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In this article, the third of a three part interview in The Gold Report, Greg McCoach, editor of The Mining Speculator, gives us his top choices for mining equities. Learn why Greg believes we need to do some comparison shopping right now in the junior market and why, although he's bullish on uranium, there are just a few uranium miners he recommends.

Greg is an entrepreneur who has successfully started and run several businesses the past 22 years. For the last eight of these years he has been involved with the precious metals industry as a bullion dealer (AmeriGold), investor, and newsletter writer .(See Part I and Part II).

TGR: Tell us about some of the stocks you like.

MCCOACH: At The Mining Speculator, which I've been writing since about June 2000, I don t cover lots and lots of stocks. I believe in covering and reporting on about 20 to 25 stocks at any given time. Since June 2000 I have only recommended 71 stocks, and out of those 71 stocks, we have had 7 losers. We have had 16 stocks that have had over 1000% return. We have had 41% of all the stocks at least double while they were recommendations, and it s been a good track record. We re enjoying it right now.

The market has been volatile for the mining stocks. Right now we re on the down side of the volatility. It s been a little bit frustrating for people, but I try to tell people that these metal prices are going nowhere but higher. Under the current circumstances, sooner or later mining stocks will run again. And each time they run, they seem to go to new highs. I am one of those people that like to take a little bit of money off the table when profits are running. I firmly believe you should take 25% to 35% of your core positions out because you make such big gains when the markets are running. Then hold some more cash until the market comes back and you can buy back those companies, or you can get some new stories you re interested in.

TGR: At what point do you take your 25% to 35% off the table? Let s say you buy a stock at a $1.00 it goes up 50% or a 100% or ?

MCCOACH: Right. I don t take profit I want at least a double. At 100%, I will take 25% off the table. Sometimes when these markets run, these junior mining stocks can go up or down for absolutely no reason. That s how volatile they are. We ve been in this bull market for a long time and our stocks have been all over the place. There are periods of times when they re absolutely boring, right? Then, all of a sudden they catch fire again. So whenever we run and we get a double or a triple, I usually take 25% off the table, and try to pay myself back.

I try to get my original money back. Once I get my original money back, then I feel like I am playing with the casino s money, right? So, I like to try to do that as quickly as possible. You may have to weather a few downturns before you get to those ultimately higher levels. Take Excellon Resources Inc. (TSX:EXN) for example. We recommended it and I think it was at 18 cents or 20 cents. The stock recently hit $1.95. That s over a five year period. It s done very well for us, and I still believe that Excellon is a great choice because it s a production story that has a great cash flow, and I think for these juniors cash flow is going to become more and more important.

In the last six years we have been able to raise money very easily for these exploration stories, but moving forward, with the liquidity crunch and risk capital starting to get much tighter, I think it s going to get harder and harder for these exploration juniors to raise money. Most of them don t have cash flow.

That s why I am leaning more towards production and near term production stories in the juniors. At this point, do you still want somebody who has cash flow that still has metals and that has great exploration upside, or do you want someone with great exploration upside but no cash flow? I think we need to do some comparison shopping right now in this junior market, and I am leaning more and more towards companies that have cash flow or near term cash flow.