daytrade diaries... january 20, page-4

Todays Picks

AQR: Further drilling results were released yesterday and the main concern I have in my mind is whether the grades that are coming out would be high enough to sustain profitable operations given the depth that they are coming from. The market appeared to be somewhat underwhelmed with yesterdays results and it now looks like the stock has had a lower high, subject to confirmation tomorrow. After yesterdays action I will watch this one from the sidelines until the chart signals it is time to enter again. News Due: Assay results from hole 96D.

PEN/PENOA: The stock performed as I expected yesterday and managed to hold the uptrend line which began in January. The chart is giving mixed signals with the stochastic crossing down but the MACD and RSI still rising. Given Mondays positive announcement I am feeling confident about holding PENOA over the medium term and will continue to accumulate at or below 3.6 cents. News Due: Uranium resource estimates for the Lance projects.

ORD: The cup and handle formation on the daily which has formed over the past month is playing out perfectly so far and with the handle being completed yesterday along with the breakout above 6.4 cents the target of 7.4 cents should be achievable within the next day or so. News Due: Development plans for the Bauxite project in Laos. Commencement of ground EM surveys at the Copper Flats project.

OEL: Given yesterdays performance the chances of the gap at 7.6 cents being filled in the short term have reduced. Fridays move may well have been a breakaway gap. Personally I think the news involving BHPB last week warrants this type of gap and may have brought new attention to OELs projects and potential. Yesterdays rise has produced a very positive chart with the stochastic, MACD and RSI all rising indicating the potential for further increases today. News Due: Results from analysis of the 590 sq.km seismic acquired over the Philippines project in December (Focus on Hawkeye structure 20-600mmbl). Acquisition of an additional 1,000-2,000 sq.km of additional 3D seismic over the SC55 project as a result of the BHP agreement. Gas production startup in Turkey.

VLA/VLAO: VLA produced one of the largest Marubozu candles I have ever seen yesterday and this indicates that there is still plenty of demand left to fuel further rises in the price on the open today. After 4 successful trades yesterday I decided to hold a position overnight based on the strength of the buying I saw. The announcement regarding the trials against melanoma was very positive but caution is warranted given that these results are only Phase I and therefore only focused on safety and not efficacy. News Due: Further details of program for phase II trials.

Ill be starting to wind back my positions from today in preparation for a break next week so I dont expect to be adding too many new stocks until after the break.