With gold prices surging past $1,600 in April the bullish case for gold has increased to a fever pitch. Historically speaking, during times like these, some of the top names to watch are gold penny stocks. At the beginning of April, we issued our very first “Penny Stock Alert” on one junior gold exploration company, IMC International Mining (OTC:IMIMF) (CSE:IMCX) and since then, we’ve seen this company execute on major milestones:
- Apr. 2: IMC International Completes Multi-Million Dollar Acquisition of Thane Minerals & Its Cathedral Property
- Apr. 6: IMC International Begins Geochemical Program & Engages CME Consultants Inc.
- Apr. 13: IMC International Begins Analytical Geochemical Program & Sends Rock and Soil Samples for Lab Testing
This appears to be just the tip of the iceberg for IMC International. If you listened to the last corporate conference call, CEO Brian Thurston, Chairman Greg Hawkins, and CME’s Chris Naas all were in agreement that the newly acquired Thane Minerals’ property, Cathedral could be in a prime location suited for gold discovery.
Location, Location, Location
Thane’s property is located in the Quesnel Terrane between two already established mines that have produced a significant amount of gold and other metals. But the fact that Thane’s property is untouched gives IMC International Mining (OTC:IMIMF) (CSE:IMCX) a true, first-mover advantage to literally strike gold first.
As Chairman Greg Hawkins explained on a conference call, the eyeballs are there (in Quesnel) and now they just need to show what’s hiding in the ground. Right now the mining industry is red-hot with strategic deals. In the same area as Cathedral, the Mt. Milligan property is now part of a huge deal with one of the leading streaming companies in the industry, Royal Gold (RGLD). Between Royal Gold and Centerra, which owns the Mt Milligan property, the companies have established a sizable deal.
Rider: It is noted that the results of nearby or adjacent properties are not necessarily indicative of the potential of the Cathedral property and should not be understood or interpreted to mean that similar results will be obtained from the Cathedral property.
What’s more is that the company’s new Technical Advisory Board appointee, Jeffrey Reeder, B.Sc., P.Geo., has worked almost exclusively throughout BC and the Yukon on copper-gold porphyry deposits such as Mt. Milligan and South Kemess.
The location of Cathedral, the Quesnel Terrane is definitely exciting. Considering that Quesnel hosts past and planned production, you could see why IMC International Mining (OTC:IMIMF) (CSE:IMCX) has targeted this region. But what could be even more exciting is if the company’s samples come back with good results showing the potential of the property, specifically.
Rider: It is noted that the results of nearby or adjacent properties are not necessarily indicative of the potential of the Cathedral property and should not be understood or interpreted to mean that similar results will be obtained from the Cathedral property.
Best Penny Stocks To Watch: IMC International Mining
While the market waits for results, IMC International Mining (OTC:IMIMF) (CSE:IMCX) has wasted no time preparing for the next phases. It’s positioned itself to secure millions in cash to conduct its exploration programs. Where some updates on financing may see some negative sentiment, this latest news did the opposite.
Combined with the major progress already being made, IMC International stock reached record highs on Monday. In Canada, IMCX Hit $1.00CAD marking a run of 110.% since our alert was released. IMIMF in the US reached highs of $0.72USD, up from $0.36 when it was first alerted; up 100% so far.
But it’s also important to note that IMC International has made this extended move. Early during the month, we saw the first signs of some profit taking that saw IMIMF pull back to $0.40USD. This level seemed like it could have been an important area of potential resistance/support. What I mean by this is that before IMIMF broke higher, it had a tough time pushing above $0.40 area. On April 8th, IMIMF pulled back to $0.40 but didn’t break below it showing it could have been a potential resistance level, turned into support.
Furthermore, after testing support, IMIMF ended up bouncing back 17% that day and then continued even higher during the sessions to follow. While gold prices have pulled back a bit, it’s worth noting the big jump that IMC International has seen but it is also important to be aware of the general market as well.
The Next Move For Gold
*UPDATED 4-21-2020* During the early session on April 21, we saw IMC International noticeably pullback for the second time in April. This time it was to the $0.45 area on IMIMF. What’s interesting is that if you look back to earlier in the year the range between $0.45-$0.50 was the top end of previous resistance. It was also an area where IMIMF bounced around for a few days earlier this month before continuing on its historic run:
As we’ve said previously, for those looking at IMIMF as it has rallied, the next point of focus again is where does the profit-taking end and the next move begin? Too many times, I’m sure, you’ve seen penny stocks run and then drop without any type of bounce at all. It’s definitely one of the fears that penny stock traders have. In our case, however, it would appear that right now, IMIMF’s previous resistance around $0.45-$0.50 may have just become another level of potential support after seeing a near 30% bounce back by 10:30 AM EST.
Could this be a “right place, right time” scenario? You be the judge
But what we can say is the following. Unlike many of the “alerts” you’re probably used to, ours are a bit different. We like to alert companies that could have real potential. IMC International Mining (OTC:IMIMF)(CSE:IMCX) is a junior exploration company that has quite literally just completed a multi-million dollar acquisition of a company, Thane Minerals, and its Cathedral Property. When it comes to mining and gold stocks, the real excitement comes as new findings are reported on, during phases of exploration and drilling. What’s more? Even in its early stages, IMC International is positioning itself in 2020:
- The global economic situation is supportive of a bullish gold market & gold prices are soaring
- During times of gold rallies, gold penny stocks tend to outperform the rest of the sector
- IMC International Mining (OTC:IMIMF) (CSE:IMCX) has just completed its multi-million dollar Thane Minerals acquisition
- IMC International Mining (OTC:IMIMF) (CSE:IMCX) is now awaiting results from over 460 samples submitted for lab testing
- New Chairman, Greg Hawkins doesn’t put his stamp of approval on just any property. Not only does he have decades of experience, but he has also built companies that were part of at least 4 major mining company acquisitions that were collectively worth more than $2 billion in deal size.
We were asked for a stock alert and so far IMC International continues to reach new milestones. What’s next?
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