On Apex Silver's Huge Day

If there were ever a perfect example of how to buy low and sell high, this is it. Take a look at Apex Silver Mines (SIL). It is topping Wall Street’s list of biggest movers today with a huge surge in share price of nearly 88%. And to think, just a week ago, share price dropped to record lows.

With no official news from the company or its competitors, shareholders and speculators are eating up any rumor they can get their hands on. One possible source of the huge upswing is word from the Bolivian government about possible legislation that gives shareholders of mining companies increased ownership rights.

Something bigger and better

While my Spanish translating skills are a bit rusty, the news does not look nearly big enough to create this kind of intra-day pop. More likely, Apex, along with its desperate need for cash, is about to be bought at a hefty premium.

No matter what the underlying fundamental change is, all that really matters is those folks that were smart enough to buy when share price was at record lows are now selling for huge gains.

It is another great lesson in what it takes to be a successful investor: buy low and sell high. Right now, there are fantastic values all over Wall Street. Take advantage of them.

Comments

[GKM:]

Been there. Done that. 167% One of my better trades I must say.

2008 Sep 23 05:45 PM

[bornfreey:]

How about KRY?

2008 Sep 24 02:59 AM

[Timothy Sykes:]

This is the single worst article I've ever read. Impressive, really. Thank you for exemplifying the kind of ignorance thats EVERYWHERE down here in the gutter of the stock market. Next time do some research, maybe go to my site (after all, it's this one kind of chart pattern that has made me a millionaire) before you waste people's time

2008 Sep 24 07:41 AM

[Jeepee:]

What a load of crap... right on the spot there Tim ;-)

2008 Sep 24 08:35 AM

[Blue Scorpion:]

This is like the blind leading the blind. Andrew gets it right, but really doesn't know why. Tim, you can't be as big of a fool as you project. Do you know ANYTHING about SIL other than it's stock went up a lot in 3 days? Do you know they are shopping the company out of necessity, that the mine is the largest silver mine in the world with one of the lowest cash costs per oz. due to robust credits? An idiot and his money are soon parted.

2008 Sep 24 10:07 AM

[now_screwed:]

Unreal Andrew! You are a complete jerk! And uninformed! Get all your material correct before you tank a stock for the day. Scorpion's right...this is one of the best Silver mines there is. You're a puny reporter, Andy!

2008 Sep 24 03:54 PM

[legale521:]

You're absolutely right, guys. This is just another example of an unintelligent writer with nothing original or creative to say. SIL is probably one of the best investments around, and will most likely reach 25 within the next few weeks.

2008 Sep 24 04:52 PM