SaxoTV

#SaxoStrats - Why we're taking a big risk with Lonmin

621 views
November 09, 2015 china, china economy, china growth, chinese economy, comm, commodites, commodities, commodities gold, commodities markets, commodities oil, commodities prices, commodities supply, commodities trading, commodities”, commoditiies, commoditiy, commodity, commodity corner, commodity currencies, commodity currency, commodity gold, commodity index, commodity investing, commodity investments, commodity market, commodity markets, commodity oil, commodity outlook, commodity prices, commodity prices industrial output, commodity sector, commodity strategy, commodity trade, commodity trading, commoditymarket, common currency, companies, company, competition, investing, london metal exchange, lonmin, m, metal, metal industrial, metal prices, metales, metales básicos, metales industriales, metales preciosos, metals, metals business, minerals, miners, mining, mining boom, mining companies, mining industry, mining sector, mining shares, mining stocks, minutes, platinum, platinum buy, platinum cheap, saxo tv, saxostrats, tradingfloor.com
In his latest #SaxoStrats trade Saxo Bank's Head of Equity Strategy Peter Garnry talks us through one of his riskiest trades ever; in Lonmin, the world's 3rd largest platinum producer. 

The mining firm was almost bankrupt at the end of last week, shares are down around 90% YTD and demand for platinum is low but Peter believes there's a glimmer of hope. A rights issue could secure the balance sheet and with platinum trading at a huge discount to gold there's the opportunity for a mean revert.

Buy: At market

Trailing Stop: 6.38 pence 

Steps: 1.14 pence