Back to the Junior Miners

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Chart courtesy of http://stockcharts.com

Back to the glorious junior miners, my first choice, at this moment, is Jaguar Mining (JAG.TO).

The company produces and develops gold projects in the states of Minas Gerais and Ceará, Brazil.

With an excellent technical picture, JAG seems to be able to reach its target production of 300,000 ounces in 2009.

Jaguar has measured and indicated resources of 17,572,460 tonnes containing 2,894,860 ounces of gold and 5,923,300 tonnes of gold classified as inferred resources containing 850,210 ounces. The Company intends to expand its low-cost operations in multiple phases over the next several years to exploit the anticipated increase in proven gold resource base.

Google Numbers

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Following another straight upleg, indicators have become overbought. The upside remains strong but a necessary correction is underway.

We are also waiting that Google announce third quarter 2007 financial results.

Copper to see where we stand

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Chart courtesy of http://stockcharts.com

Are subprime problems over? I don´t think so. It is likely that in the near future we may see more rate cuts in order to restore faith on growth capabilities.

I think we have an important commodity like copper that emulates nicely the strength of the world economy. So, unless extreme circumstances arise, copper prices will reflect market demand letting us know if we are on an expansion environment or not.

Looking at the chart we see that a remarkable correction took place which ended in last February. Since then copper have climbed dramatically from 238 to 380 in May. From there we have witnessed a strong consolidation and if the USD remains around 78 or less we should expect to see a breakout to meet and leave behind the 395 of May 2006.

So, the big picture seems solid even if a correction may be on the cards in the short term.

Let´s keep an eye on this development.