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Timmins Gold TGD Nears Buy Price Trigger

Timmins Gold TGD finished the day at $2.43, only $0.03 below its 21-day exponential moving price average of $2.46.

TGD 1-year stock price chart follows:

Timmins Gold TGD 1-year stock price chart

Timmins Gold TGD nears buy price trigger

As you can see from 21-day detrended price oscillator chart, TGD has been below the bottom of the channel, indicating an oversold condition.

The last time this occurred, TGD went from $2.06 to over $3.00 before hitting the sell trigger at $2.63.

Expect overhead price resistance at a little over the $3.00 mark.

Disclaimer: The above is for informational purposes only. This should not be considered investment advice. Any investment decisions are your own and should be made after conducting your own independent research and / or in consultation with a professional investment advisor.

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Bought McEwen Mining MUX Today

This past Friday, McEwen Mining MUX, hit my buy trigger. Today, I purchased shares at $4.45. MUX closed out the day at $4.52.

MUX Chart

MUX data by YCharts

Thus far, I have liked the way the MUX charts are shaping up.

McEwen Mining MUX 4-2-12

So far, I like the way this MUX chart looks

The 21-day exponential moving price average is currently $4.43. At the bottom of the chart above, the detrended price oscillator has just re-entered the channel. If the yellow line is below the channel, the stock is oversold, above the channel it is overbought.

Pulling out to the MUX 5-year chart provides interesting and useful perspective.

McEwen Mining MUX 5-year chart

McEwen Mining MUX is in a long-term price uptrend

As you can see from the detrended price oscillator MUX was wildly overbought for an extended period of time, but more recently re-entered the channel.

MUX is in a long-term price uptrend. With one exception, the price has stayed with the Andrew’s Pitchfork.

There is fairly strong overhead resistance at the $6.00 level, and again around $7.50.

My plan is to sell this stock once it drops below the 21-day detrended moving price average. Should I change my mind, which I doubt, I will post an update.

Given the resilience in gold and silver prices, the relative under-performance of junior mining stocks to  the price of silver and gold, and the general poor state of the world economy, I would think that eventually MUX and other junior mining stocks would get a nice bounce.

Disclaimer: The above is for informational purposes only. This should not be considered investment advice. Any investment decisions are your own and should be made after conducting your own independent research and / or in consultation with a professional investment advisor.