With Christmas and the holiday season between dates, it’s easy to forget that it’s been a month since Argonaut Gold (AR.to) dropped its bad news about Magino on the world and as witnessed in this post on the day, plus this more detailed post to follow-up a couple of days later, your humble scribe was long the stock when the excrement hit the ventilator. As subscribers of The IKN Weekly know, that weekend and after much deliberation I decided to sell the position and realize the loss. With that in mind and four weeks since the pain, here’s an AR.to price chart:
People, this is the junior mining sector. It’s not some Utopia where all your trades win and, like it or not, every so often you need to take a hit to your back pocket. Stare in the mirror, feel stupid a while, shake your fist at the world if you so desire but, once you’ve got your ego back under control, shrug your shoulders and push the big red sell button. Once you do, you get to deploy the capital in other places with better prospects. So don’t be afraid of being a loser, it does you good (and in more ways than one).
Taking losses is like emptying your bowels. It’s a very enlightening experience.
It was a fairly easy call and that you were pounding the table on Amerigo at the same time certainly helped.
Now I am facing a tougher call. Should I continue holding the two cheap development plays or reduce the sizing and deploy the proceeds into Canadian oil plays? Selling a wreck is easy, selling quality companies that are doing most things the right way but get no love from the market is tougher.
The mote in the other’s eye and the log in one’s own. I’d consider your call easy.
[…] been over six months, but the hit taken by my back pocket in Argonaut Gold (AR.to) is still fresh in the memory, testament to the trauma involved. It’s […]