By: Tomas Ronolski - AllPennyStocks.com News

Tuesday, February 23, 2021

Gold prices climbed back over $1,800 an ounce while silver advanced to a three-week high above $28 per ounce on Monday, as traders started to fret over possible consumer-driven inflationary pressures. By large, market participants have shrugged off any inflation risks related to trillions of dollars in cash stimulus, but it seems to be coming into calculations against the backdrop of a softening greenback, ultra-easy monetary policy and flattening yield curves. Historically, gold and silver have attracted buyers as an inflation hedge and while bitcoin has joined the mix as a store of value lately, the classic metal assets will never lose their luster when inflation gets real.

To that point, silver is moving in on a new 52-week high and the chart for gold is forming a 10-year “cup and handle” pattern, a bullish continuation pattern considered generally reliable by technical traders. If gold completes the handle by making a turn back upward to break through resistance about $1,925 per ounce, it quite possibly is heading much higher from a technical perspective.

Minutes from the latest meeting of the Federal Open Market Committee, the group that sets monetary policy for the Federal Reserve, indicate that the central bank isn’t going to be lifting rates or slowing its $120 billion in monthly asset purchases anytime soon as it continues to support an economy trying to heal from the COVID-19 pandemic. Fed Chairman Jerome Powell says inflation and employment both remain well below the Fed’s targets.

Speculation of rising inflation could be premature at this time. However, the stock market is forward-looking, meaning that any indications (or even perceptions) of building inflationary pressures could provide a boost to precious metal stocks.

FAR Resources Ltd. (CSE:FAT) (OTC:FRRSF) (FSE:FOR) has several ways to get the market’s attention, including its Winston Gold and Silver Project in the Black Range in southwestern New Mexico and two lithium projects in Canada. Lithium remains in high demand due to the necessity to ramp-up supply chains for lithium-ion batteries that power electric vehicles.

Speaking of getting the market’s attention, the Company has made compelling progress across its portfolio of properties, including with today’s announcement that they confirmed bonanza sampling collected at a prospect pit in recently staked ground had returned 41.5 g/t Gold and 4,610.0 g/t Silver on its Winston Project.

The Company’s President and CEO was certainly excited by Far Resources’ recent developments by stating in the press release that, “The discovery of these high grades outside of our initial area of focus is very exciting. Our field work program is progressing as anticipated and is yielding positive results on our new claims. We will aggressively continue our work program to identify and expand the claims for the upcoming drill program in 2021.”

After a brief pullback and today’s impressive announcement, the focus will shift to see if shares of FAT can resume their impressive uptrend that began in mid-November. Everything seems to be aligning for the miner, and we get the feeling that the next few days will be telling for the stock going forward.

About AllPennyStocks.com:

AllPennyStocks.com Media, Inc., founded in 1999, is one of North America’s largest and most comprehensive small-cap / penny stock financial portals. With Canadian and U.S. focused penny stock features and content, the site offers information for novice investors to expert traders. Outside of the countless free content available to visitors, AllPennyStocks.com Pro (premium service) caters to traders looking for that trading edge by offering monthly stock picks, daily penny stock to watch trade ideas, market commentary and more.

As a result of its commitment to journalistic excellence and abundance of information in a particular area of equity investing (micro-cap investing) where there aren’t many credible sources of information, AllPennyStocks.com continues to have one of the largest audiences of micro-cap investors on the internet.

Copyright © 2021 AllPennyStocks.com. All rights reserved. Republication or redistribution of AllPennyStocks.com's content is expressly prohibited without the prior written consent of AllPennyStocks.com. AllPennyStocks.com shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

AllPennyStocks.com has been compensated ten thousand dollars from a third-party, L.F. Enterprises Inc. for its efforts in presenting the FAT profile on its web site and distributing it to its database of subscribers as well as other services. For a complete disclaimer, investors are encouraged to click here: https://www.allpennystocks.com/spotlight/1063/FAR-Resources-Ltd