid the ground for a delayed news release until end 1st qtr so realistically the rally up to 60s was not sustainable without news and hence was always going to retrace back to decent support.Chartwise there looks to be some support mid 40s from week prior to Christmas, with a couple of down days that hit 43.5 and held, but agree with happy that 40 then 30 are key levels to watch. I'm hoping to see some buying support around the mid 40s (obviously!) so will be watching closely this week
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Chart below looks pretty bullish. It's actually the invert of the SDL chart. SDL looking good to short sell for the moment.
By the end of this current Quarter their should be news about the DFS and the Government final approvals, and we will be a lot closer to actual production. This stock will improve when agreements and financing consolidate, it will be a great stock in the future so I too am hanging onto my original parcel and Im sure unless something very unforseen happens this stock will increase significantly by the end of the second Q.
Cheers hang in there
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We were going to hear all about that at the end of the last qtr too. Oh and the qtr before that. I fully understand it takes time, but the bait has been there for a long time...where are the bites. MOU's for construction companies are easy, ofcourse they're willing to get on board. Getting the finance (I know I'm stating the obvious) is the hrad part....and there's nothing there yet.
I've been invested in SDL since 2007/8, i still have faith that it will all happen, but I sold alot of my holding last week and decided to persue other stocks. Every time I have doubted SDL...the next week they have brought out an emcouraging announcement. For me though, I have invested enough time and money, and missed enough on other stocks. I think SDL has matured enough to be a stock that you can just put some money into and not loose. Weather they get bought out, get finance or whatever...one things for sure, their resources & the project is worth alot more than their market capital.
I feel your frustration but ive only been in it for a couple of months meybee a likely outcome is a takeover by a Chinese coy see this article below from Bloombergs the article is too long so I didnt include everything but youll get the idea. Cheers
An Iron Ore Rush Above the Arctic Circle
With steel demand growing and iron ore fields in Brazil and Australia locked up by mining's Big Three, Canada is the next resource battleground By Natalie Doss
linkedin connections Baffin Island in Canada's frigid Nunavut territory is about as far off the grid as most people can imagine. Subzero temperatures, ice-blocked sea lanes, and a lack of conventional infrastructure make this spot more than 300 miles above the Arctic Circle among the planet's most inhospitable places to do business. That hasn't stopped international mining companies from fighting over the remote turf. The attraction: huge iron ore deposits underneath a barren landscape””a reminder of just how far global mining companies will go to secure new reserves.
After oil, almost nothing is as central to the operation of a modern economy as steel. Everything from appliances to automobiles to skyscrapers depend on the stuff. That has made iron ore, steel's main component, a hot commodity amid the current global resources boom, especially for fast-growing emerging economies.
The price of iron ore has more than doubled in the past two years amid surging Chinese steel production. Most ore exports come from Brazil and Australia, where the world's three biggest mining companies, Brazil's Vale (VALE) and Australia's Rio Tinto Group (RTP) and BHP Billiton (BHP), dominate. That's left other mining companies, steel producers, and big users such as China to fight over the few remaining big iron fields, including desolate Baffin Island.
Code:
[CODE][CODE][CODE][CODE][CODE]Most of the stocks from the last run have been sold now so it might stabalise for a while this stock has been the subject of a lot of down selling and profit taking recently
Well well, NOW we have something interesting!! News today, although not officially confirmed by SDL yet, that POSCO are in on the deal.
http://joongangdaily.joins.com/article/view.asp?aid=2931673
Volume is high this morning and looks like this may spark the run back into the 50s again.
The way the articles are written, it seems like a pretty safe bet that an agreement has been made, although you can't always trust the press I guess
If it has, and it is confirmed by SDL shortly, I'll be happy
http://joongangdaily.joins.com/article/view.asp?aid=2931673
Volume is high this morning and looks like this may spark the run back into the 50s again.
The way the articles are written, it seems like a pretty safe bet that an agreement has been made, although you can't always trust the press I guess
If it has, and it is confirmed by SDL shortly, I'll be happy
Well done on the research. I think its inevetible that a larger coy is going to get involved in this area and I can only hope that they see SDL's idea as the best option. The SP is surging again and all the buyers at around 43c will probably sell out from about 49c through to 52c and then try and short sell it back down as has been happening. But the more positive news the better for this stock.Well well, NOW we have something interesting!! News today, although not officially confirmed by SDL yet, that POSCO are in on the deal.
http://joongangdaily.joins.com/article/view.asp?aid=2931673
Volume is high this morning and looks like this may spark the run back into the 50s again.
The way the articles are written, it seems like a pretty safe bet that an agreement has been made, although you can't always trust the press I guess
If it has, and it is confirmed by SDL shortly, I'll be happy
CHEERS
Just found this article on SDL's website this is only part of it but its the latest on their website
Sundance Resources Ltd.
It’s all about the infrastructure
BUY
SDL - ASX A$0.56
Target A$0.75
WHAT'S CHANGED New Old Rating Buy NA
Target A$0.75 NA
NAV/share (A$) 0.74 NA
SHARE DATA
Shares - m (basic/fully diluted) 2,710.0m/2,506.5m
52-week high/low A$0.67/A$0.11
Free float 83%
3M average daily volume 45.6m
3M average daily value US$18.0m
Market capitalisation US$1,163m
Enterprise value US$1,110m
Dividend yield 0.0%
Total projected return 34%
SUMMARY METRICS
Key assets Mbarga, Cameroon
Nabeba, Congo
FY ending June 2010.0 2011E 2012E
GMP lump ore (US ¢/LTU) 139 229 282
● Sundance Resources is planning to develop the Mbalam
haematite-itabirite project in Cameroon and Republic of Congo.
The project is made up of the Mbarga deposit in Cameroon which
boasts a 2.3Bt itabirite resource at 38% iron and a 215Mt DSO
resource at 60% iron, and the Nabeba deposit in ROC where the
company has defined a 200Mt DSO resource at 63% iron.
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If the rumours about POSCOE come good, you might be waiting for a long time.
Wish you luck
Wish you luck
Check SDL's website they say there is no deal with anybody yet, but they do say that POSCO was incountry recently and they held meetings with them and several others. So it seems that the board is actually progressing the deals which is good confirmation that they exist.
It is encouaging to see this resource play being publicised in other countries.
Check out this news aryticle from SKY News
CHEERS
Sundance shares up on POSCO talks
Updated: 19:50, Monday January 31, 2011
Shares in Sundance Resources Ltd rose after the iron ore explorer confirmed reports it had held preliminary talks with Korean steelmaker POSCO about joint venturing in its Mbalam project in West Africa.
Sundance shares closed up four cents, or 8.79 per cent, at 49.5 cents. This was after almost 95 million shares in the company worth $45.5 million changed hands, making it the most traded stock by volume on Monday.
'As previously advised to the market, Sundance has held numerous discussions with a wide variety of international steel mills and potential strategic partners to pursue the Mbalam iron ore project in Cameroon and Congo,' Sundance said in a statement.
'Those discussions have involved, amongst others, POSCO however as yet no formal agreements have been entered into with any of the various parties currently undertaking due diligence on the Mbalam iron ore project.'
Sundance said it recently met senior POSCO personnel as part of that company's visit to Cameroon, Democratic Republic of Congo, Zimbabwe and Ethiopia, which was sponsored by the Korean Ambassador for Energy and Resources.
Broker GMP Securities last week said there was considerable potential for Sundance to find a strategic partner to invest in infrastructure needed for the multi-billion-dollar project.
Sundance last year signed memorandums of understanding with two Chinese companies to conduct feasibility studies on port and rail infrastructure.
China's Citic Securities is helping Sundance to secure debt and equity funding.
GMP Securities has put a target price on Sundance shares of 75 cents.
Sorry if Im manopolising this thread but I thought this SKY NEWS would be of interest
Heres some interesting news
Posco gets O.K. for $12B India plant
February 01, 2011
Posco, the world’s third-largest steelmaker, received approval for its $12 billion factory complex in India, paving the way for the nation’s single-biggest foreign investment six years after it was proposed.
The Korean company’s 12 million metric ton mill, to be built in three phases in the eastern state of Orissa, was cleared with 28 additional conditions including limits on the use of water, the Environment Ministry said on its Web site. Approvals were also given to divert 1,253 hectares of forest land for the project and a captive port.
Posco gets O.K. for $12B India plant
February 01, 2011
Posco, the world’s third-largest steelmaker, received approval for its $12 billion factory complex in India, paving the way for the nation’s single-biggest foreign investment six years after it was proposed.
The Korean company’s 12 million metric ton mill, to be built in three phases in the eastern state of Orissa, was cleared with 28 additional conditions including limits on the use of water, the Environment Ministry said on its Web site. Approvals were also given to divert 1,253 hectares of forest land for the project and a captive port.
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