What’s Next- published after the close, Tuesday. December 5, 2006.

by JDH on December 5, 2006

Well, it’s been quite a week, and it’s only Tuesday. Pinetree Capital Corp has been on quite a run since the Monday morning crash. The OSC it announced it was investigating the Chairman and the stock tanked on Monday morning, and then The Dines Letter said it was a bargain, so the buying started, and the shares traded up almost 5% on Monday, and another 3.35% on Tuesday. In the Dines Letter released today Dines devotes a full page to the virtues of Pinetree (I’m not going to tell you exactly what he said; you can buy your own copy to find out). It appears to me that the reason for the Interim Warning Bulletin from Dines on Monday (the first one in over a month) was based partly on the fact that he had already written today’s newsletter, and probably didn’t want to look sillly issuing a glowing recommendation on a stock that had just tanked.

Regardless, Pinetree is still a very solid company, and will probably have some follow through upside for the next day or two as Dines subscribers keep buying. (The market cap is only 47 million shares, so it’s easy for Dines’ subscriber base to keep the stock high). The chart still looks good, and the MACD has dropped to reasonable levels, so I see no reason to take profits just yet, although if we have a steep rise over the next day or two some profit taking may be warranted.

Equally surprising is PXP.TO – Pitchstone Exploration Limited, which closed at a new high today of $2.45. You can read my previous posts on this one to see the thought process; in hindsight I’m glad I held on.

Even more amazing is Crosshair Exploration & Mining Corp., which has been on a huge run lately, and was up 8% to a new high of $4.20 today. I have speculated that Dines’ followers were expecting him to recommend this one in today’s newsletter; he didn’t, so we may have a pullback tomorrow. If so, it is probably time to take our profits and sell.

I bought more Mega Uranium today, since it fell on the Pinetree pullback yesterday. It recovered today, and still looks like a bargain.

Finally, Mr. Dines mentioned two new stocks, Mawson (MAW.V) and Santoy (SAN.V), that are not yet on his recommended list, yet. As will Crosshair, it’s probably time to throw some money at them, in case they start to run, which I suspect they will do on Wednesday. More information as I research it.  (Feel free to login and leave your comments below; registration is free, and you can create a fake name for yourself if you don’t want your comments attributed to you).

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