Barsele Minerals is looking better than for quite a long time and it is believed to be about to break out from the downtrend that has been in force from last May, as we can see on its latest 1-year chart below. Whilst the price has been stuck in a downtrend since the peak late last May, all the while its Accumulation line has been trending higher, which is a background positive factor that normally leads to a reversal. So it is interesting to see that a potential basing Triangle has been forming in recent weeks that has been accompanied by a significant increase in upside volume. This suggests that it is getting ready to break out into a new bullmarket and the pattern that has formed over the past couple of weeks since the sharp rise on good volume early in February looks very much like a bull Flag, with yesterday’s uptick on strong volume probably the precursor to a breakout.
The conclusion is that Barsele Minerals looks very attractive here for a breakout into a new bullmarket and it is rated an immediate speculative buy. Barsele trades in generally light volumes on the US OTC market where limit orders should be employed.
Barsele Minerals website
Barsele Minerals Corp., BME.V, BRSLF on OTC, closed at C$0.49, $0.37 on 28th February 22.
Posted at 6.30 am EST on 1st March 22.
