The drop in the share price of blk is a joke and the recents record announcement with a slightly higher cost of production is nothing more than an opportunity for stronger hands to scare weak hands into pushing the share price lower. If the situation in Syria didn’t happen and gold remained flat then it’s more than likely the share price would have kept going lower, as we’ve seen the bears are in control. BUT something terrible is likely to happen and the safe haven of gold is going bezerk.
Tomorrow the share price of blk will also go bezerk. It’s pretty obvious but all gold stocks will rally tomorrow, blk in my opinion will rally double the others because it’s been soooo oversold. Shorters will buying like mad men to get back their position. This is one of the cheapest producing gold stocks on the asx and I can see 10 cents being challenged tomorrow. 20% increase will not be out of the question.
Just my opinion.
BLK Price at posting:
7.8¢ Sentiment: Buy Disclosure: Held
HotCopper & The Market Online will be live From the Floor at the Mining News Select Conference and we want to bring the voice of our online audience to the show with us.
