Will gold hold $1000 ?The average production cost for most producers is well over $1000. So there should be some support in this area. But the market sentiments at this time are so bearish that there is a chance that gold will test $1000 & may dip below it.
BTO is a decent company but it is trading with the price of gold like other gold companies & creating new 52 week lows.
All time low of the stock is around $.30 which was in Nov 2008. Now BTO gold is very different company & all time low might not be relevant price area for bottom feeding. If long term chart may not be of any help then other source of help would be tech indicators which show the stock is very oversold. But he problem is that corrections are very painful & charts do not help that much.
Gold stocks will only stabilize when gold bottoms out & rebounds. At this time calling the bottom of gold is a very difficult call.
The all in production cost for BTO is $1025. So the company is still breaking even but the spread is paper thin.
Gold is down again & it seems that BTO is going to gap down at the open & create a new 52 week low.