not today, josephine?

It seems unlikely that GDN will break above key chart resistance of .052 cents this week despite flirting seriously with that prospect yesterday. After a surge to .055 cents upon opening the stock closed neutral and this morning has fallen as low as .045 cents.

Does this signal that a breakout is now off the agenda? The chart would suggest it is more likely a regroup rather than a retreat.

We have seen a series of ascending waves with higher highs and higher lows in the past 3 months on top of increased volume. This is significant given the 3 moribund years that preceded this activity and suggests that when a run does occur it could sprint very quickly and show considerable vigour.

Whether the 2000 high of 52 cents (when the SP ran from around .04 - 52 cents in 4 months!) is achievable, I have my doubts but a multiple of the current SP is certainly a distinct possibility from a chart perspective.

I agree with those who see gold as the next boom sector (in fact one need only look at the charts of NCM and OXR and a host of other gold stocks to see that it has begun). If gold fever really sweeps through the broader market, that's when small speccies like GDN will really get interesting. It has multiplied its share price in quick-time before and its fundamentals (assay results, gold price, JV prospects) are better than ever.

The buy side is rebuilding now so I'm predicting another shot at a close above .052, perhaps as early as next week. The other trigger of course would be an announcement of a JV partner to speed development to production level at one or more of GDN's most promising discoveries.

Despite my optimism about this stock, I am always interested in contrarian views or other interpretations of the chart. Any comments gratefully received.

Conduct your own research. I hold.

R/Gupper