Top Cheapest Stocks For 2016

Top Cheapest Stocks For 2016: Rare Element Resources Ltd (REE)

Rare Element Resources Ltd. (Rare Element) is engaged in the acquisition, exploration and development of mineral properties. The Companys principal property is the Bear Lodge Property located in northeastern Wyoming, United States of America. The Bear Lodge Property consists of two projects: Bear Lodge Rare Earth Element Project (Bear Lodge REE Project) and the Sundance Gold Project. The Bear Lodge REE Project consists of the Bull Hill mine deposit, the Whitetail Ridge resource area, and the East Taylor and Carbon exploration targets. The Company holds interest in the Bear Lodge Property through its wholly-owned subsidiary, Rare Element Resources, Inc. Advisors' Opinion:

• [By James E. Brumley]

  Rare Element Resources Ltd (NYSEMKT:REE) has been getting more than its fair share of attention of late.... bullish attention, to be precise. The stock's benefited from the attention too, with REE shares up 58% in the past two and a half weeks. As compelling as that move is, however, it's not the best rare earth bet at this point. If you like Rare Element Resources, you'll love Avalon Rare Metals Inc. (NYSEMKT:AVL). Unlike REE, AVL isn't already overbought. Indeed, it's just getting started.
  
  First and foremost, it's worth noting that the undertow pushing Avalon Rare Metals and Rare Element Resources Ltd shares upward is doing the same for most rare earth metal miners. That undertow is simply a broad price improvement for rare earth elements. Since July's low, neodymium ("the biggie) prices have advanced from $75/kg to the current price of $103/kg, and are still going strong. Some observers have already suggested the proverbial bottom has been made, and their arguments actually hold up pretty well. That's why REE and AVL have been such - no pun intended - hot commodities of late... this rebound in rare element prices seems to be the real deal.
  
  So what's wrong with Rare Element Resources Ltd that isn't w! rong with Avalon Rare Metals? In simplest terms, AVL isn't overbought right now, while REE is.
  
  With just a quick glance at the chart of Rare Element Resources Ltd we can see that shares had already been hot, gapping higher back on the 16th, yet never looking back. Now it's up huge, and on huge volume. In fact, today's big 11% pop will be the highest volume day we've seen in months.
  
  On the surface it seems bullish, but this is one of those "too much of anything is still too much" situations. REE may be hot, but it's well overextended already, and today's extreme bullishness may be actually be a blowoff top.
  
  AVL, on the flipside, isn't nearly as overextended right now. In fact, it appears to just be getting started. Though it to

• [By James E. Brumley]

  Back on September 24th I pointed out how Avalon Rare Metals Inc. (NYSEMKT:AVL) was a superior stock pick to Rare Element Resources Ltd (NYSEMKT:REE), even if only for short-term technical reasons. Either way, however, the rebound in the prices of most rare earth metals was going to be good for both REE and AVL. The one name conspicuously missing from the bunch, of course, was Molycorp Inc. (NYSE:MCP). Well, you can finally add MCP to the buy list as well. In fact, the different path it took to technical soundness may well make Molycorp the best pick of the bunch right now.

source from Top Penny Stocks For 2015:http://www.seekpennystocks.com/top-cheapest-stocks-for-2016.html