Stealth junior mining stock rally in the worksFinally, shares of Canaco Resources (TSX: V.CAN, Stock Forum) are coming to life one full week after the Tanzania prospector unveiled what appear to be spectacular grades at Magambazi: 55-plus meters and 30 meters of better than three grams gold. Andy Smith’s Canaco Resources is a well-financed $700 million company whose shares are about 40 percent off their March-April high points.
The Canaco shares also are reflecting investor interest in its Tanzania copper and gold property. I will be seeing that property and Magambazi in Tanzania at the weekend and into next week. Canaco is “spinning” its entire interest in the 70 percent-owned Tanzania property to shareholders of record June 28.
Not everyone is jumping up and down like I am. David Banister, a New England stock chartist with a better-than-average forecasting record, says Tuesday that Canada-traded prospectors and miners “are quite bearish, though near a 5-wave low and will bounce soon ... the juniors are in some trouble.”
https://www.stockhouse.com/Columnists/2011/Jun/14/Stealth-junior-mining-stock-rally-in-the-works