Category Archives: Top News

Gold Breaking Five Month Downtrend: Monitor For Powerful January Effect in Junior Miners

Gold Breaking Five Month Downtrend: Monitor For Powerful January Effect in Junior Miners
In a recent article I wrote, "Gold and silver could gap higher by the end of 2014 and the top notch juniors could skyrocket." I expected a breakout at $1205. It appears gold may be breaking that downtrend today.For a couple of years metals were knocked out of favor and now oil is on its knees with a major three month deflationary selloff that came out of nowhere. This black swan may be due to increasing tensions between the West and East. Japan and Europe are turning on the printing presses to prevent deflation causing investors to flock to US dollars and the S&P500. Don't be so quick to chase them into the overbought markets. The Fed needs to see more inflation and a cheaper dollar before raising rates. Once investors wake up and realize The Fed can't tighten in this environment, the dollar parabolic rise will pop. Once the dollar rally fizzles out investors should once again return to the beaten down junior gold and silver sector which is testing 2008 Credit Crisis All Time Lows.
Read more

Breakout Alert: Junior Gold Miner In Nevada Discovers Impressive New Gold Zone

Breakout Alert: Junior Gold Miner In Nevada Discovers Impressive New Gold Zone
For several weeks I have been expecting a major secular bottom in precious metals and I told you to watch for the accumulation after capitulation.For about the two past months, we have witnessed panic selling in precious metals and junior miners the capitulation. However, on November 7th and 14th we saw major accumulation in gold futures on high volume. This may signal the beginning of a major short covering combined with value buying or the accumulation after the capitulation. This junior may breakout as it discovered a new gold zone.
Read more

Game Changing Technological Breakthrough in Heavy Rare Earth Sector

Game Changing Technological Breakthrough in Heavy Rare Earth Sector
In my premium service last week after the US Election, I told my readers to keep a close eye on the heavy rare earths especially Ucore (UCU.V or UURAF), which has significantly outperformed the beaten down and ignored rare earth sector by a wide margin. Ucore has been the major winner in 2014 and this relative outperformance may be just the beginning as they announce today a major breakthrough in rare earth metallurgy. Ucore released results from recent testing of Molecular Recognition Technology (MRT) which produced a 99%+ HREE Concentrate from the ore from Bokan Mountain in Southeast Alaska. The first step to separation into salt is by producing a pure concentrate which was conducted by IBC Advanced Technologies. The company is testing to see if MRT can produce and separate the individual heavy rare earth oxides.
Read more

Accumulation Follows Capitulation As Day Follows Night in Junior Mining Sector

Accumulation Follows Capitulation As Day Follows Night in Junior Mining Sector
I have been expecting a major long term bottom in the precious metals after major capitulation. The liquidation may have occurred this week as investors sold out of panic and fear rather than take a look at the long term fundamentals. Across the board many of the weak hands had to sell quality assets for pennies on the dollar. Smart resource investors expecting capitulation have had some of their bids filled at ridiculously low prices. Fortunes are made by the brave who pick up real assets when the majority is not interested in them. I expect a major bounce at 2008 credit crisis lows and the 2003 breakout on the HUI Gold Bugs Index at $150. I told my premium subscribers I was buying Pershing Gold (PGLC) at major lows at or below $.30. I believed that the company was due to break its downtrend and 50 day moving average. Now a few weeks later it appears Pershing has broken above the 50 day moving average and has broken out on a relative strength chart versus the Junior Gold Miner ETF (GDXJ). See charts by clicking here...
Read more

Toll Milling in Mexico Could Generate Near Term Cash Flow

Toll Milling in Mexico Could Generate Near Term Cash Flow
This junior miner just announced that they secured a 100 metric ton per day flotation plant which will immediately be used to offer toll milling to other miners in the area. At the same time revenues from milling could provide cash flow to develop the Las Cristinas Project where they are hitting on excellent drill results.
Read more

Why These 2 Junior Miners Tripled in 2014 Despite TSX Venture Decline

Why These 2 Junior Miners Tripled in 2014 Despite TSX Venture Decline
After a great start in 2014, the TSX Venture which is the index largely comprised of junior miners has headed into negative territory in 2014 down 2% in 2014.  Don't be surprised to see the US multinational corporations face headwinds from dollar strength.  Already the Homebuilder ETF (XHB) is already rolling over and breaking below the 200 day moving average as US real estate becomes more expensive for overseas investors.  The financials could be the next one to correct. The rising dollar is putting pressure on commodities priced in dollars.  Gold and silver is struggling in new low territory.  However, some US focused mining assets critical for domestic manufacturing and industry could actually be an area of strength. Despite the major dollar rally and selloff in commodity related mining stocks, two of our featured companies have done exceptionally well this year up 308% and 231% in 2014.
Read more

Junior Miners Holding Long Term Support, Bouncing Off 200 Day Moving Average

Junior Miners Holding Long Term Support, Bouncing Off 200 Day Moving Average
Despite the shorts in precious metals reaching record heights, the junior gold miners (GDXJ) continue to find support at the 200 day moving average, a critical area of long term support. This may be signaling to investors that gold may soon bottom around $1200 and that the major miners may start looking for economic deposits to replace current resources that are being exhausted. If you find quality gold properties near majors with top notch management with track records then you have a good shot to make a profit even through this historic bear market. For instance, about a month ago I sent out a report that the "Smart money is looking at the Cortez Trend". I highlighted a small junior company which just attracted one of the best mining explorers in the world to its board...
Read more

M&A In Junior Gold Sector Heating Up with Agnico Eagle Acquisition

I have been forecasting for many months that the majors will begin making acquisitions for high quality junior mining companies. Yesterday, major gold miner Agnico Eagle (AEM) agreed to buy early stage Mexican explorer Cayden Resources (CYD.V) for over $200 million in a friendly takeover deal. Agnico gets Cayden's two gold prospects near Goldcorp (GG). Cayden recently hit some good drill results and they announced some preliminary metallurgy, but it is a long way from being a mine. Personally I am quite surprised at Agnico's move. Cayden always appeared to me to be overvalued. I could argue that if recent drill results are worth over $200 million than explorers like Corvus and Canamex are significantly undervalued as their results may be much better as the drill results are better and they are in Nevada which is a much better jurisdiction then Mexico. Agnico may be up to something with Goldcorp. Do not forget Agnico outbid Goldcorp for Osisko and now Agnico comes into Goldcorp country in Mexico. Cayden borders Goldcorp in Mexico and seemed a likely Goldcorp takeover candidate. Agnico may be positioning itself for a merger with Goldcorp. It may be safe to say that Cayden is fairly valued at $200 million. With this recent deal I believe some of our featured juniors such as Red Eagle (RD.V or RDEMF) are significantly undervalued.
Read more

Junior Niobium Miner On Verge Of Major Breakout On High Grade Assays

Junior Niobium Miner On Verge Of Major Breakout On High Grade Assays
On April 4th, 2014 I highlighted to my premium subscribers an obscure junior niobium miner which many ignored and was trading at approximately $.26. Right now, the stock is on the verge of its next major breakout at $.80 as it hits the highest grade results to date. The company announced this past week niobium assays in excess of 3% this past week.
Read more

Smart Money Looking at This Junior Miner on the Cortez Trend in Nevada

Smart Money Looking at This Junior Miner on the Cortez Trend in Nevada
The Cortez District now hosts Barrick's most profitable mines and exploration growth. Barrick has recently made a huge discovery called Goldrush which is only about a mile from their 1 millon ounce producer Cortez Mine. Goldrush has grown to become a 15.6 million ounce deposit. Barrick is quickly realizing that this district is where it can make the most money and should focus investment on this area. Barrick believes in the future growth of this district and is partnering with juniors such as...
Read more