RE:I were teached that buying up to 6 ebitda was always safe .Hi Brioche,
I am 100% with you that we are save - based on our already impressing and still further improving fundamentals! GCM is by far the cheapest goldmine and a steal on this level.
So all convinced investors should NOT lose their nerves during this crazy days! Stay invested, riding GCM is like rodeo - but the recent bad and desperate sentiment will change soon into positive! Standing the pain now will be crowned with success later. In case of having no take-over offer or other external disrupting events, I see the next swing target at around 10.00 - 10.50 CAD.
As I wrote few days ago, I still see the GCM market playing crazy down until the market technique on the weekly (!) chart will show clear signs of desperation:
(1) CCI(18) to be lower minus 100 and/or
(2) Price touching MA(50) [at around 5.70 CAD]
On the daily chart I am already fine - but I am still missing the confirmation/capitulation on the weekly...
Traders could eventually starting first long positions on Monday - but excessive buying would need first one of the above two conditions confirmed/achieved!!!
Happy summer weekend!