Thursday, April 28, 2016

Golden Cross

Technicals - Golden Cross and Fundamentals

There is an apex of events happening over the next few business days for PGD.TO.

First and foremost is an imminent Golden Cross. This is when the 50 day moving average cross up over the 200 day moving average.

As you can see by this image, there is really nothing stopping this from occurring over the next couple of trading sessions:

A lot of opinions on whether technical events on a junior stock are even relevant. That is a question for another day.

The golden cross and most technical events like to have associated volume occurring during the event.

Beyond the golden cross, is there any other events that are happening that would generate volume in the stock?

The answer to that is a yes. There is a fundamental reason why the volume should increase. That is because of the expected CH-7 maiden inferred resource (tonnage and grades) that is expected early in May.

You have a fundamental event and a technical event possibly happening within days of each other. This should generate some excitement.

All this happening within 2 months of an expected PEA (preliminary economic assessment).

It might be very quiet on site at Chidliak, however, there should a lot of activity happening in the Vancouver office of Peregrine Diamonds (owner of Chidliak).

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