Perhaps the Ugliest Chart I have Ever Seen!
This is a 2-year chart of ACH, Aluminum Corporation of China.
Disgusting... words fail me. I know some Fools may have green-thumbed this stock, or perhaps even purchased shares, in part based upon my bullish calls for a recovery in this stock earlier in the summer. To those Fools, I am truly sorry. As someone who saw the derivatives meltdown coming a mile away (which created my focus upon gold and silver in the first place), I feel especially lower-case foolish for underestimating both the impact of hedge fund unwindings and a near-term stall in Chinese growth.
I continue to hold ACH shares, with a cost basis in the $40s... :( I'll be darned if I'm going to sell at these levels. These production cuts portend a semi-protracted recovery as a best-case scenario... except that shares could conceivably settle higher if we get an end to the panic and a return to markets recognizing actual valuations.
If I could do it all over again, I would have invested solely in gold bullion, and would be shifting into gold and silver miners right about now. Instead, I'll be climbing out of a voluminous cavern of theoretical losses. I still hold oil, gas, coal, and copper equities, which I'll also be holding long-term even though I see the precious metals leading the way forward in the medium term.