I thought it would be helpful to study the mining stocks that have demonstrated significant trend line breaks on their weekly price charts and highlight a few that appear ready to have their fuses lit.
*
In all, this study will show you the current weekly charts for 19 mining companies. Each chart, in addition to identifying the price trend line break, provides the most current consensus earnings estimates of analysts (as reported by Bill Matlack and published by Kitco on December 28, 2010), as well as the current Price to Book Value ratio.
*
The first 5 charts demonstrate what happens when a long term weekly chart breaks a significant trend line, as price then rockets to the upside. These 5 miners have recently appreciated in the neighborhood of 50%, and very quickly.
*
The next 9 charts will show you miners that are in the beginning stage of their rocket launch. These miners have their fuse lit and are just now beginning to blast off their launch pad.
*
Finally, we look at 5 miner charts that appear ready to have their rocket launch fuses lit. These prospects are being pulled to the launchpad by that huge tractor that features the secular bull in the driver's seat, and are preparing for their moment of glory.
*
I believe we are now going to begin the final parabolic rise of gold's C wave that will take gold to $1650 sometime near the end of March 2011. This is an excellent time for each of us to reexamine our portfolios and prepare to own the rockets that appear most motivated and prepared to take flight. This study is by no means exhaustive of the possibilities, but I do hope it inspires investors, beginning with myself, to get ready for the awesome display that is about to happen. Cover your ears (and buy).
*
By the way, after giving each of the 19 charts a look, how many have made a perfect cup with handle pattern? Send your answer to me at: tsiTrader@gmail.com
*
Click on any chart to ENLARGE
*
*
Estimated Earnings
2009 --
2010 .63
2011 1.25
*
2.4X Book Value
Click on the chart to ENLARGE
Estimated Earnings
2009 .11
2010 .24
2011 .37
*
2.1X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.29)
2010 (.19)
2011 .35
*
3.9X Book Value
Click on the chart to ENLARGE
*
*
4. Silvercorp Metals Incorporated (SVM) up 60% since breaking out 3 months ago.
*
Estimated Earnings
2009 --
2010 .35
2011 .41
*
8.8X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 2.12
2010 2.85
2011 5.05
*
2.6X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.08)
2010 .03
2011 .07
*
4.0X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.88)
2010 (.01)
2011 .23
2012 .17
2013 .09
*
6.2X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 .11
2010 .26
2011 1.92
*
7.7X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.07)
2010 .10
2011 .10
2012 .20
*
2.6X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 1.05
2010 6.83
2011 9.59
*
3.5X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 --
2010 .02
2011 .92
*
1.4X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.07)
2010 .01
2011 1.00
2012 1.13
*
3.8X Book Value
Click on the chart to ENLARGE
*
*
Estimated Earnings
2009 --
2010 (.03)
2011 (.02)
2012 .04
2013 .17
*
5.2X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 .41
2010 .96
2011 1.27
*
2.2X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 --
2010 .18
2011 .38
2012 .42
2012 .52
*
0.8X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 .07
2010 .04
2011 .33
*
2.3X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 .17
2010 (.15)
2011 .33
*
1.8X Book Value
Click on the chart to ENLARGE
*
*
Estimated Earnings
2009 .24
2010 .06
2011 .13
*
1.6X Book Value
Click on the chart to ENLARGE
*
Estimated Earnings
2009 (.01)
2010 .57
2011 1.39
*
4.3X Book Value
Click on the chart to ENLARGE
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/images/quotes_special.gif)
Wow, quite a selection. CDE and HMY look like winners.
ReplyDeleteHappy New Year
Out of the whole list I OWN or have owned an even dozen and may buy some of them back for a new profit cycle.
ReplyDeleteI note that DROOY which has made me excellent profits in the past has an incredibly low price to book and even Thompson Creek which I always considered on the expensive side is now at a low price to book and with the excellent resources which they got when buying TERRANE on which I made out well, may finally consider buying them. Maybe Jaquar mining may also finally be at a good buy point. One of my biggest winners has already been Brigus Gold which I had bought before the merger/name change. Have long ago taken my original investment off the table so a further run up on free shares will be very profitable.
What is your opinion of Hecla? It's seen nice gains over the last month or so.
ReplyDeleteI noticed CDE also. Seems an uncommonly lot of short interest in it. Wonder why. Can't that be bullish?
ReplyDeleteI think that Iamgold (iag/nyse) should be included with these mining stock selections.
ReplyDeleteWould you recommend holding Hecla????
ReplyDeleteWhat do you think about AMOK? I've owned this mining Co. @ 1.18 and is now @ 1.43. This mine is in the Rodeo Creek property poised between two of the largest Minning Co. in the US and a bidding war for their mines may begin. Further sky rocketing their share price! What say you?
ReplyDeleteHecla - I guess it depends on what type of investor you are. If short term, it probably needs to take a breather now. If longer term, like a couple years, you could probably triple your investment from here.
ReplyDeleteAMOK has been essentially consolidating sideways for the better part of 7 months. You know what the say, the longer the consolidation, the bigger the breakout rally. Sounds like they have some extremely promising fundamentals, as well. TSI is favorable and the next time gold starts to blast off, AMOK will probably be ready to rock and roll.