NEN

Some of my recent buys have been losses. But like most of my purchases, it is not for short term trading. With price of oil and gold near their yearly highs, these stocks will eventually rebound. That is optimism!

One stock that has done well from recent top-up is NEN. Mind you, it was a loss for a long time because I bought it at a mini-peak at 48c in May 2008 when it was SAE. How did I come to make a 55% profit now?

It is through good announcements that the market disregarded but which I paid attention to. It kept making wonderful noises but hardly anyone wants to hear anymore because it had plunged earlier on. Since late 2008, the share price had stagnated. So I have topped up 3 times, last one in Apr 2011. The company has uncovered O&G in the USA and in Vietnam. Nothing very fluidic at the moment, ie, there is no JORC-compliant resource estimate yet but there is something and it could be worth a lot more.

Besides idiotic sellers, I also love blind or deaf investors who cannot read or hear reports properly! But you always need idiotic sellers so that you can buy with less competition. It is also great that few people, if any, read my postings and even fewer actually buy what I write about so the price does not jump unlike those stocks mentioned in The Speculator in Eureka, ASX Guru or Diggers & Drillers. The latter has the greatest impact on share prices immediately after the tips are released. I can say that I have beat him to a few of those stocks :-)

I have my failures too but often I keep them if I believe in their stories. Just look at NEN...