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Expert Says Lithium Co. 'An Immediate Speculative Buy'
Contributed Opinion

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Expert Clive Maund takes a look at the 6-month and 2-year charts for Spey Resources Corp., following the completion of a large base pattern, to tell you whether he believes it is a Buy.

Spey Resources Corp. (SPEY:CSE;SPEYF:OTC;2JS:FRA) is a lithium stock that has properties in the lithium triangle in NW Argentina and, in addition, has some gold-silver properties in British Columbia.

Spey Resources’ stock looks like a Buy here following the completion of a large base pattern.

On the 2-year chart, we can see that after spiking dramatically higher in May of last year, an erratic top formed that was followed by a severe bear market into January of this year, after which a large Double Bottom formed with the second low of this bottom that formed in recent months taking the price a little lower than the January low.

Spey Resources is therefore rated an immediate speculative Buy.



It started to break out of this bottom last month, and with the moving averages coming together, the On-balance Volume line having held up well throughout, and momentum (MACD) now positive, the setup looks good.

Now we will proceed to look at recent action in more detail on the 6-month chart.

On the 6-month chart, we can see that Spey broke out of the downtrend into the second low of the Double Bottom last month on strong volume, and since this breakout move, it has run off sideways, forming a bull Flag, an interpretation that is supported by the strong advance in the Accumulation line as this Flag has formed, culminating in the appearance of a bullish “belt hold” candle on good volume on Friday. This is ahead of an announcement after the close that the company has successfully completed sizeable financing at CA$0.175.

So it looks like Spey will break higher soon, probably next week and perhaps on Monday.

Moving averages are swinging into a more bullish alignment and will soon cross if the price breaks out of the Flag into another upleg as expected.

Spey Resources is therefore rated an immediate speculative Buy.

Spey Resources Corp.'s website.

Spey Resources Corp. closed at CA$0.24, $0.17 on September 16, 2022. It is currently trading at CA$0.23.

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The above represents the opinion and analysis of Mr. Maund, based on data available to him, at the time of writing. Mr. Maund's opinions are his own, and are not a recommendation or an offer to buy or sell securities. Mr. Maund is an independent analyst who receives no compensation of any kind from any groups, individuals or corporations mentioned in his reports. As trading and investing in any financial markets may involve serious risk of loss, Mr. Maund recommends that you consult with a qualified investment advisor, one licensed by appropriate regulatory agencies in your legal jurisdiction and do your own due diligence and research when making any kind of a transaction with financial ramifications. Although a qualified and experienced stock market analyst, Clive Maund is not a Registered Securities Advisor. Therefore Mr. Maund's opinions on the market and stocks can only be construed as a solicitation to buy and sell securities when they are subject to the prior approval and endorsement of a Registered Securities Advisor operating in accordance with the appropriate regulations in your area of jurisdiction.

1) Clive Maund: I, or members of my immediate household or family, own securities 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.

2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees. As of the date of this article, an affiliate of Streetwise Reports has a consulting relationship with: Spey Resources Corp. Please click here for more information.

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. 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.

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