Tuesday 25 January 2011

January Trading Update

First trading update on the year and there is good news and bad news. On the plus side a good start to the year with the portfolio up over 10% in the first month; the bad news is that it had been as high as 30% but a big fall in EMED (whihc also accounts for the growth) has seen some not so nice days in the markets this last few days.

However, much of the portfolio is set for the year so I don't expect to do quite so many trades this year. At the end of 2010 I consolidated into fewer long term plays.
Over the next month I hope that Xcite Energy will release its report into its recent find. This confirmation should push the price up to over £4 again. However, I am beginning to think an offer for the company is quite likely this year and so 100% gains are still possible from here, despite the steep rise from 70p since September last year. Also I expect EMED to move forward in getting some more key steps for re-opening its mine approved and these will support the shareprice.
Ascent resources, a relatively small holding, is due to get news on its drill in Eastern Europe, this will do the usual of doubling the price of halving it. If it doubles I may sell down as still on my watch list are CAZA, AEY and CGL.


Budgie said...

All my shares are melting! (except for AFE). You were right about the fall - under 5000 I think you said?

CityUnslicker said...

Not sure this is the fall - I think this is just a risk off correction post the spike above 6000. Many FTSE defensives are doing well and the main market is not down too much.

The fall will come when the Euro position unwinds. I expect this correction to end this week and the FTSE to reach new highs.