April 14, 2011
Great Panther Silver Daily Chart
Let us start with the daily chart of Great Panther Silver. As you can see a while ago GPR was battling the highs around $2.80.It made a run on these highs on three occasions and blasted through resistance on a fourth time with a little help of a news release from February the 7th which revealed to investors that GPR would be listed on AMEX.
That breakthrough turned out to be the start of a massive rally onto much higher prices. The stock went all the way up from $2.80 to reach a high of $4.90, with several small pullbacks along the way to allow investors to get aboard the silver train we call Great Panther.
Then around March the 7th silver started its minor correction and the stock traced back and went down to reach a low of $3.52 on March the 15th. After that it was back in full swing to a high of $4.62 when GPR released news that they were raising finances by doing a bought deal. That bought deal started on March the 24th and was aimed at raising $24M in total. The bought deal ended on April the 12th.
The bought deal put some pressure on the stock cause the Company intended to issue 5,000,000 common shares at a price of $4.20 per common share. So logically the stock fell back from $4.62 to a low of $3.80, again giving investors plenty of time to get on board.
Volume since the breakout has been tremendous as you can see on the chart. Daily volume has nearly doubled if you compare the trading before and after the breakout. That means you won’t get stuck holding shares of GPR when you decide to sell. There will always be buyers to be found who will gladly take those shares off your hands.
Monthly volumes are what we would like to see when investing in a stock. They will more than trade the total number of outstanding shares per year. January 2011 alone saw a total volume of 32.9M, February 62.8Mand in April we’re already at 16.6M shares traded. That are no numbers to be ashamed off. This stock is in hot demand and is well traded.
Due to the pressure from the bought deal the MACD has been trending lower but now 2 days after the closing of the bought deal the MACD already shows signs of bending upwards again. The histogram (grey bars)are already starting to get smaller below the center line and will soon be up in positive territory again.
Average directional index can determine trend strength regardless of the market direction.
This non-directional oscillator is based on a range of 1 to 100(although movements over 60 are rare). If the line is under the 20 mark,the trend is considered to be weak. If the line is above the 40 mark,the trend is considered to be strong. The ADX line is built on the results of two separate technical indicators, the +DI (force of up-moves) and the –DI (force of the down-moves). The default for this study is 14 periods which takes into the consideration the measurements of the +DI and –DI for the last 14 periods.
You can see from the chart that ever since the breakout from $2.80 the green +DI line has always had the upper hand. It has come down due to the reasons I explained above and we are now starting to recover.
To conclude, GPR begins showing signs of a stock in recovery mode and getting towards higher prices. Today we reached 4.02 +0.23 (6.07%) which is good start. Next target is to get to and above $4.20. This won’t be that hard seeing as silver made a new high today and is already above $42.00
Fundamentally Great Panther is a great stock with a tremendous outlook and plenty room to the upside from current prices. A run on the all time high is not a matter of ‘if’…but when? If you as an investor want to be in a stock with a steady and fresh supply of news then GPR is the way to go. Compare Great Panther to Endeavour Silver or First Majestic Silver and you will know what the future share price could be.
Normally I don’t like fancy talk on main pages of mining websites but after seeing Great Panthers run I will have to revise that opinion, a tleast where Great Panther is concerned. From their website it says the following and I have highlighted several points which are not just mere fancy words :
Great Panther Silver Limited, headquartered in Vancouver, Canada, is one of the fastest growing primary silver producers in Mexico with strong leverage to future rises in the price of silver. The Company owns two operating mines in Mexico, and employs over 800 people.
Great Panther’s mission is to become a leading primary silver producer by acquiring, developing and profitably mining precious and base metals in Latin America. We are committed to conducting ourselves with fairness and integrity, and managing all business activities in an environmentally responsible and cost-effective manner, while contributing to the well-being of the communities in which we live and work.
Our primary goal is that of profitable growth, as we feel this is the key to maximizing long-term shareholder value. Our specific objectives are to grow production and earnings from mining operations and maintain positive cash flow while continuing to actively pursue exploration and development opportunities in Latin America.
The Guanajuato Mine Complex is Great Panther Silver’s flagship operation. The property consists of 28 claims, totalling 1,107 hectares. The concessions are 100% owned by Great Panther’s Mexican subsidiary, Minera Mexicana El Rosario, S.A.de C.V. The main claim block covers 4.2 km of the highly significant Veta Madre vein structure and is located on the Central Plateau of Mexico in the State of Guanajuato. The City of Guanajuato, where the mines are located, is 380 km by road northwest of Mexico City and is serviced by an international airport near the city of Leon.
The Guanajuato Mine Complex is managed by Andrew Sharp, General Manager. Robert F. Brown, P. Eng., Vice President of Exploration for the Company is the Qualified Person for both the Guanajuato mine and the Topia mine, under the meaning of NI 43-101. Charles Brown, Chief Operating Officer, oversees aspects of Great Panther Silver’s mines relating to mining and metallurgy.
The Topia Silver-Lead-Zinc property is located in the heart of the Topia Mining District in west-central Durango State, Mexico. The property is accessible by road from the city of Durango by traveling north for approximately 200 km on paved Highway 23, and west for 150 km on a paved and gravel road to the town of Topia. The town is presently served by daily small-aircraft flights to the city of Culiacán, which lies 100 km to the southwest. Topia is the principal centre for the area with schools, shops, a small hospital, and public telephone and internet access.
The property consists of four discrete blocks of mineral exploitation concessions covering 6,438 hectares. The concessions are 100%-owned by Great Panther’s Mexican subsidiary, Minera Mexicana El Rosario, S.A.de C.V.
In February of 2005, MMR exercised its option to earn a 100% interest in the core concessions. The surrounding concessions were staked by the Company and are also owned 100%. There is no underlying Net Smelter Royalty on the property.
The Topia Mines are managed by Ing. Javier Ramirez Vargas. Robert F.Brown, P. Eng., Vice President of Exploration for the Company is the Qualified Person for both the Guanajuato mine and the Topia mine, under the meaning of NI 43-101. In addition, Charles Brown, Chief Operating Officer, oversees aspects of Great Panther Silver’s mines relating to mining and metallurgy
From their fact sheet :
The Company’s emphasis will be on maintaining profitability while developing and exploring to continually increase metal production. Great Panther’s goal is to increase silver production year-on-year at continually decreasing unit costs.
The company will also be releasing a new set of drill results from their San Antonio project which will be followed up with an initial resource estimate.
For reference I will post the latest 2011 news releases. If you browse through them you can see that there is plenty of news flowing out of this company with lots more to come in the future.
Apr 14, 2011
Great Panther Silver Reports First Quarter Production; Silver Increases By 15%, Gold Up By 45% From Q1 2010
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to report first quarter (“Q1?), production at its two wholly-owned Mexican silver mining operations, Guanajuato and Topia. The mines produced 410,640 ounces of silv…
Apr 12, 2011
Great Panther Silver Closes $24 Million Bought Deal Financing
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex:GPL; “Great Panther”; the “Company”) is pleased to announ…
Apr 06, 2011
Great Panther Silver Files Amendment to its Annual Information Form with No Changes to Financial Results
As the result of a review by the British Columbia Securities Commission in connection with the filing of the Company’s preliminary prospectus on March 29, 2011, the Company is issuing this press release to clarify its disclosure. Great Pa…
Apr 05, 2011
Great Panther Silver Receives Recognition for Corporate Social Responsibility
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce that its Mexican subsidiary, Minera Mexicana El Rosario S.A. de C.V., has received its first distinction as a “Socially Responsible Company” from CEMEFI, Ce…
Mar 24, 2011
Great Panther Silver Announces $21 Million Bought Deal Financing
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; “Great Panther”;the “Company”) has entered into a bought deal financing with a syndicate of underwriters. The Company intends to issue 5,000,000common shares at a price of $4.20 per common …
Mar 17, 2011
Great Panther Silver Adds Mining/Metallurgical Expertise To Board
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce the appointment of Ken Major, P. Eng., to the Board of Directors of the Company. Mr. Major graduated from McGill University with a degree in Metallurgica…
Mar 16, 2011
Great Panther Silver Reports Annual Net Profit Of $5 Million
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce the audited financial results for the Company’s year ending December 31, 2010. The full version of the financial statements and the management discussion a…
Mar 10, 2011
Great Panther Silver Expands Silver-Gold Mineralization at San Ignacio Mine Property, Guanajuato
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce that initial 2011 diamond drilling at the San Ignacio Mine property, Guanajuato has continued to intersect numerous zones of silver-gold mineralization incl…
Mar 08, 2011
Great Panther Silver Extinguishes Long Term Debt
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce that it has paid off $4,050,000 in two outstanding $2,025,000 Principal Amount 8% Unsecured Convertible Loan Notes due July 14, 2011 (the “Notes”) by the is…
Mar 07, 2011
Great Panther Silver Increases Mineral Resources at the Topia Mine
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce that Roscoe Postle Associates Inc. (“RPA”) of Vancouver, B.C. has delivered an update to the ongoing mineral resource development at the Company’s 100% owne…
Feb 07, 2011
Great Panther Silver Secures US Listing on NYSE Amex
GREAT PANTHER SILVER LIMITED (TSX: GPR; NYSE Amex: GPL; the “Company”)is pleased to announce that its common shares have been authorized for listing on the NYSE Amex stock exchange in the United States. The Company expects the shares to begin tradi…
Jan 27, 2011
Great Panther Extends Guanajuatito Silver-Gold Zones To Depth
GREAT PANTHER SILVER LIMITED (TSX: GPR; the “Company”) is pleased to announce the discovery of deeper mineralized silver-gold zones at the Guanajuatito Mine at the northwest end of the Guanajuato Mine Complex.The deep drilling program is being cond…
Jan 11, 2011
Great Panther Reports Fourth Quarter And Record 2010 Production
GREAT PANTHER SILVER LIMITED (TSX: GPR; the “Company”) is pleased to report record 2010 production of 2,255,802 silver equivalent ounces(“Ag eq oz”), a 2% increase over 2009. New records were established for the output of all metals, comprising 1,5…
The writer (yours truly YeOld) owns -a truckload of- shares in Great Panther Silver and is not being paid for writing this article. Yours truly is however not ashamed of owning a truckload of shares in a promising and revenue generating soon to be mid-tier silver producer and cash Panther. ROAR! Due Diligence everyone!