August 8th, 2019

Dear Valued Readers,

Welcome to all the new subscribers!

 

In our last newsletter we pointed you to Sam Thompson's ABCDE [ chart ] for the DJIND.

If you go to his chart again and click the load new bars icon (white circle with a blue triangle in it), it will show how accurate his prediction was!  

 

The US Federal reserve cut interest rates by the predicted .25% last Wednesday. The Dow Jones started to sell off and is still going lower. Yesterday's low was 25,440.39  which is almost 2,000 points lower than July's high of 27,398.68. Will the slide continue?

 

WTI oil has dropped about $8 a barrel in the last 5 days.....  

 

Gold Gold Gold! Gold broke $1500 USD/oz yesterday and is running hard. When speculators buy in, the commodity sometimes runs well beyond what people think is possible. Look at what happened to bitcoin (running to $20,000 per coin in December of 2017). Hold on tight because the next resistance is in the $1533 area, then $1790, then all time highs of $1920. How high will it go this year? My Gold Chart from yesterday: [ chart ]

 

At the very bottom of the newsletter I'll introduce a new speculative stock that I have on my watch list and own.

 

Subscribe to MTN Platinum ---> [ Here ]

Editorial Comments:

 

Three weeks ago I presented some research on  Osisko Gold - Symbol: OSK TSX and Bonterra Resources - Symbol: BTR TSX-Venture.

 

Osisko [ July 4th, 2019 PDF Presentation ] was at $3.27 a share (last newsletter) and has since hit a new 52 week high of $3.90, closed yesteday at $3.63. Quite a pop! When gold surges, Osisko surges, and a proficient trader could trade the .40-.50 swings in this stock. 
In my opinion Osisko has a shot at being a takeover candidate or at least breaking their all time high of $5.65 if all or some of these things happen:

1) Gold continues its strength and works its way up to $1550++

2) Osisko keeps proving up more oz, adding to its multi-million oz deposit

3) Osisko buys Bonterra to add to the oz

4) Osisko then becomes an attractive takeout target (needs to prove 5 to 7 million oz+)

 

Bonterra [ Bonterra Web Site ]  [ MAP ] was at $2.62 three weeks ago and closed yesterday at $2.40.

 

Recent News:

July 22nd: Bonterra drills three meters of 18.5 g/t Gold at Gladiator

July 26th: Bonterra arranges $27 Million financing

August 6th: Bonterra ups private placement to $31.96 Million

 

People are getting positioned and Bonterra has lots of $$ now (so much interest they raised more than expected). In my opinion it gets bought.
Question is when? What is Bonterra's plan? Drill, drill, drill? Or maybe consolidate some of the smaller players in the area???

 

June 20th:

 

Globe says Carew recommends accumulating Osisko Mining

2019-06-20 07:32 ET - In the News

The Globe and Mail reports in its Thursday, June 20, edition that Haywood Securities analyst Mick Carew says Osisko Mining's Windfall Lake property may prove to be much larger than previously thought. The Globe's David Leeder writes in the Eye On Equities column that Mr. Carew recommends accumulating shares of Osisko at current levels. He rates the shares "buy" with a $4.50 share target. Analysts on average target the shares at $4.06. Mr. Carew says in a note: "Expansion potential at Windfall exists in all directions both within, adjacent to and well beyond the current resource envelopes. ... Not only does Osisko own what is fast developing into a Tier 1 gold project, the Company is also aided by a safe/mining-friendly jurisdiction, proven management team, attractive capital structure and $70-million in cash. We expect Osisko will garner significant attention when market conditions turn, and gold producers start looking downstream at development-stage projects to bolster their production pipelines. Our bullish view on Osisko is predicated on a proven management and technical team advancing a unique gold deposit in the Abitibi that has all the characteristics of a multi-million-ounce, Tier 1 gold producer."

 

Durango ( DGO TSX-Venture )  [ I own some of it ]

41.6M shares out. Currently at .07.

The stock traded over 300,000 shares yesterday which is a bit of a spike.  I'm mentioning it now because I think their 100% owned Trove property, that they are going to drill soon, may come into play. 

 

The Trove property is situated in line with Osisko's drilling of their Black Dog target.

2016/2017 Black Dog Results  included:

 

December 6th, 2016: 
This new hole intersected 6.14 g/t Au and 34.1 g/t Ag over 14.4 metres, including 15.6 g/t Au and 93.5 g/t Ag over 2.8 metres in a mineralized tourmaline breccia containing 2-15% coarse pyrite and 10% chalcopyrite.  This intersection is part of a wider intercept that averaged 3.42 g/t Au and 23.2 g/t Ag over the entire intersected length of 32.1 metres.  Significant results from the two drill holes are presented in the table below.  DDH OSK-BD-16-001 was collared 600 metres to the SW of OSK-BD-16-002 and intersected 5.76 g/t Au and 34.8 g/t Ag over 0.9 metres in a tourmaline breccia. 

 

January 18, 2017: 

• New intercept in OSK-BD-16-006 averaged 3.90 g/t Au over 6.3 metres, 650 metres east of the discovery hole
• New intercept OSK-BD-16-011 averaged 5.69 g/t Au, 47.5 g/t Ag, 1.87 % Cu over 2.7 metres 50 metres west of the discovery hole.

 

So there is gold at Black Dog. Durango's property is several km to the South.

Here is a good map from 2017 of the property locations, just remember that Beaufield is now owned by Osisko. [ Map ] Durango is very dark blue on the map.

 

So the Durango drill program will tell the story, does the structure continue? Stay tuned and watch the DGO ticker!

 

Do your own research!

 

More stocks and more commentary in our next newsletter!

 

Treat this section as a very opinionated BLOG.
I do not provide trading advice and you should do your own research.

DISCLAIMER:

Our sponsoring company has paid for an advertising package with Market Trend News.
Market Trend News may or may not have a share position in the company being featured.