Expert Says Silver Mining Stock's Price Is Especially Bullish

Source: Clive Maund 03/26/2024

Technical Analyst Clive Maund reviews Silver X Mining Corp.’s 5-month chart to explain why he believes it is a Strong Buy.

As set out in the last Silver Market update — THE CASE FOR SILVER COULD NOT BE CLEARER.

Silver is on the verge of following gold and breaking out into a major bull market and this bull market will eventually end up being all the greater because it is close to being at a record undervaluation relative to gold.

This being the case, now is considered to be an excellent time to buy many silver stocks since most of them are still grossly undervalued following a prolonged period of being out of favor. A prime example is Silver X Mining Corp. (AGX:TSX.V).

We were rather early, buying Silver X towards the middle of February as it proceeded to drop further to briefly touch CA$0.16 towards the end of February before rebounding strongly. Yet, as we will see in this update, the case for buying it now, at a price a shade below where we first went for it, is a lot stronger for technical reasons than it was back then.

On the latest 5-month chart, we can see that the technical case for buying the stock now is almost as strong as it gets. With respect to the price pattern, it has become clear that a down-sloping Head-and-Shoulders bottom is completing, with the price having just dipped to arrive at what is believed to be the Right Shoulder low.

However, the real story here is the volume pattern, which is exceptionally bullish, for as we can plainly see, there was very heavy upside volume on the rally to complete the right side of the “Head” of the pattern, and this heavy upside volume has continued and even gotten heavier as the price has reacted back to mark out the Right Shoulder low, with the result that, even as the price has dipped, the Accumulation line has screamed higher. Needless to say, this price / volume action is exceptionally bullish and suggests that those buying “know something” and are expecting some positive news or development soon.

Holders should, therefore, stay long and may want to add to positions, and Silver X is rated an Immediate Strong Buy for all timeframes.

Silver X Mining’s website.

Silver X Mining Corp. (AGX:TSX.V) closed at CA$0.19, $0.14 on March 22, 2024.

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Important Disclosures:

1. Silver X Mining Corp. has a consulting relationship with an affiliate of Streetwise Reports, and pays a monthly consulting fee between US$8,000 and US$20,000.
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Silver X Mining Corp.
3. Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
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Clivemaund.com Disclosures

The above represents the opinion and analysis of Mr. Maund, based on data available to him, at the time of writing. Mr. Maund’s opinions are his own, and are not a recommendation or an offer to buy or sell securities. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund’s opinions on the market and stocks cannot be only be construed as a recommendation or solicitation to buy and sell securities.

( Companies Mentioned: AGX:TSX.V, )