Company Overview: Silex Systems Limited (ASX: SLX) operates in the research and development, commercialization, semiconductor technology, and license of SILEX laser enrichment technology in Australia. Avenira Limited (ASX: AEV) engages in the exploration and development of mineral deposits in Australia, primarily focusing on gold and phosphate deposits. Magnis Energy Technologies Limited (ASX: MNS) engages in the exploration and development of graphite deposits in the United States, Australia, and Tanzania and invests in lithium-ion batteries. Venture Minerals Limited (ASX: VMS) focuses on the exploration and development of mineral resources in Australia, with its flagship project, Mount Lindsay, covering an area of approximately 178 square kilometres located in north-western Tasmania. Ragusa Minerals Limited (ASX: RAS) primarily explores gold, which holds projects in Western Australia, Zimbabwe, and the United States. This Report covers the Price Action, Technical Indicators Analysis along with the Support Levels, Resistance Levels, and Recommendations on these stocks.

SLX’s Technical Analysis:

Though in an uptrend, SLX's stock price is experiencing a correction, which has been forming a descending wedge pattern, signalling a positive trend. Moreover, the stock recently crossed above the 21-period SMA, providing further support for the mentioned recommendation. Prices fluctuate between the pattern’s upper and lower boundaries, which may potentially function as dynamic resistance and support and levels for the stock. Important support for the stock is positioned at AUD 2.93, while key resistance is placed at AUD 3.59.

Daily Technical Chart – SLX

Considering the stock’s current price levels forming a descending wedge pattern, and momentum oscillator analysis, a “Speculative Buy” recommendation is given on the stock. The stock was analysed as per the closing price of AUD 3.24 per share as on 25 October 2023, up by 1.57%. Silex Systems Limited (ASX: SLX) was last covered in a report dated ’24 May 2023’.

Recent Updates:

Avenira Limited (ASX: AEV), a battery cathode and fertiliser focus project developer, registered total segment income of AUD 58,343 in FY23 ended 30 June 2023. Recently, AEV secured mining authorisation for the Wonarah DSO Project from the Northern Territory Government. The project is designed to provide feedstock for the company’s proposed LFP cathode production plant.

AEV’s Technical Analysis:

While experiencing a downtrend, AEV's stock price formed a bottom divergence in relation to the relative strength indicator, signalling a positive trend. Additionally, the stock recently broke above its nearest peak, as well as the trend-following indicator 21-period SMA, providing further support for the mentioned recommendation. Prices are oscillating between its previous peak and trough, which may potentially function as resistance and support levels for the stock. Crucial support for the stock is positioned at AUD 0.009, while key resistance is located at AUD 0.015

Daily Technical Chart – AEV

Considering the stock’s current price levels forming a bottom divergence and surpassing its nearest peak, and momentum oscillator analysis, a “Speculative Buy” recommendation is given on the stock. The stock was analysed as per the closing price of AUD 0.013 per share as on 25 October 2023, up by 8.33%. Avenira Limited (ASX: AEV) was last covered in a report dated ’23 November 2022’.

MNS’s Technical Analysis:

On the daily chart, MNS's stock price is forming a bottom divergence compared to the relative strength indicator, anticipating a minor rally in a downtrend. Additionally, the RSI (14-period) is rebounding from the oversold region, adding further support for this observation. Prices are trading below the 21-period, which may potentially function as a dynamic resistance level for the stock; in contrast, the stock’s most recent low might act as a support level. Important support for the stock is situated at AUD 0.070, while critical resistance is placed at AUD 0.085.

Daily Technical Chart – MNS

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest, taking into consideration the risk-reward scenario.

Considering the stock’s current price levels forming a bottom divergence, and momentum oscillator analysis, a “Watch” recommendation is given on the stock. The stock was analysed as per the closing price of AUD 0.074 per share as on 25 October 2023. Magnis Energy Technologies Limited (ASX: MNS) was last covered in a report dated ’01 May 2023’.

VMS’s Technical Analysis:

While experiencing a downtrend, VMS's stock price is forming a descending wedge pattern, indicating a positive bias. Additionally, the RSI (14-period) is fluctuating near the midpoint, anticipating for a potential trading range might take place in the near term. Prices fluctuate between the pattern’s upper and lower boundaries, which may potentially function as dynamic resistance and support levels for the stock. Important support for the stock is positioned at AUD 0.008, while key resistance is placed at AUD 0.011.

Daily Technical Chart – VMS

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest, taking into consideration the risk-reward scenario.

Considering the stock’s current price levels forming falling wedge pattern, and momentum oscillator analysis, a “Watch” recommendation is given on the stock. The stock was analysed as per the closing price of AUD 0.009 per share as on 25 October 2023, down by 5.00%. Venture Minerals Limited (ASX: VMS) was last covered in a report dated ’06 October 2021’. 

Recent Updates:

The company informed it has completed RC drilling program with six separate pegmatite bodies intercepted. Select pegmatite drill samples delivered to laboratory for lithium analysis.

In FY23, ending 30 June 2023, the company reported a net loss of AUD 2.18mn vs a net loss of AUD 1.57mn in FY22. The company is yet to generate any revenue from operations. In FY23, its non-operating income stood at AUD 44,948 vs AUD 14,751 in FY22.

RAS’s Technical Analysis:

On the daily chart, RAS's stock price is forming a descending wedge pattern in a downtrend, indicating a positive trend in the near term. Additionally, the RSI (14-period) is fluctuating near the midpoint, anticipating that a potential trading range might appear soon. Prices fluctuate between the pattern’s upper and lower boundaries, which may potentially function as dynamic resistance and support levels for the stock. Significant support for the stock is located at AUD 0.036, while crucial resistance is positioned at AUD 0.043.

Daily Technical Chart – RAS

Individuals can evaluate the stock based on the support and resistance levels provided in the report in case of keen interest, taking into consideration the risk-reward scenario.

Considering the stock’s current price levels forming a falling wedge pattern, and momentum oscillator analysis, a “Watch” recommendation is given on the stock. The stock was analysed as per the closing price of AUD 0.039 per share as on 25 October 2023, up by 14.71%.

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.

Note 1: Past performance is neither an Indicator nor a guarantee of future performance.

Note 2: Investment decision 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.

Note 3: Related Risks: This report may be looked at from high-risk perspective and recommendations are provided are 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.

The reference date for all price data, currency, technical indicators, support, and resistance levels is October 25, 2023. The reference data in this report has been partly sourced from REFINITIV.

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: It is a level to protect further losses in case of unfavourable movement in the stock prices.

The Green colour line reflects the 21-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 21-period, prices are currently in a bullish trend (Vice – Versa).

The Blue colour line reflects the 50-period moving average. SMA helps to identify existing price trends. If the prices are trading above the 50-period, prices are currently in a bullish trend (Vice – Versa).

The Orange/ Yellow colour line represents the Trendline.

The Purple colour 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.

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