RE:Range bound
wajac wrote: NFG's range bound trading shows no sign of letting up. I thought, hoped, believed in fact, that the $7.95 close on Friday signaled the end of it. Apparently not because here we are as I write with the stock down .30 from Friday's close. I wonder what it will take for it to break out. Perhaps it will be a monster intercept. Maybe a major will take large position as happened to Diamond Fields with Voisey's Bay. I don't know but what I do know is that it will eventually break out and move to a higher level. The problem is that it's extremely boring waiting for it to happen.
Yes it hard to watch NFG trade at these levels. The 52 week low on the stock is getting higher all the time which I regard as a positive. Within a few weeks the 52 week low will be well above $6 cnd. Most new investors that look at these gold juniors that is one of the first things they look at. Just an observation on my part but important all the same for new investors.
The most likely trigger to send the stock higher would be more great drill results. Although given the last hole was phenomenal I wonder just how amazing the results would have to be to send the stock higher. It doesn't get much better than 69 g/t gold over 14 meters. Perhaps if the company discovered another zone or announced a major extension of a known zone would help the stock jump.
So another trigger as you mentioned would be a gold major buying an equity stake in NFG. Or somebody else for that matter wanting to make a big investment in the company. Investors could come from anywhere. Just look at what Eric Sprott and AMC Entertainment did for HYMC when they announced a substantial investment in the Nevada gold miner. The share price soared on the news.
The last possible trigger could be the price of gold itself rising significantly or that the company is working towards a resource estimate or progress closer to a decision about mining it themselves. The trigger could be a combination of a couple of these things above happening simultaneously. There is no doubt that NFG will continue drilling for a number of years finding more more gold increasing the ultimate valuation of New Found Gold.