US and Canadian markets settled this week on a positive note, Two stocks to consider – TAU, LUCMF

Company Overview: Thesis Gold Inc. (TSXV: TAU) is a Canadian junior exploration company engaged in the acquisition, exploration, and development of mineral projects, with a primary focus on the highly prospective Toodoggone mining district in north-central British Columbia. Luca Mining Corp. (OTC: LUCMF) is a diversified Canadian mining company with a strong operational footprint in Mexico, where it owns and operates two 100 %-owned producing mines: Tahuehueto and Campo Morado. The Report covers the Price Action, Technical Indicators Analysis along with the Stop Loss Levels, Target Prices, and Recommendations on these two stocks. 

Global Markets Wrap-Up 

As of April 10, 2025, major U.S. equity benchmarks recorded strong week-to-date (WTD) gains, supported by broad-based buying interest. The S&P 500 climbed 3.82% on the week to close at 5,268.05, while the NASDAQ Composite led the charge with a 5.12% advance to 16,387.31, buoyed by robust performance in the technology sector. Meanwhile, the Russell 2000 underperformed relative to its large-cap peers, edging up just 0.24% WTD to settle at 1,831.39.

In Canada, the S&P/TSX Venture Composite Index (TSX: ^JX) extended its upward momentum, closing the week at 592.38 with a 2.86% week-to-date (WTD) gain as of April 10. Thursday’s session saw strength in the consumer cyclicals, basic materials, and real estate sectors, providing a lift to the index. However, broader market gains were tempered by notable weakness across healthcare, technology, industrials, financials, energy, and consumer non-cyclicals, which continued to exert downward pressure on sentiment.

Considering the US and Canadian markets’ performance over the week, following the significant global macros and data front, two stocks that fit the criteria on the technical framework: Thesis Gold Inc. (TSXV: TAU) and Luca Mining Corp. (OTC: LUCMF). The recommendations on these stocks are based on the generic insights, entry price, target prices, and stop-loss for the next 2-6 weeks:

Thesis Gold Inc. (TSXV: TAU)

Noted below are the key price indicators for the stock:

Price Action Analysis (On the Daily Chart)

On the daily chart, TAU stock remains supported above a key horizontal trendline, suggesting the potential for continued upward momentum in the near term. The next significant resistance level is near CAD 0.960, a zone the stock may approach over the next 2 to 6 weeks. A decisive breakout above this resistance could trigger increased buying interest, potentially paving the way for further gains.

Technical Analysis (On the Daily Chart)

The 14-period Relative Strength Index (RSI) currently sits at 54.80, reflecting solid positive momentum without yet entering overbought territory. Weekly trading volumes also support the case for a potential upward move, reinforcing bullish sentiment. Moreover, TAU stock continues to trade above its 21-period Simple Moving Average (SMA), a key trend-following indicator that may act as dynamic support and bolster the near-term bullish outlook.

General Recommendation:

As per the above-mentioned price action and technical indicators analysis, Thesis Gold Inc. is looking technically well-placed on the chart, and a ‘Speculative Buy’ recommendation has been given on the stock. The summary of recommendations is as follows:

Luca Mining Corp. (OTC: LUCMF)

Noted below are the key price indicators for the stock:

Price Action Analysis (On the Daily Chart)

On the daily chart, LUCMF stock remains supported above a key horizontal trendline, indicating the potential for continued upward momentum. The next significant resistance level lies near USD 1.062, a zone the stock may approach within the next 2 to 6 weeks. A decisive breakout above this level could attract stronger buying interest, potentially igniting a sustained uptrend and extending the stock’s current bullish trajectory. The overall technical setup suggests growing optimism, provided the support base continues to hold.

Technical Analysis (On the Daily Chart)

On the daily chart, the 14-period Relative Strength Index (RSI) is currently at 61.31, reflecting a neutral-to-moderately bullish stance suggesting momentum is building, but not yet in overbought territory. Weekly trading volumes point to underlying buying interest, supporting the case for a potential move higher. Additionally, the stock continues to trade above its 21-period Simple Moving Average (SMA), which acts as dynamic support and reinforces the positive near-term technical outlook.

General Recommendation:

As per the above-mentioned price action and technical indicators analysis, Luca Mining Corp. is looking technically well-placed on the chart, and a ‘Speculative Buy’ recommendation has been given on the stock. The summary of recommendations is as follows:

Investment decisions should be made depending on an individual's appetite for upside potential, risks, and any previous holdings. This recommendation is purely based on technical analysis, and fundamental analysis has not been considered in this report.

Upcoming Major Global Economic Events 

Market events occur daily depending on the data's frequency and generally include updates on CPI, PPI, Core Retail Sales, Unemployment Data, etc. The upcoming week's major global economic events that could impact the S&P/TSX Venture Composite Index and listed stocks' prices are noted below.

Related Risks: This report may be looked at from a high-risk perspective and recommendation is provided for a short duration. Recommendations provided in this report are solely based on technical parameters, and the fundamental performance of the stocks has not been considered in the decision-making process. Other factors which could impact the stock prices include market risks, regulatory risks, interest rates risks, currency risks, social and political instability risks etc.

Markets are trading in a highly volatile zone currently due to certain macro-economic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing. 

Kalkine reports are prepared based on the stock prices captured from either REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 25-30 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice.’ 

Note 1: Individuals can consider exiting from the stock if the Target Price or Stop loss mentioned as per the technical analysis has been achieved and subject to the factors discussed above. 

Note 2: How to Read the Charts?

The Green color line reflects the 21-period moving average, while the red color line indicates the 50-period moving average. SMA helps to identify existing price trend. If the prices are trading above the 21-period and 50-period moving average, then it shows prices are currently trading in a bullish trend.

The Black color line in the chart's lower segment reflects the Relative Strength Index (14-Period), which indicates price momentum and signals momentum in trend. A reading of 70 or above suggests overbought status, while a reading of 30 or below suggests an oversold status.

The Blue color bars in the chart's lower segment show the volume of the stock. The volume is the number of shares that changed hands during a given day. Stocks with high volumes are more liquid than stocks with lesser volume. Liquidity in stocks helps in easier and faster execution of the order.

The Orange color lines are the trend lines drawn by connecting two or more price points and used for trend identification purposes. The trend line also acts as a line of support and resistance.

Technical Indicators Defined: - 

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock. 

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock. 

Stop-loss: In general, it is a level to protect further losses in case of unfavorable movement in the stock prices.

Risk Reward Ratio: The risk reward ratio is the difference between an entry point to a stop loss and profit level and the report is based on ~80% Stop Loss of the Target 1 from the entry point.

A trailing stop-loss is a modification of stop-loss in case of favorable movement in the price to protect the gains. Individual can Trail the Stop-Loss as per the levels if the stock price achieves more than 50% of the Target 1. Individual should consider exiting from the position as per the Trailing Stop-Loss level if the price starts moving downwards after achieving more than 50% of the Target 1.

The reference date for all price data, currency, technical indicators, support, and resistance levels is April 10, 2025. The reference data in this report has been partly sourced from REFINITIV.

Abbreviations

CMP: Current Market Price

SMA: Simple Moving Average

CAD: Canadian Dollar

RSI: Relative Strength Index

USD: United States dollar 

Note: Trading decisions require a thorough analysis by individuals. Technical reports in general chart out metrics that may be assessed by individuals before any stock evaluation. The above are illustrative analytical factors used for evaluating the stocks; other parameters can be looked at along with additional risks per se. Past performance is neither an indicator nor a guarantee of future performance.