Monday 14 May 2012

HL - the little miner...suffering

Hecla (HL) is suffering due to the double bearish hammer of weak commodity prices, and broad main market weakness.


HL, daily


Summary

Still a profitable company, but HL will probably be posting some 'worse than expected' numbers for the rest of 2012 and into 2013.

I'd still guess HL falls to at least somewhere in the mid $2s this summer. Whether HL will retrace all the way back to $1.00 (the late 2008 collapse wave low) by early 2013..we'll just have to see. For the moment, the broader mining index looks set to fall a further 25% across this summer- not least due to weakness in Gold/Silver prices.