RE: RE: RE: RE: Very bullish last 30 minutes—1 MilActually, there were really two attempts to break through that .45 which has become the real next resistance point.
As I have stated before, it typically takes two to three times before you break through a major resistance point, so third time "should" be a charm.
I do agree with the thoughts about being surprised that we didn't break through on that last news release. I've been around this game for a long time, and that was definitely one of the nicer releases I have read about a company for a long time.
In efg's particular case, the daily chart was toppy enough that the mm's could influence the trading enough to break through the .38 support and take it right down to the 50 percentile, most likely by triggering the stops.
This allowed them to accummulate at a discount, knowing that the price range would most likely not last very long.
I was expecting it to churn in this area for a while longer, which imo would have made the charts even more attractive going forward, but it appeared that a group just didn't want to wait any longer and wanted their positions now.
A very good post was just presented showing what efg has accomplished and indicates some serious numbers of what is in the ground and how easy it is to access the products.
The various brokerage firms will be doing their D&D on this one and will come to the conclusion that this is a viable play and I believe it is the larger firms that will be the ones that will push this over that .45 area.
On that note, with the next NI report due in November and most likely some more sampling results in between, I think this worry about .45 is short lived and the next real lines we will be looking at are the .52 and .62
I personally think that it will be the November NI report that allows this stock to test the previous $1.03 mark, and at that point, we should have a company that is well on its way to becoming a serious producer of these rare metals.
In my opinion, 30 days from now, .45 will look cheap in comparision.
Happy Trading all,
Mediascan