BullMarketRun.com

Markets have retreated slightly this morning on news that China is taking additional steps to try to cool its hot growth…gold is off $8.00 per ounce to $1,083 as of 7:50 am Pacific time while the CDNX has pulled back 7 points to 1,486…the CDNX ran all the way up to its 50-day moving average of nearly 1,500 yesterday…from a technical perspective, this market needs to blast through that resistance on strong volume to confirm that the bull is back in charge…we may not get an answer for several days or even a couple of weeks…Gold Bullion Development Corporation (GBB, TSX-V) is showing some strength this morning, up a penny to 11 cents…to show how Gold Bullion’s Granada grades are so encouraging, Osisko came out with an open pit reserve update this week and reported 8.97 million ounces at 1.13 g/t…Granada’s grades are very much in line with Osisko’s Malartic grades, and mineralization is also at shallow depths at Granada…Gold Bullion has much work ahead of it to prove up a large resource at Granada, and we would like to see them undertake a drill program of at least 50,000 metres…we have done endless research on Granada and our contention is this property along the infamous “Cadillac Trend” very realistically hosts a multi-million ounce deposit, nearly a million ounces of which we would already place in the “inferred” non-compliant category…keep in mind this company has already conducted a large bulk sample which graded 1.62 g/t…a large waste pile was also assayed and came out to 1.75 g/t…conservatively, the average grade at Granada should come out to about 1.2 g/t which is right in line with Osisko…there are no metallurgical issues at Granada and recoveries have proven to be high (90%)…assay results on 19 more holes at Granada are yet to come…one of our astute readers has come across an interesting company by the name of Drake Energy Ltd. (DPE, TSX-V) which we suggest readers do some due diligence on…from a technical standpoint, Drake is overbought at current levels and we’re looking for a slight pullback and consolidation prior to another potential major move up with this stock…