Expert Says Gold Co. Has Potential for Big Percentage Gains From Current Low Price

Source: Clive Maund 11/25/2024

Technical Analyst Clive Maund explains why he believes White Gold Corp. (WGO:TSX.V; WHGOF:OTCQX; 29W:FRA) is a Strong Speculative Buy,

I am going to hit you with some simple logic this Sunday. If Mr. Bob Moriarty of 321gold.com considers White Gold Corp. (WGO:TSX.V; WHGOF:OTCQX; 29W:FRA) to be a “no brainer” at a price of CA$0.25, which he does, then I consider it to be even more of a no brainer at CA$0.21.

The technical case for buying White Gold here is straightforward. On its long-term 11-year chart, we can see that after its 2017 peak above CA$2.30, it went into a severe bear market that erased most of its value by the time it hit bottom late last year. It lost more than 90% of its value at its peak, yet, as Mr. Moriarty states, the company has made progress toward its goals even as the stock price has continued to fall.

This kind of malaise has afflicted many junior mining stocks in a similar manner during this period, and it is clear from their current prices that there is no speculative froth at all in this sector, which, given that the major bull market in gold that is well underway looks set to continue, means that they have huge upside potential from here which is not diminished by the new bout of crypto mania unleashed by Trump one of whose jobs is to seduce the investing public into heavy involvement in cryptos the better to prepare them for the CBDC rollout that they will later by corralled into (we will ride this crypto boom too).

Zooming in now via a 3-year chart we can see that White Gold very likely hit a final low about a year ago at CA$0.20, this contention being supported by the preponderance of upside volume since that time that has caused the Accumulation line to trend higher, a positive sign.

On the 1-year chart, we can see that sector weakness this month has driven the price down close to the bottom of the broad trading range that has formed over the past year. Whilst we cannot entirely rule out it dropping to new lows below CA$0.20 on further sector weakness short-term, it is considered unlikely, and if it does, it is likely to be a false move or fakeout, given the overall positive volume pattern and Accumulation line over the past year.

Thus, it is viewed as a buy here, and if it should dip a little further, it will be seen as an opportunity to add to positions. There is the potential for big percentage gains from the current low price.

The conclusion is that White Gold is a Strong Speculative Buy here, especially on any further short-term weakness.

White Gold website

White Gold Corp. (WGO:TSX.V; WHGOF:OTCQX; 29W:FRA) closed for trading at CA$0.215, US$0.1607 on November 22, 2024

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1. Clive Maund: I determined which companies would be included in this article based on my research and understanding of the sector.
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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 construed as a recommendation or solicitation to buy and sell securities.

( Companies Mentioned: WGO:TSX.V; WHGOF:OTCQX; 29W:FRA, )

Source: https://www.streetwisereports.com/article/2024/11/25/expert-says-gold-co-has-potential-for-big-percentage-gains-from-current-low-price.html