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.015 is where I think it's heading on the event of a breakdown. I don't think that'll happen, but I'm waiting for some confirmation of direction before buying any more.
I disagree with your analysis. .022 is support for the week, as long as that holds, and should climb higher by the EOW PCFG is still in a potential uptrend. Should get confirmation of a breakout/breakdown today or tomorrow. PCFG getting wedged into a corner, this is when we'll find out what it's made of.
LOL. Ain't that the truth.
Low volume often marks the calm before the storm IMO (most sellers are done selling, buyers haven't started bidding it up yet), the storm being a decisive breakout one way or the other (my guess is to the upside but I'll be watching carefully for confirmation). Whichever way the volume takes it will indicate near term price direction. If it can break above .03 we should get a nice move higher from there IMO.
This is an important week for PCFG in terms of price action development (next week at the latest), smart investors will be keeping a close eye on it.
FWIW, I think .90 is extremely over-optimistic for the foreseeable future (I'd love it if you were right though). Regardless, if I see this breaking to the upside this week I'm adding more before it gets away from me.
In March 2010, SUGO announced they had "signed a multi party Secured Collateral Asset Investor Letter of Intent ("LOI"). The transaction's structure utilizes the potential economic value of the Conglomerate Mesa claims to create availability of up to $7 million over an 84-month period for Sungro to use in development of the claims"
http://finance.yahoo.com/news/Sungro-Minerals-Inc-Signs-iw-3275758461.html?x=0&.v=1
Apples and oranges. A permit denied to a company who wants to blast an open pit mine in a protected biosphere reserve isn't even in the same ballpark as SUGO's project which was permitted to Timberline in 2008.
I don't think part of my last post was as clear as I meant it to be:
Fair enough, I didn't count the first one because it didn't touch .0019 but basically you're right. Just remember that in Nov/Dec there was also a triple bottom that didn't hold. Also, looking at a chart from last year, both the Feb and June bottoms took about a month or so of churning before making any big moves higher. Maybe it'll be different this time but probably not IMO. When a stock falls as hard and as fast as HLNT has, there's so much overhead resistance it can take a while to work through all the supply. Depending on when earnings come out, that could change the timeframe though.
The only legitimate concern the dilution raises IMO is why they can't seem to fund any of their major expenses with cash from the business. Because of the lowball price the new shares are being offered at the last two dilutions raised about $250,000, I didn't take the time to figure out the amount raised in December.
Without a clear picture of their earnings for the 4Q, I think investors are scrambling for a clue what their current business is generating, and having to sell shares to raise a relatively small amount of money may be shaking the confidence of some shareholders.
Personally I don't have a problem with the dilution (although I think they could have gone about it differently) and everything I with what I know about HLNT I'm still a long term bull, but as a guy who primarily relies on technical indicators to make buy/sell decisions, I'm on still on the fence for now (except a small core position I'm currently underwater on).
Today was either a double tap of the bottom or a continuation of the downtrend, guess we'll get a better idea on Monday.
You may be right, too early to tell if it's a solid bottom or not. In my gut I don't think so but if I see confirmation by way of a break in the downtrend I'll start buying.
FWIW, I don't think it matters if the shares enter the open market or not. By diluting, the value of each existing share is lowered. FWIW, the failed breakout in December that resulted in the January slide is an area that "should" have held. I sold the bulk of my shares on that Jan 20th bounce.
The technicals are shaping up nicely here. SUGO is rebounding just as I thought it would. I'm real glad I bought the dip, this should be back in the teens in the next few weeks if not sooner IMO.
I don't know if they are restricted or not.
Regardless, it's not the dilution that matters but shareholders reaction to it. So far, starting with the dilution in December every time they have sold shares it has resulted in a failed breakout.
Yes I did mean .17, thanks for catching that.
Thanks for the wisdom, I'll definitely call David. Glad to hear they don't intend to announce fluff, but of course I'm hoping they have something substantial to report soon.
A week or two ago. Check OTCpinksheets for the filing. It also shows the announcements about the last two dilutions.
I'm hoping they announce when the test production run starts (the Jan 21 press release announcing it said it would take 4-6 weeks to get up and running so they may not have started yet) to give investors a sense of confidence that things are moving forward. This is now the 4th week since the press release, so we're probably going to get 2 - 4 weeks of production results in the 1Q earnings report. Considering they lowballed the share price in the recent dilutions, the least they can do is give us as much information as possible as soon as it's available.
I'm not saying dilution to raise cash is the wrong thing to do (obviously their first priority is to grow their business), but when they dilute at a significant discout to market prices it puts selling pressure on the stock in the near term. Other than a small core position I'm holding, I'm happily on the sidelines just waiting for the right moment to buy more.
Depends on the O/S count you use for your calculation. HLNT just issued another 78,947,368 shares on Feb 22nd (I calculate the price at approximate .0012 - .0014 per share)
http://www.otcmarkets.com/otciq/ajax/showFinancialReportById.pdf?id=44368
At this rate, I'm assuming they'll use the entire 2.5 billion A/S, so at .002 their market cap is $5 million. I'll admit it does seem low, but it's hard to get any stability in the stock price when they keep diluting at severely discounted prices.
A lot of selling the last couple of days. I'm not sure if it was because the markets looked like they might topple or something else. If .017 breaks any semblance of an uptrend that was in place is broken.
The end of day buy was encouraging, but unfortunately it was only 3,000 shares.
Excellent post, thank you for the detailed analysis.
I agree that PCFG mgmt is lacking somewhat in the communication department, but at least nobody can accuse them of pumping their stock. I feel extremely comfortable with my investment (initial purchase at .032, I've been averaging down this past week). IMO the charts are pointing to a potential breakout as early as next week as long as the share price continues to consolidate in the .02s
I assume that was the bulk of it. The fact that this latest piece of equipment has been ordered, and most likely delivered and being tested at this point makes me think that they raised a sufficient amount of cash to start moving forward. In all honesty, if they need $300,000 they could just sell some shares to raise it quickly instead of running around hat in hand or hoping for the second traunch of money in 100 days. Dilution may explain those large T trades last month. I'm not sure if anybody called the transfer agent lately to check the O/S. One thing I've learned in combing over PCFG's history is that they issue periodic updates and announcements on major milestones being achieved. I assume at this point they are waiting to announce the beginning of production instead of updating on every little step along the way. Just a hunch.
Yeah I agree, that's what it is. Nobody really wants to bid it up much but nobody wants to sell it off either.
BTW, nice gravestone doji at .018. Those are pretty good at marking bottoms of trading ranges. Looks like the battle is between .018 and .208 this week.
That's how I understood it.
Thanks. I just found this:
http://www.pacificgoldcorp.com/news101123.html
(it's a long press release so I'm only including the relevant paragraph)
I would be willing to guess that a large bulk of that $500,000 was for the equipment they ordered in early Jan. So it stands to reason that they are not waiting on the balance (which is an option for the other company, not a mandatory payment) to start production.
BTW, in which press release did they announced that they needed $500,000 to start production. I'd like to review the details.
No problem. Ideally .018 should hold, but to play it safe I'm building in a margin of error so I'm watching the 50 day MA & the lower bollinger band.
Looks like a nice bolli squeeze is coming up, makes sense that CMIN would be higher in the next few weeks with earnings approaching & the test mining op due to start soon. I'm just surprised at how long it's traded sideways for, probably because of all the dilution recently.
I don't think the one has anything to do with the other. Maybe I misread the press release, but I think it was talking about a different site than the one PCFG intends to start production on (soon).
As long as .18 holds we're in good shape. If that fails any semblance of an uptrend gets broken. I believe it will hold, but as I just posted on the PCFG board, it also appears that CMIN is doing everything possible to NOT breakout. Seems odd to be selling at .18 now with the test mining operaton due to start soon. I can see the reason for it technically, I just sometimes wonder about the intelligence of the average shareholders of the stocks I own.
Yup, frustrating to say the least. Makes no sense except that it appears PCFG is building a nice base in the low .02s. I think this could start moving higher next week, but its probably going to be a slow climb unless some news comes out.
Seems like the story of my life lately. Many of the stocks I own are doing everything possible to avoid breaking out. Well, at least they are not selling off.
FWIW, why anyone would be in a rush to sell in the low .02s is beyond me, but it seems there are more than a few people who can't read a chart, or are just losing patience.
True, there's a risk with any trade and I obviously jumped the gun a bit but I didn't go all in, just added. Besides, I don't think it'll go below .04 but time will tell. I still believe that anyone selling down here will regret it in the long run.
Buying more in the .05s. Like taking candy from a baby. I almost feel sorry for anyone foolish enough to be selling down here.
Anything is possible. Like I mentioned in another post, the way I see it .0019 (the recent dilution price) is either going to be support or resistance, I'm just not sure which yet.
I still like HLNT's long term prospects and have a small core position I'm holding on to, I just can't bring myself to add more until the technicals indicate it's a solid buy. Because of some tape painting trades when it was near the .006s, the exact trendlines are more difficult to identify, but that peak at .0028 on Friday was meaningful IMO so that's a solid place to use as a reference point.
Absolutely wrong. When there are no buyers, sellers who want to get out start taking anything they can get. That's why a few weeks ago all the bids were at .075 - .081 for the most part. Once that selling pressure subsided, the buyers had to show their true colors and raise the bid, indicating that they eagerly wanted the stock.
BTW, just shy of 100,000 shares traded today and all of them at the ask except for the first thousand at the bid. So yeah, I'd say there is some buying pressure. Let's see you spin that.
Definitely. Both the daily and the weekly charts look great. Should be a run into the .02s without any trouble, maybe higher
That may be true about the short sales, I have no idea (I know they are primarily intraday shorts if nothing else. There doesn't seem to be a high amount of residual short positions)
As for the buying interest, I never said it was off the hook, just that it was present and starting to pick up. Reversals in sentiment & price action take time.
What's undeniable is that selling pressure has subsided significantly in the last couple of weeks.
Nicely done. I have more modest expectations in the near term, but given enough time $1 is certainly possible.
Nicely done. I have more modest expectations in the near term, but given enough time $1 is certainly possible.
Point taken and I do understand what you're saying. What's bullish about that is that the selling pressure has subsided, and looking at the bid/ask in Level II, you can see that buyers are lined up trying to catch shares at the bottom. As happened yesterday, when the crumbs dropped don't satiate their appetite, they raise the bid.
On a side note, interesting that on a day like yesterday only 27,000 shares were shorted. Much less than it would have been even a few weeks ago. Seems like even the shorts are recognizing the limited potential gains to the downside by shorting in the .08s