I am sure that you have come across AMNP recently on sites you watch and boards you monitor.  This company is one of those “overnight sensations” that took years to build. I hadn’t heard about it since it has only been trading for a few weeks.  It has generated strong buzz and has had excellent performance (you will see that from the chart below).  Buzz and a strong chart are good things.

But the company is not all buzz….It is a Gold exploration company that has some VERY promising gold properties in the United States and Mexico.

Let’s talk about Mexico

AMNP owns an interest in a gold property located in the Sierra Madre Mountains of Mexico.  What they call their Urique (You-reek-eh) Project.  Here are the details of the project:

In their September 30th press release, AMNP issued an update on the project, as follows:

A big part of AMNP’s confidence about their Urique Project is that is next to several producing gold fields. GoldCorp, a NYSE company with the ticker of GG is only one of the producing mines in the area and owns the Sauzal mine complex that abuts the Urique Project. GoldCorp is currently trading at around $42.00 and is both an exploration company and a producer.  As a trader and investor, it gives me greater assurance about AMNP because there are successful gold mining operations in the immediate area of their project.

A picture is worth a thousand words…I always say:

Let’s talk about California!

The company recently signed an LOI for their second project. AMNP has acquired a 75% stake in the high-grade Discovery Day Gold Project.  The Discovery Day Gold Project covers over 950 acres and controls the entire Knownothing Mining District, which includes the four principal mines — the Gilta, Discovery Day, Hansen, and Knownothing and several other smaller mines and prospects. ………. AMNP’s has agreed to issue stock/warrants and to invest $2MM over a two year period in the project as their consideration.

An ore reserve estimate from 1996 published study by Cooksley Geophysical, Inc. reported a total inferred resource of 1,165,000 ounces of gold.

To read the full release: Click Here

More good news!

On Tuesday of this week, AMNP announced that they had gotten a commitment for the one thing that most exploration desperately need:  FINANCING. $6,000,000 in financing NOW, and it is expandable by another $10.5MM…that is huge!

To read the full release:  Click Here

Now, to the Chart (this must be what they mean when they say, “hitting the ground running”)

• With such a short trading history, support and resistance are difficult to chart.  Certainly, I could say that resistance is around $1.25.  Breaking that level means that they stock will be in new territory and could run for quite awhile.
• The MACD is strongly bullish
• Volume is strong and the stock is under accumulation
• Stochastics are indicating it is overbought, but history has shown that a stock can trade above this line for quite some time as long as the volume stays strong and the MACD remains bullish.

If you trade this stock, be sure and keep a tight stop on it. I would recommend a trailing stop that will allow my members to lock in gains if profit-taking hits.  If it trades lower than the price it opens at tomorrow — I would be getting out of it and looking for a lower entry.

I am recommending that you do your due diligence and get it on your trading radar right away. 

The stamp of approval for AMNP that the financing represents and with gold continuing to trade strong, I think that Gold is a GREAT sector to be in and AMNP is a GREAT company to consider.

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