We Have No Edge with RML Like One Year Ago, Large Hedge Funds Have Taken Control

The odds are extremely high that Rusoro Mining (TSXV: RML) trends upward to $2+ per share as we get closer to the resolution of the Citgo auction, which is scheduled to occur on July 15th. However, keep in mind that when we originally suggested RML at $0.05 per share, NIA members probably accounted for close to 100% of all accumulation of RML stock. When we began actively covering RML on a daily basis one year ago after we were the first to discover a secret change in U.S. Treasury policy that would allow for the auction of Citgo, NIA members probably accounted for close to 75% of all accumulation of RML stock.

Today, large multi-billion-dollar hedge funds have taken control of RML and account for 95%+ of all trading. We don't have an "edge" anymore like we did one year ago when we were the first to know about the U.S. Treasury change of policy. Is there a risk of the U.S. Treasury suddenly reversing its policy once again at the very last minute before approval of the final sale of Citgo?

It's a small risk, but a very real risk. The hedge funds who control the company today are following the situation very closely and know 1,000X more than us about what is transpiring on a day-to-day basis. At a time when even poorly managed gold exploration stocks are about to double in value, it may not be worth buying RML for the first time today when it is already up by 2,540% from our suggestion price and we simply have no "edge" regarding RML in today's market. The hedge funds who control RML today specialize in these judgment collection special situations. We don't specialize in these judgment collection special situations.

Although we believe there is a 90% chance that RML trends upwards to $2+ per share between now and July 15th, is it really worth the 10% chance of a last-minute swerve that creates an unexpected 50% decline? You can throw a dart at gold exploration stocks and make 100% returns in the upcoming months.

Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. This message is meant for informational and educational purposes only and does not provide investment advice.