Mining Stocks: rio, blt, aal, lmi

[Riz]

I think we could do with an ongoing thread on mining stocks here...I day/swing trade RIO regularly and I know some others in the chatroom also often trade it...thought there could be members here too interested in RIO or mining stocks in general, if so keep contributing in here please

First fresh news I got is from advfn news bulletin:

"Strong gold prices lifted mining stocks, with the spot gold price breaking through the key psychological level of 300 usd per ounce.

Morgan Stanley's positive view on the sector underpinned the bullish sentiment.

Anglo American soared 20 pence to 1,170, Rio Tinto put on 23 pence to 1,388 while BHP Billiton was 5-3/4 pence higher at 400-1/4. On the second line, Lonmin added 25 pence to 1,190, while Johnson Matthey gained 51 pence to 1,046. "

RIO normally uses 00 levels as the bottom and top of its trading range, thus providing lots of volatility for day/swing trading... recently failing to break 1500 and use it as support, it retraced all the way back to 1400 which also didnt hold and caused furher retracement...for the last couple days it's tried to bounce back to 1400 and hold it as support on positive news and oversold conditions...

Both rsi and stochastics reversing up from o/s levels suggesting possible further upmoves...

Riz

 

[Flossey]

Thanks Riz, very interesting and informative. I'm not doing to bad now .

 

[Riz]

Sunday-Times:

"The mining group has successfully managed the ethical controversy surrounding its business and continues to deliver consistent growth. The shares stand at £13.88. "

Riz

 

[Nelz]

Hi All,

Just wondering if this thread is still active.

CHeers

Nelz

 

[adam123456]

No...

 

[adamhargreaves]

Lets see if we can jump start this thread then,

Antofagasta.

My strategy generated a long signal at the close of 16/11/09 so i was planning to go long the next day. (I usually enter on second confirmed break)

17/11/09
order book showing market makers were at the time tyring to push prices lower with bursts of automated trades in fixed amounts 1,000 3,500. used level to to ride on the back of this temporary short selling. Eventually entered long on 17/11/09 @ 922.42 ( i was aiming for anything below previous close of 933.50)

strong increasing momentum, good volume & break of range supporting long entry. Volatility stop wide enough to avoid intrday noise. A sign of caution when that day it failed to break the previous high but my system still had me long so no exit(i dont try to pick tops and bottoms). Stops were not revised and remained in place.

18/11/09
an early morning UT trade pushed prices lower, but eventually resumed its updward direction. Closed higher continuing the upward trend. However it was getting closer to a channel resistance line. Might see some automated selling of starting soon

19/11/09 (today)
overnight trouble in asian markets and some systematic early morning selling pushed prices much lower then i anticipated. However i still dont have an exit signal and my stops are still intact. so as of 19/11/09 14.32 im still long.

 

[tpearl]

Adam, a quick question. Do you do coverage on all FTSE 100 mining names or just a few of the higher beta names?

 

[adamhargreaves]

Adam, a quick question. Do you do coverage on all FTSE 100 mining names or just a few of the higher beta names?

Hi Pearl,

Sorry about the late reply, the follow the mining sector as whole and watch the equities listed below in more detail. Spread betting platforms dont cover all the minig sector participants so i trade the instruments that are most liquid, i trade on break outs holding positions from 1day - weeks & scalping during intraday volatility.

Antofagasta
Eurasian
Fresnillo
Kirkland Lake Gold
Aquarius Platinum Ltd