Source: Clive Maund for Streetwise Reports   05/04/2020

Notwithstanding the Fed's seemingly limitless ability to create money to throw at the stock market, which has caused it to rally in recent weeks in the face of a dead economy and apocalyptic jobs data and earnings, etc., all the charts we are going to look at here point to another severe downleg soon.

My attention was drawn to a bearish Rising Wedge completing in the London FTSE index by a colleague in England. So I took a look at it, and sure enough it is. So, I thought I'd take a look at a couple of other European indices, the CAC 40 in France and the German DAX Composite, which showed a very similar picture. Their charts are shown below and as you will see, they are both very bearish, and point to a break lower soon leading to a severe decline.

You will recall that we were thrown somewhat a week or two ago, when the main U.S. indices, the Dow Jones Industrials and the S&P500 index, broke down from their bearish Rising Wedges but then didn't follow through, and instead rose to new highs for the rally from the March lows, which caused us to dump our Puts and then bide our time to see what transpired. The sharp drop at the end of the month—this past Friday—jolted me into action and prompted me to hunt around in a quest for greater clarity regarding what is going on, and it has turned out to be a rewarding search.

While it's not exactly clear what is going on with the main U.S. indices, the picture becomes much clearer when we look at the broader but much less used Wilshire 5000 index. Take a look at this first of all—it's a 5-month chart for the Wilshire 5000 that reveals that it didn't break down from its Rising Wedge about 10 days ago, unlike the Dow Industrials and the S&P500 index, but it did last Friday, which happened to be the end of the month, by a significant margin. This is regarded as an ominous development that probably marks the start of the second major downleg of this bear market. We can also see that the countertrend rally got stopped by the important resistance level shown.

Now take a look at this. The following chart shows that the breakdown from the Wedge happened just two days after the Wilshire 5000 had arrived at an upper range Fibonacci target at a retracement level of 61.8% of the preceding first leg down of the bear market. This is normally as far as a retracement following the first leg down of a bear market gets, and the same happened following the Tech bubble peak in 2000 and the start of the 2007–2008 meltdown.

If we now compare the Wilshire charts above with the S&P500 index chart we realize that the breakdown by the latter about 10 days ago was a false breakdown, inasmuch as, as we have just seen, the Wilshire did not break down at that time.

If we see another heavy drop in the broad stock market shortly, it is of course reasonable to presume that it will coincide with a strong rally in the dollar, so how does that look now? On the following 5-month chart for the dollar index, which has the S&P500 index placed above and gold below for direct comparison, there are several very important points to observe. The first is that when the market tanked into mid-March, the dollar soared just as we would expect it to and as happened in 2008. Then it dropped back sharply later in March as the market rebounded, but it has since been tracking sideways in a trading range marking time as the stock market continued to ascend to complete its relief rally. Right now it is at the support at the bottom of this range where a doji candle formed on Friday suggesting that it is about to start higher again. If the market now proceeds to tank in a second major downwave then we can expect the dollar to soar again, bust out of the top of the current range and probably exceed its mid-March highs.

If the dollar soars then commodities are likely to take another broadside, just as in the first half of March, and just as in 2008, and gold and silver are unlikely to be spared—the Gold Miners Bullish Percent Index is now at an extreme reading of 92% bullish. Copper in particular looks like it will get crushed by another downwave that should take it to new bear market lows by a wide margin.

Originally posted on CliveMaund.com at 4.35 pm EDT on 2nd May 2020.

Clive Maund has been president of www.clivemaund.com, a successful resource sector website, since its inception in 2003. He has 30 years' experience in technical analysis and has worked for banks, commodity brokers and stockbrokers in the City of London. He holds a Diploma in Technical Analysis from the UK Society of Technical Analysts.

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1) Statements and opinions expressed are the opinions of Clive Maund and not of Streetwise Reports or its officers. Clive Maund is wholly responsible for the validity of the statements. Streetwise Reports was not involved in any aspect of the article preparation. Clive Maund was not paid by Streetwise Reports LLC for this article. Streetwise Reports was not paid by the author to publish or syndicate this article.
2) 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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Charts provided by the author.

CliveMaund.com Disclosure:
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.

Source: Streetwise Reports   05/05/2020

For the last several summer drill seasons, most of Aben Resources Ltd.'s (ABN:TSX.V; ABNAF:OTCQB) attention has centered on its 23,000-hectare Forrest Kerr Gold Project, located in northern British Columbia, in the heart of the Golden Triangle.

Some of Canada's greatest mines, such as Premier, Snip and Eskay Creek, have been found on the Golden Triangle, located just inland from the Alaska Panhandle. Other significant and well-known deposits located within the Triangle include Brucejack, Galore Creek, Copper Canyon, Schaft Creek, KSM, Granduc and Red Chris.

In recent years, the Golden Triangle area has attracted lots of new exploration as infrastructure improvements, such as roads and power lines, have made access easier.

Aben's drills at Forrest Kerr at the end of the 2017 season discovered the North Boundary Zone, where values as high as 21.5 g/t gold, 28.5 g/t silver and 3.1% copper over 6 meters were unearthed. The following year drilling uncovered multiple high-grade gold zones at shallow depths in the zone, including an interval of 62.4 g/t Au over 6.0m starting at 114 meters downhole, establishing the continuity of the North Boundary Zone. Drilling also found the South Boundary Zone, located 1.5 kilometers from the North Boundary Zone, where assays showed "broad horizons of low-grade gold mineralization punctuated by intermittent intercepts of moderate to high-grade gold-silver-copper-zinc values."

For the 2019 exploration season, in nearly 10,000 meters of drilling that wrapped up on October-November 2019, Aben focused on the area south of the North Boundary Zone. "We were trying to find, not just continuity, but a structural source to it. We were drilling and testing a lot of these anomalies that showed up in the mag survey that we did at the beginning of last year before the season started. That was giving us good targets to work with," Aben CEO Jim Pettit told Streetwise Reports.

"As we headed south, much like the South Boundary Zone that we drilled back in 2018, we came up with these good intersections of gold and silver, but there were also lead-zinc and broader intersections of lower grade. So we had obviously come out of that zone that was high grade into a different type of mineralization," Pettit explained.

Pettit is hopeful that Aben will be able to explore Forrest Kerr this year. "Mining is deemed an essential activity in British Columbia, but, because of the coronavirus, we are concerned about the safety of our workers. We will be discussing this with the Tahltan Central Government to develop the proper protocols and make sure that the safeguards are in place for safely operating a camp."

The company has spent the winter analyzing its data in preparation for exploration this year. "We've gone through and detailed meter by meter all the drilling we've done. We've got some pretty good looking concepts to work with where we could be looking for possibly the feeder zone for the high-grade system and continuity," Pettit stated.

"Because of what we did last year on the west side of the Creek Fault, we've encountered another fault system that seems to be controlling a lot of the lower-grade mineralization as we headed south.," Pettit said. "If we follow that back up north toward the high-grade North Boundary Zone, there is a very large blind anomaly there that was not tested because it was covered in scree. This could give us some tremendous targets to work with.” "

In November, Aben reported that its drilling satisfied the expenditure requirements set out in the 2016 option agreement on the Forrest claim block, resulting in the company's 100% ownership of the Forrest Kerr property.

In addition to exploring Forrest Kerr, "Aben is always on the lookout for new projects to extend its exploration potential throughout the year," Pettit said.

Disclosure:
1) Patrice Fusillo compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an employee. She or members of her household own securities of the following companies mentioned in the article: None. She or members of her household are paid by the following companies mentioned in this article: None.
2) The following company mentioned in this article is a billboard sponsor of Streetwise Reports: Aben Resources. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
4) The 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.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the interview or the decision to write an article until three business days after the publication of the interview or article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Aben Resources, a company mentioned in this article.

( Companies Mentioned: ABN:TSX.V; ABNAF:OTCQB, )

A series of secret tests conducted by the U.S. Army in the 1950s and 1960s did not expose residents of the United States and Canada to chemical levels considered harmful, according to a new report from a committee of the National Research Council.

Bacteria that resist antibiotics can be passed from food animals to humans, but not enough is known to determine the public health risks posed by such transmission, says a new report by a committee of the National Research Council.

While the U.S. Environmental Protection Agencys guideline for protecting the public from a toxic form of mercury is justifiable based on the latest scientific evidence, some children of women who consume large amounts of fish and seafood during pregnancy may be at special risk of neurological problems.

Darkly colored, carotene-rich fruits and vegetables -- such as carrots, sweet potatoes, and broccoli -- provide the body with half as much vitamin A as previously thought.

Scientific evidence is insufficient to prove or disprove the theory that exposure to polio vaccine contaminated with a monkey virus between 1955 and 1963 has triggered cancer in humans, says a new report from the Institute of Medicine of the National Academies.

A preponderance of scientific evidence shows that even low doses of ionizing radiation, such as gamma rays and X-rays, are likely to pose some risk of adverse health effects, says a new report from the National Academies National Research Council.

Use of protective face coverings will be one of many strategies used to slow or prevent transmission of the flu virus in the event of a pandemic, even though scientific evidence about the effectiveness of inexpensive, disposable medical masks and respirators against influenza is limited.