Market Direction: A firm close on Wall could see the Australian market register it's sixth straight positive day today. However the key monthly jobs and unemployment report due out in the US tonight could see some nerves creep in during the day. Personally I expect a stronger open followed by a fade into the close.
BCN/BCNOA: I took some profits yesterday by selling a few BCNOA at 2 cents but continue to hold the remainder. The increase in interest appears to have been driven by a write-up in The Speculator in the Eureka Report. The Bollinger bands have now continue to widen which supports the argument that a breakout has begun. The slow stochastic continues to rise but is approaching the overbought level. The RSI is rising nicely and the MACD has only crossed up in the past few days. Turnover was again high at 52m exceeding the previous days volume. Given drilling results should start to flow any time I expect the level of increased interest in BCN/BCNOA to continue in the foreseeable future. News Due: Drilling results from the Barlee Gold project. Disclosure: Holding BCNOA
OBJ/OBJO: Yesterday saw prices break out on significant volume. The chart is bullish with the MACD crossing yesterday combined with a rising slow stochastic and RSI. I expect a strong open this morning following on from yesterdays increase. News Due: Updates on evaluation agreements with 3M, GlaxoSmithKline and an un-named FMCG company. Disclosure: Holding OBJO
WGP: WGP has respected the uptrend line which began about 5 weeks ago by holding above 3 cents. The price briefly touched that level yesterday before bouncing higher. Technically the chart looks pretty good now with the slow stochastic crossing yesterday, the RSI rising and the MACD staying above its signal line and rising slowly. This could be one to watch in the next day or so abecause a drilling update is due. News Due: Drilling update from the Kaloorup Road Prospect. Details of work plans for the AWE joint venture covering EP455 in the North Perth Basin. Disclosure: Holding WGP
ADO: The first piece of news following the CEO's trip came in last night with news that Bangs have received their first shipment of Mix & Go and plan to have product available to sell within three weeks. Judging by yesterday's trading there was no leakage about this news from within the company which is a positive. The price has touched 6.5 cents and retreated twice in the past 2 months so I think there will be some resistance at this level. If the market reacts positively to this announcement it is possible this level could be tested today. News Due: Further license agreements for the company's Mix & Go technology. Disclosure: Holding ADOO
