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May 10 - Solid Play Alert
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We see some things happening with the Technicals of two stocks, which we couldn't help but bring to your attention, even though it may be early in the phase.
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V.GGL - GERLE GOLD
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This is primarily a North West Territories diamond play. This stock has flirted with over $ 3.50 in the past, and has proved to be quite tradable. That is, it has a tendency to sink fast, simmer, and then move in surges with little warning except our indicators.!!!!)
On April 24th last year (about this time) GGL sat at $ 1.42.
The next day it closed at $ 1.95 and by May 2nd had hit $ 3.50 intra-day.
For the rest of May it never traded below $ 2.40...closing the month on a high note at $ 3.60. Some of this came in the wake of a John Kaiser recommendation, but much of it had to do with a claim dispute which continues to hold uncertainty for this stock.
What they are anticipating is a decision -- a governmental ruling called a Section 84 -- which will decide the fate of one of their best prospective targets.
They have already announced that their drilling program will be commencing. In this announcement they indicated that there would NOT be frequent updates on a hole by hole basis, but that there would be one composite announcement on the results of the whole program.
GGL is extremely oversold, having seen $2.00 as recently as March 11th. The early MACD flashed a "Heads Up" 22 trading days ago, when the stock was at $ 1.20. The Force Index turned briefly positive a few days ago, and with one more up day, will be showing a high probability of a trend reversal in the making.
The Primary MACD which Solid Play uses suggested that "accumulation" begin April 18th (at $1.15), and is very near showing a "confirmation" crossover into positive trending territory.
GGL closed up 10 cents to $ 1.20 on Friday. Solid Play feels that a good day either Monday or Tuesday could very well indicate that a short-term run is in the cards.
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V.IGT - IGT Pharma
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IGT doubled in price between Feb 24th (50 cents) and March 11th (1.08 close), on news that pre-clinical tests on an anti-cancer agent showed extremely positive results.
The company should be announcing Phase I clinical trial details in the future and are likely putting financing scenarios in place.
The stock seems to be gaining a following in the brokerage and newsletter community. Compared to other similarly situated pharmaceutical research companies, IGT's market cap is puny. At about $ 10 million, some have suggested that they have lots of room to grow in value, since other companies with the same fundamentals are valued at $ 50 to $ 90 million.
The stock price for IGT may not double again until a solid announcement is out; then again, we're hearing that another analyst will be giving a BUY on IGT fairly soon.
IGT closed up on Friday at $ 1.09, which seems a bargain since $ 1.25 has been the upside resistance recently. Solid Play sees this as an excellent entry point, even for short-term traders, but especially for anyone willing to ride out the summer looking for $ 2.20 and higher.
Trade well, Solid Play
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May 9th - Brief Update
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As Solid Play had provided its Selections to the LeRoy Stockman forum on April 21st, yesterday we provided an update to that forum.
Here it is:
'LeRoy
I deeply regret not getting an update to your forum sooner; I had planned on
updating 2 or 3 days ago and consequently your followers probably lost a good opportunity to review Star Data (T.STY) at low prices.
Nonetheless, here is what I have.
T.STY.... Brought to light by Solid Play at $5.30 to $5.50, STY recently announced a deal and after 4 or 5 days of seemingly no reaction, it has started a move.
STY closed May 7th at $ 5.85 which was up 25 cents...and today at mid-day (8th) it is a Solid $6.50.
It is in a strong uptrend with the MACD having crossed to positive a few days ago, signalling a confirmation of the crossover which occurred in oversold territory when we brought it to your attention April 21st.
V.DBA....this telecom company has just announced another deal as well, and the stock has jumped to 35 cents several times.
Trouble is, it has been unable to sustain the gains, continually receding to 31 cents.
The volume has been strong on the upticks, yet it is bothersome to see the close prices consistently show little gains on these days. For this reason, the Force Index has showed bearishness for the 7 days leading up to yesterday. It did, however, turn bullish as of today.
We might be a few weeks away from the move we are anticipating, but we hear that DBA management has hopes of 60 to 90 cents in the relatively near future.
V.GMO....Goldminco was suggested at $1.00 and quickly pulled back to 85 cents.
The technicals are still all in place and the company announced that drilling has resumed at Alice River. This one could pop at any moment.'
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