0V56 trade ideas
MAGMAG Silver just took out 2 previous highs in a near vertical ascent and is getting ready to take out the previous major high confirming the longterm uptrend. Buy > 11.29 resistance.
MAGMAG Silver is one of my favorite stocks and one i have a large chunk of my portfolio in. I recently added at the pullback zone near 12 bucks. I've followed their story for years. MAG has been working on the infrastructure for a giant silver mine in mexico for about 10 years now. The pictures of the underground tunnels ( over 20 kms!) built are quite amazing on their website. www.magsilver.com
They are 44% partner on this with the largest silver miner in the world Fresnillo who owns 56%. About 2 weeks ago they were given final approval to start mine construction IMMEDIATELY.... apparently all the equipmant that takes years of leadtime has already been pre-ordered with mine completion and silver production slated for late 2020. Ya think they know something? MAG was up almost 10% on friday. Once we break out the top of 15.50 this baby will be impressive i think. The move up just now was probably overdone so im expecting a pullback so my chart will show red for a while but give it some time. Im guessing here but a IHS with a shoulder near 13 would be a great entry here. best of luck tading!
MAG Going LongMAG has had some very clear and strong support and resistance lines in the past (as shown in chart with blue lines). For the last several months we've seen a retracement (just extending a Fibonacci .618) in the fashion of an Elliott Wave / Channel style. The downward Elliott Wave is now complete at the same time it is bouncing off the bottom of the channel. We could either see another iteration of it bouncing off the top of the channel and back down to the larger .786 Fibonacci retracement, or if it breaks the channel we could expect to see it bounce off of those support/resistance lines to meet (or exceed) the structure high. If that wasn't enough for you, check out the RSI and Stoch RSI indicators; they're telling us to go long too.
