Today is seeing a nice rally in both the stock market and in individual sectors of the market, such as mining and minerals stocks. On the US OTC exchanges shares of Enertopia Corp (OTCMKTS: ENRT) are soaring up over 51% after the company issued a press release about its Lithium Plant and made a Form 8-K filing with the Securities and Exchange Commission. Check out the chart.
You can see how shares of Enertopia have exploded through its summer highs on big volume. Today the company announced that it “signed an NDA to share data for an initial pilot plant which will showcase the possibility of building a net carbon neutral Lithium mining operation in the Nevada desert.”
According to its press release “the company’s technical advisors believe that the positive testing to date may warrant patent protection, and thus the Company is keeping all internal data strictly confidential at this time. Additionally, beyond the above-mentioned NDA, the Company has also signed several NDA’s with industry partners as it works to reach its goal of a low capex solution to battery grade lithium production.”
The potential in Lithium batteries is fascinating traders, because of the big rise in electric vehicle company Tesla Inc. (NASDAQ: TSLA). Its stock is one of the most widely owned among Robinhood traders and its shares are forming a triangle pattern.
Whether this triangle pattern will lead to a breakout surge or a rollover over dump remains to been seen, but traders are buying small cap stocks related to the trend as can be seen in the rise of Enertopia Corp (OTCMKTS: ENRT) this morning. I own no position in that stock and am not trading it. Neither is Mike Swanson, the head editor of this website, even though he is an active trader in small cap stocks. His top stock pick of this month is in fact a silver exploration play. You can get his free morning stock market updates and trading ideas by getting on his free email list. To do that just go here to subscribe.
-Tim
