As to the “good prospects” portion of the title, it is due to the fundamental view of Jordan Roy Byrne. Jordan had been a subscriber to NFTRH, but I proposed he cancel the subscription and instead, we have access to each other’s work. For me, it means I get to add another quality source to my mining fundamental contacts. For Jordan, he continues to have access to the nerd fest that is NFTRH.
I did not ask permission to go into detail on his work on the company’s internals, but suffice it to say with a minor caveat or two, it is a prospective situation. Abrasilver’s (ABBRF, ABRA.V) March PFS prompted a view of the IRR as “quite strong” and NPV as “somewhat modest”. The focus is on the Jac project as “a game changer” and on the vastly improved Argentine political climate (regarding mining). But again, I am just reporting a brief summary of a detailed report from a trusted source.
Upon reading up on the company fundamentals and being impressed, I – a man who stares at charts – stared at its chart and liked it… especially the weekly view.
First the daily (ABBRF) chart shows a consolidation pattern riding the uptrending (but consolidating) SMA 50 in a volatile manner. This is a bullish chart, technically, as the 200 day average is clearly up and RSI and MACD are stair-stepping.
The weekly chart shows the volatile consolidation using 2.13 as its clear support area. Weekly RSI is sneaky bullish looking, above its EMA 20 and in positive territory. MACD is positive, but more nondescript.
Moving on, Fred Lacy is quite high on SVM, SILV just fielded a buyout offer and I added the metal itself, yesterday, based on NFTRH 829’s TA. What could go wrong? It’s silver. A lot could go wrong. But so too, it’s silver… a lot could go right as well, and when silver gets a move on, it can really go.
As to the miners, I don’t think there are a lot of good candidates. That is why I add the metal first. It is the product, it is operationally risk free and it moves well enough without the need for the leverage a miner can provide (both ways). But I will keep an eye on SVM, perhaps HL (also a nice chart in its own right) and maybe one or two others.
It’s all predicated on whether silver plays out bullish as our charts last weekend imply. Just a little perspective gold’s crazy little brother for you this morning.
