RE:RE:Dundee discovers high grade gold/copperAs these are early stage results, you might expect a limited pop, especially given the current lack of interest in the sector, but to get no pop and in fact a slight decline seems out of whack. The sector as a whole seems to have found some support at these levels for now. Possibly tax loss selling is contributing to downside. Also dip below $2 makes it non-marginable. Seems to me to be a huge buying opportunity.
They recently pocketed $50M on foward gold sales before this latest dive in gold price which strengthens balance sheet and takes some risk off. Also hedged additional gold production with min price of $1,200 and max price just under $1,500. Finally, recent equity issue at $3/share is looking pretty smart now and further strengthens balance sheet and reduces risk.