Replies to post #219 on Seabridge Gold Inc. (SA)

[Belek]

current comments on SeaBridge Gold- SA from self-Made Millionaire

Probably the most interesting position in our Tracking Portfolio this month has been
our long-time favorite, Seabridge Gold (SA). As we mentioned above, gold prices are
currently trading just above their six-year low. Seabridge Gold, while it has experienced
a pullback with falling gold prices, has actually held up quite well.
The results from this year’s drilling program have been coming out in bits and pieces
and they have far exceeded expectations. The (50) CALL OPTIONS we purchased at the
end of July are currently showing an unrealized gain of 338.90% in just under four
months.
You will recall that we made an exception to our long-standing admonition against
BUYING options in this case because we so strongly believed there was no way the stock
would not reflect a more realistic valuation over the 18-month life of the option contract.
This was a very rare opportunity and there are times when one must simply act because
a reward/risk ratio is too good to ignore. We currently rate this position as a HOLD. If
you were brave enough to join us in this position, please continue to hold these options
for more gains to come.
If you did not buy these options back in August, please do not buy them at this time.
When we opened this position, I believed we had the real chance to make 10 to 20 times
However, with these options currently trading at $3.99/share the potential return no
longer justifies the risk of buying options. If you missed out on this one, please
do not try to play catchup now.
If you are in this position with us, hold on for what could end up being one
of the great trades of your life!However, if we sell these options, we
STONGLY SUGGEST YOU DO THE SAME IMMEDIATELY.
We continue to rate Seabridge Gold as a “STRONG BUY” even though it is up almost
100% in about 3 months!We still retain our buy up to price of $10.00/share and
maintain our long-term price target of $45-$84/share. We believe there is still a LOT of
money to be made in this stock for those who have the patience to wait for it.