Pan American Silver (PAAS: NYSE)

Pan American Silver (PAAS) operates globally as a prominent precious metal mining company, with recent strategic initiatives bolstering its position in the market. The company has entered into a definitive option agreement with Defiance Silver to sell its Lucita property, adjacent to Defiance’s San Acacio project. This deal promises significant cash and stock considerations, enabling Pan American Silver to expand its silver mining operations and global deposits.

In addition to the Lucita property agreement, Pan American Silver has announced the sale of its 100% interest in the La Arena gold property in Peru to Jinteng Mining, a subsidiary of China’s Zijin Mining Group. This transaction is valued at $245 million in upfront cash, with an additional $50 million contingent payment. Expected to close in Q3 2024, this sale will further strengthen Pan American Silver’s financial position and align with its strategy to optimize its portfolio while retaining future upside through retained royalties.

CEO Michael Steinmann highlighted, “With the sale of La Arena, we continue to deliver on our strategy to optimize our portfolio, following the Yamana transaction, while maintaining future upside through the retention of royalties. Proceeds from the transaction will further strengthen our financial position and allow us to deliver on our capital allocation priorities of investing in high-quality assets, debt reduction, and returning capital to our shareholders.”

Given these strategic moves and financial improvements, we are bullish on PAAS above $16.50-$17.00, with an upside target of $28.00-$30.00. Investors should consider Pan American Silver’s strengthened financial position and strategic portfolio optimization as potential catalysts for future stock price appreciation.

Vertex (VERX: NASDAQ)

Vertex specializes in enterprise tax technology solutions tailored for commercial and manufacturing sectors, enabling businesses to streamline operations and enhance financial outcomes. Recently, Vertex made significant strides by joining the Oracle Independent Software Vendor (ISV) Accelerator for SaaS Initiative, solidifying its integration capabilities with Oracle Fusion Cloud Applications. This strategic partnership is expected to enhance finance and sales processes by embedding essential tax solutions directly into Oracle Fusion Applications, thereby optimizing operations and delivering enhanced value to mutual customers.

Bradd Wildstein, Vice President at Vertex, emphasized, “Through this partnership, Vertex can now enhance our customers’ finance and sales processes by integrating essential tax solutions into Oracle Fusion Applications. It’s more than just data integration—it’s about unifying disparate functions, streamlining operations, and amplifying benefits for our mutual customers.”

Furthermore, Vertex has introduced Vertex Accelerator+ for SAP ERP, a cutting-edge tax management tool that consolidates Vertex Accelerator and Vertex Chain Flow Accelerator into a single, comprehensive global solution. This innovation is pivotal in expanding Vertex’s market presence beyond the US, diversifying its revenue streams, and increasing its revenue potential globally. By addressing common challenges such as inaccurate tax calculations, manual data handling, compliance issues, and rising costs, Vertex is poised to capitalize on the growing trend of digital transformation across industries, particularly in managing global supply chains efficiently.

Given these advancements and strategic initiatives, we maintain a bullish outlook on VERX above $29.00-$30.00, with an upside target set at $45.00-$46.00. Investors should consider Vertex’s expanding market reach, innovative product offerings, and strategic partnerships as key drivers for potential stock appreciation in the near term.

Solana (SOLUSDT)

Solana (SOL) has drifted down with the market over the past week and is currently reacting around the 200-day Moving Average (MA). Notably, during the last Bitcoin (BTC) pullback, SOL printed a higher low, while BTC printed a lower low. Additionally, there has been a slight decrease in BTC dominance, which might indicate a short-term move in altcoins.

Given these observations, entering a long trade in this region could be favorable. If SOL maintains its support and doesn’t close below the previous low at $128, there is potential for a bounce. If the $128 region is lost, the next potential long trade zone would be between $120 to $116. The current risk for this trade is around 3%, so managing leverage carefully is crucial.

For this trade, consider entering between $133 to $131, with take profit levels at $155, $170, and $184. Setting a stop loss at a candle close under $128 is essential. This strategy hinges on the market maintaining support levels and a continued decrease in BTC dominance, which could create a favorable environment for altcoins like SOL to move higher. Monitor the trade closely, especially around the stop loss level, to manage risk effectively.

Bitcoin Dominance (BTC.D)

Bitcoin dominance on the daily timeframe has experienced a clear rejection and has broken back below its trend. This trend reversal is reflected in many altcoins currently holding their support levels. The rejection in BTC dominance suggests that altcoins might perform well if this trend continues.

It’s crucial to watch BTC dominance closely today, particularly in the face of any BTC weakness. The performance of altcoins in their current support zones will likely be influenced by BTC dominance. A significant pump in BTC dominance could signal that traders need to prepare for altcoins to hit their “next levels.”

In summary, the current market dynamics indicate potential strength for altcoins if BTC dominance remains low. Traders should keep a close eye on BTC dominance and be ready to adjust their altcoin positions accordingly.