as you know most of the big gold stocks busted out of coil
patterns or 5th wave moves. Here's some of the small priced ones
that tend to have a lag effect move last.
Posted by CopperMtn on 15th of May 2020 at 02:57 pm
These are great setups for short term trades. Swing trades may
be more risky at this point on these. Something is holding their
prices down - perhaps the fear in the equity markets of another leg
down. Take BVN for instance. On Jan 2, $GOLD closed at $1,550 and
BVN at $15.06. Yesterday, $GOLD closed $190 more per ounce at
$1,740 but BVN closed at only $7.00, a 54% discount to its price at
the start of the year. The question is whether this represents
energy building to propel the gold stocks to higher valuations or
if the fear in the equity markets will keep a cap on gold stock
prices.
Yes BVN being down 50% since last year while gold has
skyrocketed is about the worst under
performance of any gold stock. There are
reasons for such a sharp decline as they eliminated their dividend,
they reported a decline in gold production as Peru has extended
their quarantine period which means no mining so any mining is
limited to critical activities only.Also several brokerages
downgraded the stock and Moodys downgraded BVN to B1 a negative
outlook. In addition there has been talk that Peru may nationalize
the mines. So as you can see fear in the equity markets has little
to do with the bad performance of BVN . Sometimes fundamentals are
very good reasons a stock can suddenly under perform.
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smaller golds
Posted by matt on 15th of May 2020 at 01:21 pm
as you know most of the big gold stocks busted out of coil patterns or 5th wave moves. Here's some of the small priced ones that tend to have a lag effect move last.
ASM - Chart Link -
AAU - Chart Link
GAU - Chart Link
MUX - Chart Link
BVN - Chart Link - nice coil
These are great setups for
Posted by CopperMtn on 15th of May 2020 at 02:57 pm
These are great setups for short term trades. Swing trades may be more risky at this point on these. Something is holding their prices down - perhaps the fear in the equity markets of another leg down. Take BVN for instance. On Jan 2, $GOLD closed at $1,550 and BVN at $15.06. Yesterday, $GOLD closed $190 more per ounce at $1,740 but BVN closed at only $7.00, a 54% discount to its price at the start of the year. The question is whether this represents energy building to propel the gold stocks to higher valuations or if the fear in the equity markets will keep a cap on gold stock prices.
Yes BVN being down 50%
Posted by victorh on 15th of May 2020 at 03:12 pm
Yes BVN being down 50% since last year while gold has skyrocketed is about the worst under performance of any gold stock. There are reasons for such a sharp decline as they eliminated their dividend, they reported a decline in gold production as Peru has extended their quarantine period which means no mining so any mining is limited to critical activities only.Also several brokerages downgraded the stock and Moodys downgraded BVN to B1 a negative outlook. In addition there has been talk that Peru may nationalize the mines. So as you can see fear in the equity markets has little to do with the bad performance of BVN . Sometimes fundamentals are very good reasons a stock can suddenly under perform.