Louvem's shares are not well exposed to the public as the company's stock only receives four news releases per annum, the quarteries plus the year end annual report. If any announcements concerning exploration results ever get released it is by its parent, Richmont Mines who owns the great majority of the outstanding shares.

So for the interim, it might be helpful to look more closely at the chart in the absence of news. Recently, the stock has not been receiving much buy interest with the increase in gold from its past low near $840 to its present price of $928.20. As this lack of buying interest continues TD Securities has been feeling impatient and has been showing some offerings. Louvem recently has been feeling selling pressure at .57 and today there is an offering at .55 for 22,500. The question is, when will the past buyer either show a bid or step up and take the offering?

My feeling is that with stock offered, the buyer is in no hurry to step up to the plate and take a swing at the 22,500 amount at .55. It looks like the buyer will wait out the seller with hopes of buying lower while not showing a buy interest for the moment. It would not be surprising to see gold react some after its recent strength. If gold sells off the 22,500 seller will either pull the offering and go into hiding for a while or lower the selling price.

Looking at the chart, there is apparent excellent support in and around the 1,000 day moving average line at about .42. The stock may even trade there as the minor recent uptrend line at .52 appears to have broken down.

In the last quarter Louvem earned 3 cents a share. With a 42,000 meter drill program continuing management is enthusiastic concerning its exploration potential. Assuming Louven continues to earn 3 cents a share for the next three quarters with an expected higher gold price, maybe more, it will earn 12 cents for 2008. 12 cents versus the last sale of 50 cents equals a price earning ratio of 4.17.

Along with a P/E ratio of 4.17 coupled with continuing success in adding to the company's reserves via the exploration program makes Louvem one of the best undervalued buys in the junior sector.