Gold has traded between $1,160 and $1,176 so far today after Friday’s sudden and powerful run…as of 7:30 am Pacific, bullion is down $15 an ounce at $1,163…Silver is off 21 cents at $15.62…see updated Gold and Silver charts below…Copper is off a penny at $3.06…Crude Oil, which hit a 3-year low last week, is relatively flat at $78.58 while the U.S. Dollar Index, which pulled back Friday after surging to a 4+ year high, was lower earlier this morning but has reversed slightly higher to 87.64…
Holdings in Gold exchange-traded products have continued lower this month but U.S. Mint coin sales are strong so far, according to Barclays…global ETP holdings are down 16 metric tons so far in November and year-to-date outflows now stand at 141 tons…total holdings are now 1,737 tons…meanwhile, data on the U.S. Mint web site show that coin sales so far in November are 38,500 ounces after 88,500 were sold in October, the most for any month since January…
UBS has updated its 1-month target for Gold to $1,180 an ounce from $1,250 previously but left its 3-month forecast unchanged at $1,200. “The combination of weak sentiment, light positioning and extreme amount of shorts suggests that any surprise upside catalyst or increase in physical demand is likely to result in a more sizeable price move. While we expect initial resistance at the $1,180 level, which had previously acted as strong support, Gold should climb towards the psychological $1,200 mark over a 3-month period on the back of seasonal physical demand,” UBS stated.
Today’s Equity Markets
Asia
China’s Shanghai Composite gained a whopping 55 points or more than 2% overnight, closing at 2473…
Investor sentiment was upbeat after a new date was announced for an anticipated cross-border trading link…the Shanghai-Hong Kong Stock Connect will finally launch on November 17, clearing uncertainty over the start of the program…this is a game-changer for China as it will give foreign investors unprecedented access to its $4.2 trillion stock market…this pilot project will initially allow a net 23.5 billion yuan ($3.8 billion) of daily cross-border purchases…the exchange link is one of China’s biggest steps toward opening up the capital account, increasing use of the yuan and turning Shanghai into an international financial center…
China-Canada Deal
Analysts are saying that a hotly anticipated reciprocal currency deal between Canada and China, announced over the weekend, marks a significant turning point in relations between the 2 countries…the agreement will foster far easier trade between the Canadian dollar and the Chinese yuan, also known as the renminbi…it makes Canada the first country in the Americas to have a deal to trade in the renminbi…authorized by China’s central bank, it will allow direct business between the Canadian dollar and the Chinese yuan, cutting out the middle man – in most cases, the U.S. dollar…Canadian exporters forced to use the American currency to do business in China are faced with higher currency exchange costs and longer waits to close deals…
In economic news, Chinese consumer price inflation remained at a near 5-year low last month, easing concerns of deflation risks for the world’s second biggest economy…but the wholesale sector stayed entrenched in a deflationary spiral with the producer price index falling by a worse-than-expected 2.2% on year…
Key data out of China later this week (Thursday) – October retail sales, industrial output and fixed assessment investment…
Japan’s Nikkei average fell 100 points overnight to close at 16781…
Europe
European markets are up slightly in late trading overseas…September industrial production for the euro zone will be announced Wednesday followed by important inflation numbers for October on Thursday…
North America
The Dow is down 17 points through the first hour of trading…the TSX is up 16 points while the Venture is 4 points higher at 774…readers, keep in mind that Canadian markets are OPEN tomorrow on Remembrance Day…
New Gold Inc. (NGD, TSX) is taking over Bayfield Ventures Corp. (BYV, TSX-V)…Bayfield shareholders will receive 0.0477 of a New Gold common share for each Bayfield common share held…the offer values Bayfield at 21 cents per common share or approximately $16.6 million, representing a 50% premium to Bayfield’s November 7 closing price…however, that’s still well below BYV‘s 52-week high of 41 cents…
Keep Cannabix Technologies (BLO, CSE) on your radar screen this week as BLO technically reversed last week and is expected to be updating investors shortly with respect to development of its marijuana breath-analysis device…
CDNX 3-Year Chart
Below is an updated 3-year weekly chart for the Venture after the Index snapped a 9-week losing skid Friday on the back of strong gains in precious metals and Uranium…
RSI(14) is at previous support (the 2013 low) and this positive divergence between RSI(14) and the current value of the Venture, which slipped to a new post-Crash low of 745 last week, is bullish…this will be an important trading week for confirmation of last week’s hammer reversal…the Venture closed at resistance (770) Friday…the next resistance area is 800 if a breakout through 770 is confirmed…
Discovery Ventures (DVN, TSX-V) Update
The nearly 30% correction in the Venture from the beginning of September to last week has sent the share prices of many companies – even leaders in this market through the first 8 months of the year – plummeting by half or more…Discovery Ventures (DVN, TSX-V), which continues to make progress with its high-grade Copper-Gold Willa-Max Project in southeastern B.C., is an excellent example…
In the case of DVN, it appears to have found support at an uptrend line as you can see on this 2.5-year weekly chart…a bullish “W” has emerged in the RSI(14), which is coming off previous support, and a bullish engulfing candle pattern formed Friday as well…technically, this looks well positioned for a rebound…as always, perform your own due diligence…
DVN is up half a penny at 21.5 cents as of 7:30 am Pacific…
Blackbird Energy Inc. (BBI, TSX-V) Update
Blackbird Energy (BBI, TSX-V) is cashed up (recently closed a $30 million financing) and has held up much better than most of its peers in the energy space in recent months…in fact, it is threatening to push to new highs…BBI began the year below a dime and hit a multi-year high of 44.5 cents (slightly above Fib. measured resistance) during the last half of October…technically, it’s well-supported by a rising 100-day SMA currently at 30 cents…
Last Thursday, BBI announced the acquisition of 10 additional Montney sections…it now holds a 100% working interest in 46 contiguous sections (29,440 acres) and a total of 50 sections of Montney rights at Elmworth…the latest acquisitions are on the western border of Blackbird’s existing Elmworth block and are within 3 miles of the company’s 6–26–70–07W6 Middle Montney well that was spudded on October 20…
BBI is off a penny at 39 cents as of 7:30 am Pacific…
Uranium Sector Heats Up – Cameco Corp. (CCO, TSX) Chart
Keep an eye on Uranium stocks which really came to life Friday…Uranium has been climbing steadily since August, to a fresh 52-week high, and there are a number of factors contributing to that…
Fission Uranium (FCU, TSX-V) remains one of our favorites in this sector…
A good “bellwether” for the Uranium sector of course is Cameco Corp. (CCO, TSX) and its chart is looking increasingly bullish as you can see below…it broke above chart resistance Friday and is up slightly again this morning…
Gold 4-Year Weekly Chart
This an update to a very revealing chart we posted last Tuesday that presented a strong case for a possible imminent rally in Gold…
Bullion touched an important flag support line last week (briefly, it actually fell below it) but importantly closed the week strong at $1,178…in the simplest terms, according to Elliott Wave theory, one strong possibility is that Gold will rally back toward the top of the flag around the $1,300 area in a continuation of a “Wave 4” pattern…however, this would be followed by a “Wave 5” that would take bullion decisively below the flag support line…timing of course is uncertain, but what this means is the likelihood of volatility and perhaps a stronger than expected finish to the year than many investors currently expect…ultimately a test of support around the $1,000 level certainly can’t be ruled out (easier to see on a longer-term chart below this one)…
Gold Long-Term Monthly Chart
The good news regarding this chart is the current bullish divergence between RSI(14) and price…this suggests the possibility of a rally that, as explained above, could take Gold back up toward the top of the current flag formation…
Longer-term, what’s bearish of course is the break below an upsloping channel since the bull market began in 2001…Gold has also been below its 1000-day moving average (SMA), currently at $1,492, since early last year…this SMA has flattened out and is expected to trend downward in 2015, raising the potential for additional price pressure…
Silver Short-Term Chart
Silver held critical support around $15 last week, and Friday’s reversal came on high volume…note the downtrend line in place since July…a large gap has opened between the current price and that downtrend line which is serving as major resistance…RSI(14) is emerging out of oversold conditions and -DI has likely peaked…expect Silver to gradually move higher over the near-term in another attempt to test the downtrend resistance…
Silver Long-Term Chart
This 34-year monthly chart gives hope that Silver could be preparing for a powerful “Wave 5” move to the upside, though we caution that this could take some time to play out…
RSI(14) is at previous long-term support and this will need to hold along with key support in the immediate vicinity of $15…
Note: John and Jon hold share positions in BLO.
Big volume on BLO again today nearing a million shares traded. Only 32 million issued. Bid sizes are huge and Ask sizes have dried up. Could be in for a big break out here shortly.
Comment by Ed — November 10, 2014 @ 11:35 am
OK, we had our little upswing, all the metals and oil in the red again. Here goes the tsx.v down to the 680.
Comment by dave — November 10, 2014 @ 12:07 pm
Jon, wake me when there is volume so I can trade it and make some money sometime in the next year. In the meantime I will be making money on moving stocks. Thanks.
Comment by dave — November 10, 2014 @ 12:32 pm
Sure, Dave. I’d like to know how many of your “moving” stocks are up 4-fold in the last 12 months. As a trader, if you’re making money on some fast-moving high volume plays, let us in on a few tips.
Comment by Jon - BMR — November 10, 2014 @ 1:31 pm
me toooooo!!!! Davey!!
Comment by Jeremy — November 10, 2014 @ 1:48 pm
“The leverage that we have been putting together is going to pay off big-time,” explained Steve Regoci. He also said if they hit what they expect to hit. I am betting they have samples at Tarichi that are off the charts. Why else would they plan 9 drill holes? Usually you plan 2 or 3 to test a system. No, GGI plans 9 in Tarichi. Must be looking pretty darn good.
Comment by Dan — November 10, 2014 @ 2:43 pm
The more I think about it, the more I’m convinced,that interested major is aem.just my opinion.
Comment by Tombc — November 10, 2014 @ 3:35 pm
The last 2 involved in were VRY.V , I mentioned that one a while back, but it is a risky play now. I am on the sidelines and might wait for news because bad flow rates can tank it. I also mentioned VGD.V and actually after one of the other posters mentioned it. I currently am holding VGD.V – Jon, I guess I came across wrong in my earlier post. I am not against GGI.V and I think they are on to something. I merely mentioned that it hardly trades and its hard to get a large portion of money in it right now, or back out if needed. I need the volume to move the kind of money that I move on a monthly basis. Where we are different of coarse is that I don’t hold for a year. I am retired, and this is a means to pay my bills. I wasn’t trying to offend your style of trading. I am sure that I will be in GGI at some point if a large enough block opens up.
Comment by dave — November 10, 2014 @ 4:37 pm
Dave, the biggest leverage is buying when no one is paying attention, ie low volumes. Then sell some or all when heavy emotional volume raises its head. Penny stocks go through periods with out volume and price just sits, then volume spikes creating share price increases. I always use high volumes to sell into.
Comment by Daniel — November 10, 2014 @ 7:19 pm
good morning everyone I again bring to your attention heron res.(her torexch) a new press release nov. 11 outstanding regards walter emond
Comment by water emond — November 11, 2014 @ 1:50 am
One Sheslay name(that actually worked their property this year) being quietly accumulated…z
Filings by Transaction DateFilings by Filing DateFilings by InsiderMarkerBiz Brief
Latest 10 SEDI filings (by transaction date) for PGX within the last 6 months [?]
Amended Filing Amended Filing
As of 11:59pm ET November 10th, 2014
Filing
Date Transaction
Date Insider Name Ownership
Type Securities Nature of transaction # or value acquired or disposed of Price
Nov 7/14 Nov 5/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 102,000 $0.085
Nov 3/14 Oct 31/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 67,000 $0.080
Nov 3/14 Oct 30/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 120,000 $0.080
Nov 3/14 Oct 29/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 111,000 $0.080
Oct 24/14 Oct 24/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 94,000 $0.080
Oct 24/14 Oct 22/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 35,000 $0.095
Oct 24/14 Oct 22/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 93,000 $0.090
Oct 24/14 Oct 22/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 72,000 $0.080
Oct 6/14 Oct 6/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 200,000 $0.080
Sep 30/14 Sep 30/14 Bernier, Peter Direct Ownership Common Shares 10 – Acquisition in the public market 300,000 $0.085
Sign up for an account or login above to see all SEDI filings within the past 6 months.
Comment by zippy — November 11, 2014 @ 4:47 am
Daniel – I know
Comment by dave — November 11, 2014 @ 6:50 am
Hi again daniel, was checking my stocks, sorry. Yes, your method works if you are a long term believer in it . I am a swing trader, so in my case, volume preceeds price movement. This is what I watch and act on. The old saying “follow the money”, and yes you are correct that the time to sell is when you see high volume at a top when she is near or at resistance. I am the type of trader to where leverage is not important to me. I am in and out of stocks within a few days. I take the money and run as they say. GGI will have its day, I am very confident that Jon has found a good one. When it is time, I will jump in. Have a good day.
Comment by dave — November 11, 2014 @ 7:33 am