Nov. 10 at 7:13 AM
$GAU
* **Likely Catalyst:** **Commodity Rebound & Undervaluation.**
* **Recent News:** GAU is a gold miner, its price is highly correlated with the **price of gold**. News indicates strong relative momentum over the last year, & analysts have a positive outlook with high price targets. The stock's P/B is slightly over your 3.0 limit, but mining P/B ratios can be volatile.
* **Swing Trade Setup:** The trade here is based on a *rebound in the price of gold causing the stock to swing higher. Its high P/B is offset by very strong P/S and low debt, which is rare for a miner. The **technical analysis gives GAU a "Strong Buy" AI Score** for outperforming the market over the next 3 months—a very compelling signal that your oversold trigger found a prime candidate.
* **Chart Pattern Clues:** A gold stock often experiences sharp sell-offs & rallies. The oversold signal is likely related to a temp dip in gold prices. The bounce would be swift if gold prices stabilize or move up.
