Stockchase Opinions

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.
$2.470

Stock price when the opinion was issued

precious metals
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BUY
Chart shows a sort of falling wedge. MACD shows a slightly higher high.
HOLD
Silver looks a little bit better than gold. Looks like there is support and will probably be okay. Just don't let it go below its low of August.
HOLD
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.
DON'T BUY
Wasn't happy with quality of the 43101 resource that they had done initially, but they are redoing it. Fully valued.
BUY
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.
COMMENT
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.
HOLD
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.
SELL
(Market Call Minute.) $200 million market cap plus and they have a ratty silver deposit in Mexico. Skinny veins.
WAIT
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.
DON'T BUY
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.