SPROTT technical short for the following months...From a technical standpoint there is a high probability that SII (Sprott) will head lower.
-> Buyers seem to be at their peak
SII trade ideas
Sprott Inc.stochRSI bottom - rsi sitting at below 40 in a macro uptrend , within uptrend channel , usually when RSI is 50-60 range on an uptrend it is considered oversold , possibility of posting higher low - risk of hitting bottom of parabola but holding at the .23 - interesting scenarios from this price level - but fundamentals are strong with this, posting gains , larger AUM and dividend increase - most likely will sustain uptrend with the metals asset class as supply and demand has greatly hindered the market especially in metals that are in severe supply shortages
Comparison of Gold prices with Sprott, inc.Sprott, inc. re entry listed on the NYSE and consolidated shares 10:1. This aught to be precursor to an internal capital re-organization where the company will unveil a major business strategy, effectively doubling the size of its business with an increase in revenue. The stock has been a wallflower since inception, though dividend history is without fault.
Considering how the share price lagged the gold price for years a major addition to their overall strategy shoukd double the share price from here, catching up with the gold price.
SPROTT INC - TSX: $SII OTC: $SPOXF Flagging, AgainAfter breaking-out in June and then subsequently digesting that move for several weeks within a Flag pattern, shares of SPROTT INC - TSX:SII OTC:SPOXF are once again in Flag mode having broken to higher ground a week ago and digesting the recent thrust into northern territory as evidenced in the Daily chart above.
In addition, SII currently trades above all of its important moving averages 20/50/200 DMA's, which depicts a healthy technical posture.
Furthermore, when one extends out their timeframes to the Weekly and particularly the Monthly, SII finds itself in excellent technical shape across all durations. A picture of health.
For those who read our work consistently, it's no secret that we remain extremely constructive on the Metals, both Gold and Silver, continuing to believe that we are merely in the very early innings of a re-emerged bull that will likely prove beneficial for the precious metals equities in the weeks/months and years ahead.
Thus, both investors/traders may want to continue to monitor the action of SII in the days/weeks ahead for signs/clues that the stock is ready for another leg higher out of its present Flag.
Nonetheless, while pullbacks can occur and should be expected over the course of time in order to build additional cause/energy within the precious metals space, we believe that SII has potential for significant price appreciation moving forward.
SPROTT INC 'Has Awakened'As mentioned in my previuos post of Sprott Inc, it seemed the stock price was consolidating a long term trough. I suggested that a surge in the stock price for 2018 was likely once Gold showed some bullish momentum. Well, Gold is still trading in a lateral trend, but some Gold mining companies has boomed recently and so Sprott Inc. It seems 'The kraken has awakened' in Sprott Inc. The Target may well be above 5 canadian dollars for 2018.
Good luck fellow traders
