Clive Maund - Tue, Sep 24, 2019

Technical Analyst Profiles a 'Promising Copper & Gold Stock'

Technical analyst Clive Maund charts this copper and gold stock that is exploring a project in British Columbia that he rates an "immediate buy."

Libero's Big Red

Libero Copper and Gold Corp. (LBC:TSX.V:, LBCMF:OTCQB) is looking attractive here. The fundamentals for the company are believed to be positive, and it announced a sizeable gold discovery early this month at Big Red, which caused the price to spike up briefly on huge volume, a move which on its 6-month chart appears to be a premature attempt to break out of what is suspected to be a bull Flag. The overall tenor of this chart is positive, with the price trending higher and moving averages in bullish alignment. The duration of the Flag thus far has allowed time for the earlier overbought condition resulting from the breakout to largely unwind as shown by the MACD indicator and a bullish development in recent days is that the MACD has broken clear above its moving average. It looks about ready to start another upleg, although we may first see a minor dip towards the support at the C$0.14 level.

On the long-term 10-year chart we can see that this stock has a lot of potential from the current low price. It appears to be completing a rather rare "Buttocks Reversal" whose visual appeal is sadly reduced somewhat by the right one being narrower than the left one. Notwithstanding this imperfection, the volume pattern is suggesting that the price is about ready to break out upside, and a break above the resistance at the top of the pattern at approximately $0.20 - C$0.24 should mark the start of a major new bull market in the stock, which will of course be against the background of the unfolding bull market in gold. The Buttocks Reversal is actually the result of a failed breakout from a Cup & Handle base, after which the price slumps back into the base pattern to do more work marking out another Cup & Handle base, and there is considerably less chance of the breakout from the 2nd Cup & Handle base failing than the 1st, giving further grounds for optimism.

Libero Copper & Gold therefore looks like an immediate buy here. Libero trades in reasonable volumes on the US OTC market, where limit orders should always be employed, and of its 56 million shares in issue, only about 15 million are in the float.

Libero Copper & Gold Corp. website, LBC.V, LBCMF on OTC, trading at C$0.165, $0.135 at 11.00 am EDT on 18th September 2019.

Originally posted at on Clive Maund.com at 12.15 pm EDT on 18th September 2019.

Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years' experience in technical analysis and has worked for banks, commodity brokers and stockbrokers in the City of London. He holds a Diploma in Technical Analysis from the UK Society of Technical Analysts.

Disclosure:
1) Clive Maund: I, or members of my immediate household or family, own shares of the following companies mentioned in this article: None. I personally am, or members of my immediate household or family are, paid by the following companies mentioned in this article: None. My company has a financial relationship with the following companies mentioned in this article: None. CliveMaund.com disclosures below. I determined which companies would be included in this article based on my research and understanding of the sector.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click below for important disclosures about sponsor fees. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with Libero Copper and Gold Corp. Within the last six months, an affiliate of Streetwise Reports has disseminated information about the private placement of the following companies mentioned in this article: Libero Copper and Gold Corp.
3) Statements and opinions expressed are the opinions of the author and not of Streetwise Reports or its officers. The author is wholly responsible for the validity of the statements. The author was not paid by Streetwise Reports for this article. Streetwise Reports was not paid by the author to publish or syndicate this article. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy.
4) This article does not constitute investment advice. Each reader is encouraged to consult with his or her individual financial professional and any action a reader takes as a result of information presented here is his or her own responsibility. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. This article is not a solicitation for investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company mentioned on Streetwise Reports.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports (including members of their household) own securities of Libero Copper & Gold, a company mentioned in this article.

Charts provided by the author.

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