Novo Resources shares have significantly recovered from previous lows while market attention has focused on Battery Materials stocks. Now is a good time to review previous conglomerate runners as summer is now over in the Pilbara and exploration in the north can now really kick off. DEG and CDT are on my watchlist.
Critical update expected this week, not just for Novo to protect recent gains but also the Pilbara gold plays in the north west of Western Australia. $DEG $ARV.
A positive result of it's 3D map of Purdy's and Comet Wells will help re-rate across the board.
TSX:NVO seems to have completed it's wave (2) of 3 correction, has started its wave (3) of 3, the most impulsive and powerful wave.
The break above the $6.4o area would invalidate the most basic bearish count and a break above $6.80 would give credit to the bullish scenario.
This idea is valid as long as the key support of $3.80/$4.00 area holds.