Gold made a nice move yesterday but is still finding resistance around the $1,620 level…as of 5:25 am Pacific, the yellow metal is up $1 an ounce at $1,616…it has traded in a narrow range so far today between $1,612 and $1,621…Silver is flat at $28.23…Copper is up 3 pennies at $3.41…Crude Oil is down 28 cents at $95.32 while the U.S. Dollar Index is up slightly at 82.46…Oil prices have risen to three-month highs this week, notching up gains of 30% from lows seen in June, lifted by supply constraints, geopolitical concerns and easing worries over the European debt crisis…
Today’s Markets
Asian markets were up modestly overnight while European shares are generally slightly positive this morning…stock index futures in New York, as of 5:25 am Pacific, are pointing toward a flat to slightly lower open on Wall Street…it has been another good week for equity markets…investors seem to be welcoming comments from German chancellor Angela Merkel in which she said the pledge by the European Central Bank to do whatever it takes to support the euro project was “completely in line” with the views of the bloc’s leaders…the statement appears to have calmed fears among some traders that Germany was not on board with the ECB’s strategy of using possible intervention to reduce the borrowing costs of heavily debted nations such as Spain and Italy…
The University of Michigan Consumer Sentiment survey for August is due out at 6:55 am Pacific (analysts polled by Briefing.com expected the index to read 72.2, down from 72.3 the previous month) while the Conference Board releases its leading economic indicators index for July at 7:00 am Pacific (the expectation is for a 0.2% rise compared with a 0.3% fall in June)…
Obama Better For Business? What Are These Executives Smoking?
In a rather startling Financial Times poll reported by Reuters this morning, twice as many business executives around the world say the global economy will prosper better if Barack Obama wins re-election as U.S. president in November than if Republican challenger Mitt Romney takes the White House..Obama was chosen by 42.7% in the 1,700 respondent poll, compared with 20.5 percent for Romney..the rest said “neither”…the result was different, however, among respondents in the United States, where a slim majority thought Romney would be better for their business than Obama…the Democrat maintains a 7-point lead over Romney among registered voters in the race for the Nov. 6 presidential election, despite the fact Americans are increasingly pessimistic about the future, according to a Reuters/Ipsos poll conducted last week…the Financial Times poll was conducted before Romney picked Wisconsin Congressman Paul Ryan as his vice-presidential running mate over the weekend, a move that could dramatically shift the election debate between two sharply contrasting views of government spending and debt…Romney’s choice for running mate gave him no immediate boost to his White House prospects, a Reuters/Ipsos poll suggested Monday…
Venture Exchange Starting To Flex Its Muscles
We‘ve been writing at length recently about the improved technical health of the Venture Exchange, and sure enough the CDNX has taken the path of least resistance and has pushed above the important 1200 mark…we’ll have much more on this in our Week In Review this weekend…a new uptrend (either a strong bear market rally or the beginning of a new bull phase) is clearly underway and we’ll examine where it could go over the coming weeks and months…below is another chart from John – the fourth this week – that confirms through various indicators that the short-term trend is definitely bullish…it’s interesting to note the ADX is bullish (above -DI) for the first time since the downtrend began last March…RSI(14) is also the highest it has been in over 5 months, though not yet in overbought territory…
Rainbow Resources (RBW, TSX-V)
Rainbow Resources (RBW, TSX-V) showed good buying pressure yesterday though it finished the day down half a penny at 22.5 cents…the chart remains exceptionally strong and a move through resistance at 24 cents is only a question of when, not if, based on technical and fundamental considerations…with a rather bullish tone, the company has indicated news is imminent (sometime next week) regarding the drill program at the International Silver Property in the West Kootenays, so we could see sparks fly sooner rather than later…we’ll be examining RBW in more detail over the weekend, presenting the case for a potential major breakout…
GoldQuest Mining (GQC, TSX-V)
The Dominican plays were strong yesterday with the leader of the pack, GoldQuest Mining (GQC, TSX-V), hitting a new high of $1.75…this has been a huge winner for some of our readers as we’ve been following this story since Day 1 and were also granted the first interview with Chairman Bill Fisher following the news of the Romero discovery in late May…is it time to cash in?…that has to be a personal choice (one always has to be careful about greed and fear) but we still see more upside potential than downside risk at current levels…early indications are that Romero could truly be a monster-sized deposit given results released to date…just on continued speculation, it seems likely that GQC will push to a new all-time high…John has a new potential Fibonacci level this morning, and at a minimum that appears to be a high probability…a “Wave” 5 move is underway as John shows in the chart below…
The DR is hot, and as we’ve been saying, we continue to see good things in store for Unigold Inc. (UNG, TSX-V) and Everton Resources (EVR, TSX-V)…we are planning on posting Part 2 of our interview with Everton President and CEO Andre Audet on Monday…John has chart updates below on both plays…also, keep an eye on Precipitate Gold (PRG, TSX-V)…we’re doing some due diligence on PRG which just announced yesterday that it has completed a deal with a private B.C.-registered company to purchase that company which holds a 100% interest in the rights to acquire two mineral concessions in the Dominican Republic that are currently under application…
Unigold Inc. (UGD, TSX-V)
Everton Resources (EVR, TSX-V)
Note: John and Jon both hold share positions in RBW and EVR. Jon also holds a position in GQC.
ya maybe your right theo,sidon’s been a chip on my shoulder this long,little longer cant hurt.
Comment by tom — August 17, 2012 @ 4:43 am
jon, really would appreciate learning more about the process of posting an interview. Does the company review the edited version? Who determines when it gets posted? BMR or the company?
Comment by George Wohanka — August 17, 2012 @ 5:18 am
George, it has nothing whatsoever to do with EVR…..simply a time factor issue, technician has also been away on holidays just recently….
Comment by Jon - BMR — August 17, 2012 @ 5:52 am
You wrote recently about the graphite plays, specifically FMS and NGC. All have taken a beating recently, I am lucky that I took my profits off the table on these (for a change 🙂 ), but am wondering if they may be coming to a point where they are worth getting back into, especially FMS that seems to have a bigger picture in mind. I would appreciate any feedback (or some charts from John if he has nothing to do!) Thanks for all you do guys.
Comment by pete — August 17, 2012 @ 6:12 am
Should see some technical adjustment in GQC today after reaching $1.79 in early trading… perhaps, $1.68 low and close at 1.70. GBB’s buying spirit is low and it will slide back to 9 cents or even 8.5 cents. RBW should be a good day today but all we need to see is the volume… it does not matter the change is +/- $0.02 if the volume is lower than 300K.
Comment by Theodore — August 17, 2012 @ 6:22 am
GQC … still looking good so far! RBW… I have a feeling that it will close high with good volume today… GBB… perhaps, 9.5 or 9 cents will be this week’s close. Buying momentum is still low… only shows some good signs at the beginning of the week, then, losing gas as usual.
Comment by Theodore — August 17, 2012 @ 8:40 am
Grrrrrr……Why won’t Anon allow RBW to move past 24 cents???
Comment by Tony T. — August 17, 2012 @ 8:55 am
I think it’s just a matter of time, and probably sooner rather than later…..24 cents is the resistance, as John has shown on his charts, but we all know that wall will come down just like resistance at 20 cents did….so patience is the name of the game….I suspect we’re closer than ever to a breakout, perhaps Monday/Tuesday at the latest….the chart is looking too good and the drills continue to turn with news on the way sometime next week….
Comment by Jon - BMR — August 17, 2012 @ 9:11 am
I think I will buy a 1000 shares of RBW at 27 cents,lol will that work?
Comment by GREG — August 17, 2012 @ 10:19 am
What would work for sure, Greg, is RBW intersecting a 200-metre thick zone (one geologist, Salazar, referred to this type of a zone at the International in a report I read last year). I have a hunch we may get a first bit of encouraging news next week. Nice action on the Venture again today. A 20% move in the next 6-8 weeks? Very possible I think.
Comment by Jon - BMR — August 17, 2012 @ 10:40 am
0.23 1,000 TSXV 14:09:31
0.23 500 TSXV 14:09:31
Here are the last 2 sells by anonymous. All $345 worth.
Must be an fn joke. Not just any joke, but an fn joke. You read right.
Comment by alex — August 17, 2012 @ 10:42 am
Greg – just take out the .24
Comment by dave — August 17, 2012 @ 10:52 am
Thanks Jon
I hope that is what we get and more…
Comment by GREG — August 17, 2012 @ 10:54 am
Just by a quick chart look, I see a .24 close today.
Comment by dave — August 17, 2012 @ 10:55 am
i hope they give us 24.5 just to put the 24 behind us for the weekend….
Comment by db — August 17, 2012 @ 11:46 am
Get ready for the gap-up Monday IMHO.
Comment by Jon - BMR — August 17, 2012 @ 11:52 am
I’m not sure bout the gap up, but she is going north north. Just look at the chart. It doesn’t take anything else. The first 500 at .245, it wasn’t the amount, but rather who the BUYER was, this was an important 500 shares to signal the run.
Comment by dave — August 17, 2012 @ 12:04 pm
Of the DR stocks I mentioned yesterday GQC is the only one to kick on today. This is incredible but who knows what the deposit will be at Romero. PRG are the new kid in town and they moved well again today. I have to think there will be a better entrance price for anyone who wants to take this area chance. EVR still have lots of potential in DR and are roughly 20% of PRG’s price. Who knows probably the best chance is RBW with Lucky Drilling taking out some tasty core hopefully. Great to see some excitement again.
Comment by Patrick — August 17, 2012 @ 12:06 pm
I saw the houses changing hands and put it in the first post here yesterday, I saw the shift I was waiting for and got a little more in at .23 – Hope some of you picked up some more. Have a good weekend.
Comment by dave — August 17, 2012 @ 12:08 pm
RBW… 24 cents will be in history and next week will be a brandnew page for price jump! Today’s trading volume is low and definitely, next week the volume will be much much higher… my sixth sense tells me. GBB … nothing has happened and low volume has brought back this one to close at 9.5 cents. GQC … what a fantastic week! Perhaps, I will get rid of my few thousand shares with a 5% discount of my target price… That is good enough for me on this one with $1 gain for each share. Just continue watching the ups and downs.
Comment by Theodore — August 17, 2012 @ 12:30 pm
Im guessing we will be getting an updated RBW chart this weekend?
Comment by db — August 17, 2012 @ 1:50 pm
RBW – a solid white candle and pincher formation on macd – yummy
Comment by dave — August 17, 2012 @ 1:59 pm
Theodore you are too much! Thanks for telling us gbb closed at 9.5. I we would have never known had u not enlightened us. Now please Theodore do me a favor and go back and read your own post today please!! 100% wrong on every call so you post again and basically just state obvious and what has already happened.
Comment by Heath — August 17, 2012 @ 2:59 pm
Already done and posted. How’s that for service on a Friday afternoon?
Comment by Jon - BMR — August 17, 2012 @ 3:01 pm
@Heath… you are right, my call is wrong in the price but consistent low volume after one day shine… not a good sign … it stayed marginally up 0.015 from last Friday’s closing. But I always doubt about the consistency of the trading volume of GBB… this is a true thing and it hurts. Unlike GQC, the turnover was huge with quick adjustment. My guess was also wrong but I have put my sell order at $1.90… frankly speaking, I only have 5000 shares and I want to exit this one… too exciting for me. I will focus only in RBW and try to hit a grand slam ! Do you have RBW? At least try to hit a 2 runs homer or even 3 runs homer.
Comment by Theodore — August 17, 2012 @ 8:03 pm