$40 cents club, page-703

I did a long post on the (considerable) cost of buying back hedges in the short term - RED has 200k oz more hedged than RRL and its not a short term priority - debt reduction to the point where the onerous bank loan can be replaced with a "credit facility" is VIP - it will free RED to engage in corporate actions of its own rather than waiting like a tethered goat for a predator to strike. The much (unfairly) maligned BOD has been strengthened in anticipation of both friendly and unfriendly M&A .... it's nothing a matter of IF but WHEN ... even if occurs in 12-36 months time.

I have hinted at my own exit in part or whole, because I'm nervous about the overall market. I currently believe RED is a (safe) "HOLD", and I'm holding for the next key announcement, the half yearly, which will likely confirm KOTH outperformance and accelerated debt pay down.
There has been a massive increase in "institutional shareholders" and needless to say, they didn't buy in the low 30's on the expectation that's where the SP is going to stay. So, unless the POG sentiment collapses, RED's SP will remain robust, and will range trade for a while till something releases the brake.
So, I expect 34c to be strong support, and 40c firm resistance in the short term ... in the long term ... GOK.