Lithium X Energy Corp (OTCMKTS: LIXXF) Remains A Top Pick

Lithium X Energy Corp. continues to trade in the range that it has been in since April of 2016 with support at about $1.08, and resistance at about $1.80. There seems to be a pattern of testing the resistance level with a sharp price spike on stronger than usual volume, followed by a gradual retracement back the support level. Then the pattern repeats. This pattern is indicative of interested investors “buying the dips.”LIXXF is currently trading at $1.22 near the lower end of the range after testing the support level with strong volume twice since March 13, 2017. From a technical analysis perspective, savvy traders should see this as a buying opportunity.

There are however, reasons other than technical analysis patterns for investing in Lithium X Energy Corp. First, a little background on the company for anyone that is not familiar with the company. Lithium X Energy Corp. is a lithium exploration and development company with a goal of becoming a low-cost supplier for the lithium battery industry.Lithium X owns 50%, and has the option to acquire up to 80%, of the Sal de los Angeles lithium brine project in the prolific “Lithium Triangle” in mining friendly Salta province, Argentina, a well-known salar with a large resource and high concentrations of lithium. Lithium X’s Arizaro project consists of 33,846 hectares located in one of the world’s largest salars thought to contain elevated lithium brine values. Lithium X is also exploring a large land package in Nevada’s Clayton Valley , contiguous to the only producing lithium operation in North America – Silver Peak, owned and operated by Albemarle, the world’s largest lithium producer.On Feb. 21, 2017, Lithium X Energy Corp. announced that the Company received permits for the construction of the initial ponding facility to be constructed as part of the Salta Exploraciones S.A. Joint Venture. The permits allow for the construction of brine collection, pumping, piping and ponding facilities. The initial ponding facility is designed for an output of approximately 2,500 tonnes per annum of lithium carbonate equivalent.

"The receipt of construction permits for our Facility is a major landmark for Lithium X and our joint venture with SESA," commented Brian Paes-Braga, Chief Executive Officer "We are on the cusp of obtaining our first 5% lithium concentrate from our pilot pools on site. This is a high purity brine concentrate that could serve as feed to existing or new battery grade lithium carbonate and/or lithium hydroxide plants. We have already been approached by several end users of the expected concentrate and look forward to initiate testing with downstream partners."

In connection with the Sal de los Angeles project, on March 14, 2017 Lithium X Energy Corp. announced that it closed its previously announced bought deal public offering of 7,900,000 common shares of the Company at a price of C$1.90 per Share for aggregate gross proceeds of C$15,010,000. The Company intends to use the net proceeds of the Offering to continue the development of the Sal de los Angeles lithium brine project.In another noteworthy press release putting the company in a positive light, Lithium X Energy Corp was recognized in the 2017 TSX Venture 50 as the mining sector's top performing company. Each year, TSX Venture Exchange (TSXV) provides a ranking of listed companies that have shown notable results in key measures of market performance. The 2017 TSX Venture 50 ranking of top performing companies highlights five industry sectors: Clean Technology and Life Sciences, Diversified Industries, Mining, Oil & Gas, and Technology. Ten companies are selected from each sector based on three equally weighted criteria: market capitalization growth, share price appreciation and trading volume. Lithium X Energy Corp. ranked number one in its sector.Lithium X Energy Corp. is maintaining a market capitalization of $86.81 million, on 71.16 million shares outstanding as of March 8, 2017. While the company seems to be well funded, it has yet to record its first dollar of revenue. However, the company remains one of the best positioned Lithium plays for investors with top management and a rich resource property. The pattern of "buying the dip" looks set to keep rewarding investors. We will be updating our subscribers as soon as we know more. For the latest updates on LIXXF, sign up below!Disclosure: We have no position in LIXXF and have not been compensated for this article.