gold vs gdxj vs idc, page-3

Askari,

In the last technical update I posted a daily chart showing a potential inverse H&S pattern forming.

Despite the recent selloff, the right shoulder is still forming and remains valid, at least for now.

The target for that H&S pattern was @10.5c, so yes possibly a doubling of price from today's low.

I know 10.5c sounds like a stretch from here but remember that GOLD, GDXJ and other PM stock indexes are still regaining old ground and posting new multi month highs.

So as long as we don't slip below key support levels eg. the 200dma on the GDXJ, then it's certainly not inconceivable that IDC could double in the coming weeks.

IMO IDC has often been a volatile play due to the intentional staged funding in smaller amounts and therefore relatively small cash balance at any given time, thus carrying an increased risk perception.

However a $20 mil or so funding arrangement 'to take us through to the middle of the year' would IMO alleviate one of the biggest (if not the biggest) concerns surrounding this world class project.

Cheers
Elpha