flinders ranges mine may be banned, page-9

article from asxguru.com.au on MTN

Last week I posted about Marathon Resources (MTN) gaining the renewal licence to recommence exploration activities at their Mount Gee Uranium Project. The initial reaction was favourable with the share price rallying to new 52 week highs of 73c on the following Tuesday. The rally was short lived however with the profit takers coming in and driving back the stock price back to lows of 60c by Friday.

On Friday I actually suggested that it was a buying opportunity and my call was correct as the chart shows the stock price rallying after the low of 60c was made. Friday?s trading saw the share price close at the day?s high of 65c. That close gave the chart are bullish set up.

This morning a strong open was made with the share price opening at a gap and rallying strongly to close at a new 52 week high of 81c, which was just off the day?s high of 82c. Marathon Resources managed to put on a respectable 24% gain today. The chart shows a very bullish white candle for today?s trading session and a huge surge in trading volume as well.

Just before the close of trading today, the company released an announcement that stated that major shareholder, Talbot Group Investments, had sold their stake. The news of the sale along with today?s surge in trading volume and share price rally probably suggests that there will be a takeover soon.