First Majestic Silver Corp. (AG) and Alamos Gold Inc. (AGI) were both upgraded to Hold today by TheStreet's Quant Ratings service. Both of these precious metals names look technically attractive to me.
Let's check out the charts and indicators.
In the first daily bar chart of AG, below, we can see a long, sideways consolidation pattern followed by an upside "explosion" in June and July. Prices are above the rising 50-day and bullish 200-day moving average lines.
The On-Balance-Volume (OBV) led the way higher with its rise from January to July. The Moving Average Convergence Divergence (MACD) oscillator crossed above the zero line for an outright go long signal in early June and the oscillator is still bullish.
In this weekly bar chart of AG, below, we can see how prices have broken out of a multi-year base pattern. Prices are above the rising 40-week moving average line. The weekly OBV line has been rising from the beginning of 2018 and the MACD oscillator recently gave a buy signal.
AGI continues its bullish ways, which can be seen in this daily bar chart, below. Prices may have a head-and-shoulders like bottom pattern and broke out to the topside in June. AGI is above the rising 50-day and 200-day moving averages. The OBV line is positive and the MACD oscillator is turning up to a fresh outright long signal.
This weekly bar chart of AGI, below, shows that a longer downtrend has been broken and prices have launched an uptrend. AGI is above the rising 40-week moving average line. The weekly OBV line has made a new high for the move up to confirm the price gains. The MACD oscillator is bullish.
Bottom-line strategy: While AG and AGI were only upgraded to quantitative holds their charts are very bullish and these names should be bought for further gains in the months ahead.
