Zenyatta Buying Opportunity

Graphite stocks have been slammed considerably after the initial run up in the spring. I believe this is creating a second buying opportunity for those of us who missed the initial powerful run to buy shares in graphite stocks. Not only that, but we have the one graphite stock with a quite special story due to their unusual and rare vein graphite discover (ZEN)I am going to be blunt…..buy Zenyatta Ventures on this pullback! As you see on the chart, we are right at the 200 DMA and only 3-5 cents off its long term trend support line (21-22 cents). The pullback has been on relatively light volume and once the stock breaks the sloping downtrend line (seen in blue), we may very well be off to the races again. There has been some concern about the arrangement/contract with Cliffs Resources and the Albany Graphite deposit. I have finally spoken to management to address this issue and am quite comfortable with even a worst case scenario in terms of ZEN percentage ownership in the project.I believe the most likely scenario for ZEN will be the 80% earn in by spending $10MM leaving Cliffs with 20% of the project. There are three other potential scenarios on how this shakes out. Cliffs can back in the this agreement and take 70% of the project but they would have to bankroll the project to a feasibility study, which would allow ZEN to skate in terms of cash outlay for drilling up the deposit to that point. There is another moving part option where ZEN spends the $10MM and Cliffs pays $27.5MM to back in to 70%. There is also the possibility they agree on some new terms, even ZEN taking the whole project, which may be tough to do but this project is quite early in its development for Cliffs to make any big commitments in my opinion. So, the most likely scenario is the 80% earn in for ZEN spending $10MM. The worst case, if you want to call it that, is the project is bankrolled considerable by Cliffs and ZEN ends up with 30% of Albany.Here’s the thing. If ZEN has what we think they have with this deposit, the stock could be worth $5 a share on a 30% interest-easy. I am not concerned about any real risk in how this agreement shakes out…..any scenario is fine, even though I would prefer they secure the 80% plus ownership. The key here now is clearly metallurgical results pending from Lakefield on purity. They have up to two months to get the initial lab results out but certainly could be a lot sooner. I’ll tell you something; if the metallurgy comes back with very high purity, we’re going to explode on the upside quite fast, which is why down near long term trend line support and the 200 DMA, you want to be buying/adding to your position before these lab results hit.There’s always downside risk in early plays like this and I think we’re experiencing it now. I’d be very surprised if we go below 20 cents, but anything is possible in a global environment like this….it would be a macro event to make that happen. But, I think we’re near/at the lows in ZEN and am a buyer of stock here as this story could catch fire again in a violent fashion so be a prudent investor and buy when most out there are wondering what’s wrong. There’s nothing wrong here…..Zenyatta has massive potential with this graphite deposit! For more conservative investors/traders, you can wait to add aggressively when the stock breaks its sloping trend line at about 30 cents. Personally I bought more today and if/when it breaks the downtrend line, I will aggressively load up more.Purity is the potential lynchpin in this story in the short term but I’m quite hopeful we’ll see good results, even though that is nothing but speculation on my part. With huge upside there’s always correlated risk, as with anything in life, so use your head in terms of how much you want to own. BUT, if you loved it at 40-50 cents…..what are you waiting for down here when all we’ve had is terrific news!

Graphite Stocks-Bottom In?

The graphite sector has had a nice pullback and consolidation over the month of April. I have been watching the space closely and now feel we’ve seen the bottom in most graphite stocks. The reversal that has just begun could end up being quite profitable as the stocks retest highs in the weeks ahead. You’ll see from several charts of the leaders in the sector below, that MACD (bottom right of each chart) has turned and looking identical in each stock. The crossover to positive territory is most likely days away. Waiting for that to occur is fine for more conservative traders but I have loaded up in Flinders, Standard, and Northern Graphite shares yesterday and this morning in anticipation of a further rally.   Certainly, we already own a ton of the king in the junior graphite space, Zenyatta Ventures (ZEN.V/ZENYF.PK) so we will not get into the stock in detail here. Except to say we feel ZEN will be a leader (and already is) going forward in the sector and has the most exciting discovery in graphite.     That’s all in this update, we just wanted to pass along the idea that the graphite stocks are reversing and we see profitable trades across the sector. We may see the sector in new high territory on this run but we see, at minimum, stocks retesting their 52 week highs. Best,Eric MuschinskiGold Investment Letter

Best Stocks in the Metal Market

Trying to get a cut into the multi-billion dollar precious metals market that includes graphite stocks, Zenyatta Ventures, best gold mining stocks, and many others? Here are a few stock picks if you're getting started in the precious metal market.Zenyatta Ventures is an established graphite mining company that works out of Thunder Bay in Ontario. They have recently found and claimed a number of large graphite deposits in their location. Investing in their venture will almost guarantee profits as the graphite is pulled up and refined, then sold.Another great buy is Berkwood Resources Limitd (BKR on the stock market). It's currently very inexpensive, but it's on the edge of huge increases, which makes 2012 the perfect year to buy. It mines primarily in South East Asia, as well as North America, for both gold and silver. They recently discovered the enourmous Cimandiri Gold Prospect, with a span of almost 11,000 hectacres in West Java, and their stocks are poised to go through the roof.A great silver stock to invest in is Silver Bear Resources Incorporated (stock symbol is SBR). It has discovered over 18 million ounces of silver, and counting. It's had large market gains over the past year and makes for a tried and true, solid investment to add to any precious metals portfolio.If you buy into any or all of these companies via the publicly traded stock market or even private stocks or ventures, you should see large increases in your portfolio's value. Precious metals always increase in value; historically you can't lose out investing in gold, silver, or graphite. Precious metals are some of the safest investments on the market today, even though the past few years have made the stock market rocky terrain to tread.Disclaimer: None of this is legal advice, and we are not to be held accountable for any gains or losses.

The Graphite Stocks Market

The stock market is an investor vehicle for investors looking for long term profitable gains. A popular option that most investors turn to when the market is jittery is the metal stocks. This is because metals as opposed to other stocks never lose value; they keep appreciating in value over the years. Some of the most profitable stocks to invest in are gold, silver, platinum, etc. Here are the reasons why graphite is generating so much interest to investors.There has been a recent demand of graphite stocks due to the demand of the mineral in industrial processes and in the development of clean energy technology. According to http://www.resourceinvestor.com, the price of the mineral has risen from between $500 to $2,500(low) and $750 to $3000(high) from 1999 to 2011. The demand of the graphite has also spanned growth of developed and developing economies in the search of this mineral in different locations in the world.Graphite in its natural state possess properties that makes it a must have component in the industrial processes. It is the most stable form of carbon, thus it is a very conductor of electricity. For this reason it is used as the standard state for heat formation of other carbon compounds. Used in pencil making, steelmaking, brake lining, it's a natural lubricants, electric motor brushes.It is a component used to make lithium-ion batteries, fuel cells, nuclear reactors, Vanadium-redox batteries for use in wind turbines and solar cells. It is used to reinforce plastics, in radar absorbent materials, superconductors and computers and laptops and military hardware.There are publicly listed companies that an investor can invest in. Some of them that an investor can look into are; Canada Rare Earths, Atocha Resources, St Georges Platinum and Base Metals Ltd, Hickman William & Co., etc. Visit your investment manager to advise you on the available options for investing in graphite stocks.

Why Invest in Graphite Stocks?

More and more people are beginning to talk about a renaissance in the graphite industry. The graphite stocks have begun to draw a significant interest from both institutional and retail investors from U.S and Canada. China is the leading graphite producer, with more than 800,000 metric tons only last year. The follower is India and Brazil, with 76,000, respectively 30.000 tons.Canada has the biggest amount of graphite on the American continent, with over 25,000 tons produced in 2011. An important reason graphite stocks are a very profitable investment nowadays is that they represent a massive improvement in the battery power. In other words, adding graphite to flow batteries will make it last much longer and be safer to use.Why to invest in graphite stocks, you might ask. Well, the stocks have a very low price because there aren't many companies who know about this profitable investment. The graphite stocks price is expected to increase 500% in the next couple of years, therefore acting now is a very lucrative investment strategy.A Wise InvestingBefore investing in graphite stocks there are some things you should look at.- The quality and the size of that corporation's mineral deposit. For example, it is better to work with a large company from China or Canada that has a large deposit of graphite, rather than choosing to work with a small company from Europe.- The ability of that company to source the mineral: this means the company needs to be listed on several stock markets in different countries and to have enough economic resources to sustain your investment over a longer period of time.- The company's record in producing and selling precious metal stocks. It is very important to see if that company has a background in this type of business.Overall, investing in graphite stocks is a smart step for any business nowadays, because the U.S. demand for graphite will increase while new and better technologies enter the marketplace.

Take a Double Dose of ZEN

Zenyatta Ventures (ZEN.V/ZENYF) is no longer overbought and potentially reversing at current levels. We’ve seen a healthy pullback on significantly lower average volume than the recent upward move to 52 cents. We feel the graphite sector pullback over the last 2 weeks may be coming to an end as well and Zenyatta is likely to emerge as a leader in the sector going forward with their exciting discovery at Albany. The fact is that if ZEN continues to have success in step out drilling beyond the recent 200 meters, and they discover more vein graphite, we could be in for a ride that you won’t want to miss!   The stock could still pullback to its 50 DMA but taking recent PR and other factors into consideration, we may have already seen a short term bottom at 35 cents.April 23^rd PR below indicates assay results as early as late next week on holes 2 and 3. These results could be a lynchpin for the stock if grades indicate what the airborne conduction and early drill results alluded to since earlier this year; a world class vein graphite deposit. I expect regular news flow out of ZEN for the foreseeable future (virtually throughout the summer) and more clarity on recent drill results prior to the OnPage Media/Financial Post Graphite Conference May 2, 2012 in Toronto. ZEN will be attending and could steal the show while generating new awareness and buzz about their story within the investment community.The airborne survey showed an anomaly approximately 1400x 800 meters in size, which allows us to speculate that this deposit will grow in size as drills run and PR continues. The company has a large area to explore and will do so on 27 other blocks that could create further excitement if another discovery is made. We may see nickel/copper is found on their property as well, which is what they were initially drilling for at Albany.Folks, this is why I invest in mining stocks! To find a play early on in a discovery and ride the wave of proving the deposit up, which typically allows for the largest capital gains. It seems the graphite rush is closer to its infancy than maturity, which may create grand speculation in the space while ZEN is hitting their stride. Certainly with early hype, the market has plenty of risks, but this is a calculated risk I’m willing to take. ZEN is now tied for my biggest personal position alongside Timberline Resources (TLR) and I’ve been involved in TLR for some time. So, I have decided to take action on this play as the risk seems to be on the upside going forward.If you haven’t seen the recent press release or company presentation, I encourage you to take a moment to click on the link and read below. I believe the stock could hit $1-1.50 in the next 3-6 months (either they have it or they don’t-we’ll know pretty quick if they have a tiger by the tail!) and an eventual share price of $2-5 per share is not out of the question.**Don’t forget to sign up for our Free bi-weekly E-Letter for updates on ZEN and other select mining stocks and precious metals-Opt-In Box located at the top right of each page on www.goldinvestmentletter.comCheck for updates on ZEN at our blog: http://www.goldinvestmentletter.com/blog/New Graphite presentation:http://www.zenyatta.ca/upload/documents/zen-graphite-02apr2012.pdfZenyatta Ventures; Drilling Continues to Intersect Wide Zones of Graphite Breccia at Albany GRAPHITE Deposit in Ontario, Canada. Thunder Bay, ON – 23 April 2012Zenyatta Ventures Ltd. (“Zenyatta” or “Company”) (TSXV : ZEN) is pleased to announce an update on drilling at the Albany Graphite Deposit, located near Hearst in northeastern Ontario, Canada.Drill hole #3 (Z12-4F3), which is near completion, was collared 200 metres (‘m’) north of the original discovery drill hole (Z11-4F1) and drilled in a southerly direction. Significantly, upon passing through the overburden/limestone, the hole immediately intersected graphitic breccia which shows the deposit coming to near surface. A wide zone (43.1m) of graphitic breccia was intersected from 62.6m to 105.7m followed by a zone of graphitic overprinting from 105.7m to 133.5m. Another, very wide zone (128.1m), of graphitic breccia was intersected from 133.5m to 261.6m. This represents the largest intersection of graphitic breccia drilled to date. Graphitic overprinting consists of veinlets of graphite within the granite.Drill hole #2 (Z12-4F2) was designed to test the southern extent of the graphite breccia pipe. The drill hole was collared 200 metres (‘m’) south of the original discovery hole (Z11-4F1) to test the limits of the geophysical anomaly model and to define the contact of the graphitic breccia body. The drill hole defined this contact and intersected a wide zone of graphitic breccia and graphitic overprinting, where the breccia pipe model predicted it would be located. The drill hole intersected a wide zone (59.62m) of graphitic breccia from 380.27m to 439.89m.Graphite analyses for these two (2) drill holes are expected over the next 10-12 days. A plan map, section and additional photos can be found on the website at www.zenyatta.ca .Holes #4 (Z12-4F4) and #5 (Z12-4F5) have been proposed by our geological technical team and are shown on the website plan map. These drill holes will further test the geophysical conductor with a large (400m) step-out to the east. Hole #4 is scheduled to be started in the next 5-7 days.The goal of the current drill campaign is to geologically define the extent of the graphite breccias, delineated by an airborne geophysical conductor with approximately 4000m of wide-spaced drilling over the next 2 months. As previously announced in the Company’s news releases, recent drill holes on the Albany project have intersected extensive graphite-rich breccia zones. Subsequent petrographic examination of samples sent to Lakehead University (“LU”) confirmed the drill hole had intersected a very rare hydrothermal (magmatic) occurrence of graphite with a flake size ranging from fine (-270 mesh) to coarse (+40 mesh). As per recommendations of the LU report, SGS Canada Inc. (Mineral Services Division of Lakefield) has been engaged to assess the purity and metallurgical response of the graphite material.Aubrey Eveleigh, President and CEO stated “Drilling continues to expand this unique and large graphite deposit at our Albany project. The Company is looking forward to continued definition drilling and receiving the graphite analyses within the next 2 weeks. ”The graphite discovery is located 30km north of the Trans Canada Highway, power line and natural gas pipeline. A rail line is located 70km away and an all-weather road approximately 4-5km from the graphite deposit. The Albany graphite deposit is near surface, underneath glacial till overburden.**Don’t forget to sign up for our Free bi-weekly E-Letter for updates on ZEN and other select mining stocks and precious metals-Opt-In Box located at the top right of each page on http://www.goldinvestmentletter.com

Invest In Graphite Stocks For Sky High Profits

Graphite is becoming one of the hottest and emerging investor option for gaining high profits in a short term. Graphite Stocks had ignited the metal market to an exploration boom, and various investors are eagerly looking forward to focus on this rare and forgotten mineral. The stock prices of almost all graphite companies are taking off to double, triple and quadruple in just the matter of 6 weeks.The main reason behind this emerging popularity is the much control of China over this resource metal as their alternative source of energy. The automotive industry, steel industry, energy resources, solar panels, nuclear reactors and lithium-ion batteries are increasing the propelling demand for graphite, leading to a sudden boom in this precious metal stocks.Out of several key players in graphite market, Zenyatta Ventures is a fast option for investors, who want to take safe and profitable graphite stocks. Zenyatta had recently made headlines for the graphite Breccia mineralization in its current drilling venture. Zenyatta had proven its name in the acquisition, exploration, and procurement of platinum, nickel, and copper in Canada. The company also have comprehensive plans for future development of graphite drilling in Albany Graphite Deposit, Ontario, which is highly suggestive of further increase in Zenyatta stock rates.The Graphite Market outlook is indicative of further developments in graphite stocks, so it is the best time to pick the precious metal stocks and book profits in the future. The increasing demand of Graphite by various industries has already shown an increase plateau to double the current demand.According to the US Geological Survey the new batteries and nuclear reactors will need a large amount of graphite, leading to increase in graphite demand up to 4 Lakh tones. At present, there is a looming supply towards the increasing demand, which is certainly creating new investing opportunities for producers and explorers in the flake and amorphous graphite industry. China has even imposed a hike in export duty 20 % and VAT hike to 17 % with a new export licensing system.All these factors had pushed the current prices for graphite stocks to sky high, so all interested investors can certainly benefit from the Graphite Fever of the mining industry.