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Sirs Highroller and Kewl2,
Sometime back the below was shared on Sokoman. It has hit a new 52-week high today, more than doubling for my tiny stake in this one.
I never got a chance to do even a 5% cost average down on this one.
Again, I wish I had bought more 🙂
Where do you see this one heading?
04/14/2021 15:56:19 Bought SICNF @ 0.2927
Thanks in advance
GL
All depends on the gold price and drill results. I don’t have a clue into the future price and do not sit and hope for a target , the chart will do whatever with or without me so I rely on the indicators and move my stops up accordingly is all one can really do. 15 minute time frame will show some levels.Getting in late to the party is hard , perhaps sell half and let it ride with a stop in place and go hunt for another ride, Armstrong figures gold may turn south for a couple of months, back test to below would be normal for the course
https://www.tradingview.com/x/BUDh2zGS/
another idea
https://www.tradingview.com/x/OBNzOORX/
I have a slightly different view but I suspect you know this intuitively already.
First Sokoman is part of the “Junior Mining Industry (JMI)” so the MOST important criteria is whether mgmt is “honest, morally sound and has the best interests of ALL shareholders at heart.
Second is that the JMI price moves are based primarily on drill results, drill results and drill results. As long mgmt has integrity than drill results are what will make or break a share price.
Technical analysis is “almost” irrelevant as a REALLY good drill hole can send the share price soaring and vice versa. The rule of thumb is it takes 10 years from discovery to then build a mine and most JMI’s are searching for a discovery. So while the price of gold today influences interest in the sector the lead time to gold actually being produced is far beyond the capability to forecast POG in 10 years time.
IMO – Sokoman has a well respected president (Tim Froude – 30 years experience – credited with major Newfoundland discoveries already – Explorer of the Year 2019 etc etc etc – seems like a decent fellow)
Drill Results have been outstanding both in width and grade and a solid resource outlined — particularly when considering that only ~200 drill holes (probably less) have been completed at Moosehead so far.
Sokoman has also raised ~$15M (cash on hand) to fund a very ambitious drill program for the remainder of 2021 — so there should be a steady flow of press releases over the next 6 months as the assay lab catches up to the workload and the ore body gets drilled out from a size perspective. This phase could take years OR they could hit the motherlode tomorrow OR it could turn out to be uneconomical –> all will be determined by the drill bit.
Lastly — I would add that Newfoundland is turning into the 2021 version of the late 1800’s Klondike Gold Rush.
Drill results at Sokoman and New Found Gold (in particular) have been stellar and bonanza grade. There is considerable speculation of this turning into a Fosterville style Gold Zone which is currently the richest gold mine in the world (Australia). This is important as speculative interest is high.
So where is this headed — the two companies with high grade drill results to date are NFG and SIC. There land packages are relatively side by side but different in size & on different trends that show similar characteristics. NFG share price has risen from $1.4 to $13.40 in 12 months. NFG funded much earlier than SIC and have already spent many millions on drill holes with some bonanza grade assays. SIC share price has risen from $.11 to $.75 in 12 months on much lower drill volume but also with bonanza grade assays but only now are they about to ramp up the drilling (requires funding) that will see whether they can find NFG equivalent, motherlode or barren assays.
Every investor has different objectives. Someday I hope to have one of my high risk companies go from $.10 to $10 before the wheelers and dealers have a chance to steal it out from under me. Maybe SIC will be that ticket — imo it’s too early to tell!
Hope that helps!
Many thanks for both your replies Sirs Highroller and Kewl2.
Let me digest/process this info on Sokoman and get back to you with any further questions.
Best regards,
GL