Week In Review From BULL MARKET RUN
Currie Rose Resources (CUI, TSX-V)
Currie Rose gained 1.5 cents this past week to close at 37.5 cents on total CDNX volume of nearly 7 million shares…CUI continues to look very strong technically…overbought conditions last month have receded and all the stock’s moving averages are in bullish alignment…the rising 20-day SMA at 32 cents provides exceptional support…this is a really nice picture that suggests the outlook for this company is extremely positive…John will be updating the CUI chart over the weekend…again, we can’t stress enough how important volume is an indicator…this stock has been around for some 40 years and the record all-time trading volume we’ve seen in CUI over the last few months is a hugely bullish sign…we first mentioned CUI to our readers nearly 3 months ago when it was sitting at a dime…we added it to the BMR Portfolio at 16 cents in late October…what’s driving this interest in Currie Rose is a growing appreciation of the company’s potential in Tanzania where it is focusing on 2 major projects (Mabale Hills and Sekenke), approximately 200 kilometres apart, in the prolific Lake Victoria Greenstone Belt…with the Sisu River Gold Property, which is part of the Mabale Hills Project, investors are looking for a possible repeat of Currie Rose’s early success in 2005 just 8 kilometres to the southwest at Mwamazengo…14 holes totaling nearly 1,500 metres were completed through mid-November at Sisu River and initial assay results are expected soon….the company reported that “good source rocks have been intersected beneath the ‘mbuga’ clays”…we can’t help but think a discovery could be in the making here, perhaps similar to what occurred at Mwamazengo…the drill program at Sisu River is focusing on an area that has returned excellent sampling results and where artisanal miners made a discovery in the fall of last year…the quartz porphyry target at Sisu River is hosted within felsic volcanic rocks, generally considered to be favorable hosts for Gold in greenstone belts around the world…in mid-November Currie Rose also gave more details on its Sekenke Gold Project which is 200 kilometres southeast of Mabale Hills…we are extremely bullish on this major land package as it runs in between and surrounds 2 former producing high grade mines…the company has already identified a large structure (12 km by 800 metres) within a shear zone on the margins of a large granite intrusion that hosts numerous vertical quartz reefs of the same type that developed at the nearby former mines…Currie Rose is ready to initiate significant pre-drilling work (high resolution satellite imagery, geophysics, etc.) at Sekenke in order to prioritize drill targets for the spring…the former high grade Sekenke mine was one of Tanzania’s original Gold producers and a significant one but it’s quite possible they missed the main deposit which could actually be on the ground that Currie Rose holds…