HL, Hecla

Hamilton

Hecla is one such silver stock that we have previously mentioned. Back in January we even suggested this was a good, but risky, buy at about $4 for a target of about $7, potentially a 75% gain. Below is what has transpired so far;

hl sept 2012

HL has a tendency to do very nice wedges and then reverse. Here the wedge is quite visible even if it is debatable in strict EW terms if it actually is one. The a-b-c rise from the lows is plain vanilla text-book stuff. It looks more or less complete with the a-b-c structure having traced out a pretty symmetric pattern with c equal to a. Of course this could still become more complex but, in the event you did buy on the recommendation we would sell now and take the roughly 50% profit. Notice that the RSI is already well into overbought territory.

TRQ update

Hamilton

trq sept 2012

See also previous blogs. We got to $7.72 right at the end of August. Timing seems to fit nicely but the low was a little shy of the “ideal” Fibo $7.08 but still close to a number of other targets. With a little imagination a 5 wave sequence can be counted so our guess is that the rally has started. Remember this stock comes from $29 so it went down at least $21. A normal, minimal retracement would be about 1/3 or $7.

INTC update

Hamilton

According to our friends at the G&M this stock was going to go to $37, provided it did not trade below $24,50 (see previous blog). Well it did and it also lowered expectations. We would continue to look for $17 rather than $37.

intc sept 2012

This should be the start of a third wave.