A pure speculative play (companies operating efficiencies aren't the best) that has a return potential of 5X+. The long term chart (going back to the 80's!) looks primed to explode if all the 30 & 10 year descending trend lines get taken out, as well as the golden cross & the inverse H & S as noted in HI_DUTENGIN's post. The fundamentals of the company are OK (fairly strong balance sheet) & with the current macro outlook as well as the precious metals space in the first inning of its bull market, as well as how underexposed global investors are to the mining industry relative to history, this name with a relatively low market cap could absolutely rip (as seen in previous PM bull markets) on the back of big money getting into the space. Wouldn't hurt to allocate >1% of portfolio to this name (essentially a call option on the miners without the decay). PURE SPECULATION, macro fundamentals will be the wind at your back and will more likely be a inflows story with money chasing miners, rather than the company becoming profitable again.
Trade active:
Break of daily wedge +9% on huge volume, barring another dump in equities/gold, this name ready to go
Comment:
False breakout, this could get ugly short term, depending on FOMC reaction.
