Technical analysis says...that the sell off is over and yesterdays closingcandle shows us a double bottom and support at 0,77-0,78. The upcoming news will shows us the direction we will go in very short term.
But i wouldn't bet my hand on TA (even if it was a good indicator in the past on ec). So close before some important news TA plays a less important role.
We will surely get some information about the core from hole-5 (our first drill hole) in the next days or early next week. The "main drilling" starts with the first of the three high-ip targets. I see the coming news / especially the assays in 2 weeks or so as a BUY / BUY situation just like i posted in my blog.
Scenario 1) only a few meters of gold: buy on the dip. It shows us that there IS gold...somewhere... and makes some people more confident. Expect a drop to 0,60-0,65 >>> there will be a lot of buying/accumulation going on in this range preparing for the hype followed with drilling of the high-ip targets. We'll be loving it!
Scenario 2) NO gold. Dip to the low 50's. Same reason like scenario 1 why we won't dip harder. lot of buying/accumulation going on in this range preparing for the hype followed with drilling of the high-ip targets.
Scenario 3) Respectable gold interesections. Let's say 50m of 5g/gold Will be a strong buy from the first moment of releasing the news. Will give us strong support and a slow and stady increase in the share price over the next weeks in anticipation of the high-ip drilling.I am NOT talking about the motherload. Motherload can follow in high ip targets. Target 1,20 Can$ and waiting for high-ip core information and the assays.
Scenario 4) 2-digit gold intersections over a length of more than let's say 30m. SP going crazy. Remember that sandstone covered our target for 130m so gold intersections of 100m and more are imo not possible. But if i am wrong>>> Gap up 2$
Did you followed the bid/asks yesterday ? After td sec throw his shares into the bid @0,75 a new bid kicked in by scotia: 10.000 @0,76. The bid disappeared in less than a minute and a bid by RBC with 10.000 shares @ 0,76 kicked in.
Dirty games. Gold price correcting right now and preparing for the next huge run.