Robert Cohen B.A.Sc., MBA, CFA
ECU Silver Mining Inc.
ECU-T
WAIT
Jun 29, 2006
Working an old property in Mexico. Fairly high grade material. The question is, how big is the resource. Trading has been halted because a client resource is supposed to be coming out.
Was in a trending triangle and broke out. Hard to say how high it’s going to go. Will probably do very well, but is very speculative, so be prepared to take some money off the table.
Consolidated nicely this year and just made a double bottom. Finally crossed the 50 day moving average. Moving to the TSE. Watch the peers and if they move up, you should be fine. Silver is going up.
In the early stages of a bull market of a secular uptrend small caps do better than big caps. In the later stages, you're better off to stick with the big caps. This one is an under performer. If you want to buy, put a Stop at its recent low.
Looking at this one closely. A narrow vein situation and they have drilled fairly extensively. The mill operation is rather on the small size and could be expanded. Finding sulphides, which means a more disseminated deposit but a lot larger. If it pans out they will have a very large resource. There are a lot of shares outstanding and the volume has been weak.
Chart shows it has gone parabolic and is in nosebleed territory. Obviously something fundamental has happened, which he doesn’t know. Volume trend indicates new money has come in and old money has gotten out. Wait for it to go sideways for a while and it doesn’t pull back.
Silver is doing really well, so why isn’t this one doing well? Because there are a lot of risks associated with it. Last year’s spike was short lived. If you hold exit, if it drops below $0.90.
Your Watchlist
Add stocks to watchlist to monitor them daily and get important alerts.