Clive Maund bullish on TMM
posted on
Feb 17, 2010 04:35PM
Targeting 2013 annual production of 118,000 ounces of gold
From the Gold Report interview of Feb 17th
TGR: What companies do you feel represent opportunities for growth?
CM: Broadly speaking, the precious metals sector is viewed as providing outstanding growth opportunities. We are likely to see the current bull market end with a spectacular parabolic blow-off move that certainly hasn't happened yet. The complicating factor now is that we may see another deflationary scare similar to 2008 first, which would clearly be ruinous for anyone long the sector. This is why it is considered wise to wait to see if gold can break out upside from its current potential falling wedge pattern before going long. The uranium sector is similar, but we will want to see prices of uranium stocks start to advance away from clearly defined base areas before taking positions.
That said, I believe the chart for Timmins Gold Corp. (TSX.V:TMM) is a positive chart with a broad uptrend and rising 200-day moving average (MA). Nice bull hammer in Timmins last Friday, which has strong underlying support above its 200-day MA. If gold breaks out upside from its current wedge pattern Timmins should take off with it.
Kent Exploration Inc. (TSX.V:KEX) is in a broad uptrend with bullishly aligned moving averages. Bull hammer in Kent last Friday, when it looks like it may have hit a cyclical low. On an upside breakout by gold, it should run up to recent highs at about 24 cents and could carry on somewhat higher.
Evolving Gold (TSX.V:EVG, FSE:EV7) got slammed by a recent share issue and knocked down to a clear and strong support level at about 90 cents at the lows of last October into November. Although still somewhat overhung by this development, it looks like a buy here with a close closing stop beneath the support, say at about 87 cents.
Paramount Gold and Silver Corp. (NYSE/TSX:PZG) appears to have been consolidating since last May forming the handle of a large pan and handle pattern. Moving averages are in bullish alignment and volume pattern is positive, so it should take off on another upleg if gold breaks out upside.
The chart for Pediment Gold Corp. (PEZ:TSX; PEZGF:OTCBB; P5E:FSE) is a favorable picture with the overall trend up and bullishly aligned moving average. The volume pattern is positive and it is no longer overbought after its recent reaction. Should gold break out upside it is in a good position to stage a substantial rally from this point.