Gallery Resources (Alberta GYR) Message Board

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Gallery Resources (Alberta GYR)

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next

To: Cal Coish who wrote (1218)	4/29/1998 9:43:00 PM
From: Stephen Morley	Read Replies (1) of 1829

Technically this stock is beginning to look a little more interesting. Using channel analysis we have been in an upward channel since mid December when GYR double bottomed at $.20. The top of the channel is about $.44 and the bottom at $.32. These are approximations, they will change daily and depend in part on the thickness of your pencil. Using fibonacci retracement analysis the recent range has been .95 (10/20/97) and .20 (12/17/97). A 38.2% retracement of this .75 range gives us a first target of .49. The 50% retracement level would be .58. Another tool in my technical toolbox is Money Flow analysis, which helps to quantify the amount of money flowing in or out of a stock over a specific period. As prices rise money flow is usually positive and visa versa. A divergence is sometimes a signal of a future price change. For example the money flow in GYR turned negative around 9/19/97 while prices continued to rise prior to the peak of 10/20/97. This proved to be an early warning sign. Similarly money flow bottomed in late October 97 well before prices bottomed in December at 20 cents. After a small rally it has basically been going sideways since then, albeit with a slight upward bias. In short, money that came out of the stock last fall hasn't returned. It would take perhaps several weeks of much heavier volume and increasing prices to replace these funds. Joe Granville's OBV analysis is an alternate yet, less exact measure of this money flow. Technically things are interesting. Remember, this is still a VB drill hole situation. The shares appear to be tightly held and controlled. I would look for channel breakouts and/or a lot of money flowing in before I get too excited. As was suggested in a previous post, this spring could be an interesting time for well-positioned Voisey's Bay stocks. Check a chart of the past two years to see how rapidly this stock can appreciate or depreciate in a short period of time. Trade the ranges...the insiders do. These are my views only and subject to change. In no way are they a recommendation to buy or sell this or any other stock. They are made to promote discussion and add a technical backdrop to a predominately fundamental and rumor driven forum. Trade (speculate) using whatever method or disciple makes most sense to you. Do your own work. Remember luck is always part of the process and makes a lot of average people seem intelligent. /sm

Report TOU Violation

Share This Post

Public Reply Prvt Reply Mark as Last Read File

Previous 10 Next 10 Previous Next