Was fortunate enough to pick up some more a couple of days on the cheap (17.5c) to add to my original purchase at 18c.
Given that the company requires only 22k oz to exceed guidance for FY15 and 33,198 oz was produced in Q3, any surprise (in terms of FY production) is likely to be to the upside IMO.
It's hard to imagine Hartley's lofty 52c target coming to fruition anytime soon, however 50% of their target seems like a conservative and realistic valuation at this stage, and if achieved provides an almost 50% gain from Tuesday's close.
On a technical basis, things are shaping up nicely IMO. Despite the lacklustre performance in recent weeks, the SP looks to me like it has built a solid floor from which it can finally lift off. SLR's short term moving averages have more or less converged and the weekly candlestick chart has already begun to print higher lows and a higher high (so far) in the last few weeks, indicating (alongside other key technical indicators including Stochastics and the Williams % as shown below) that a rally is in its infancy IMO. Note the multi month descending resistance line (dotted) which was broken only last week and confirmed this week.
In the absence of further company specific news, the catalyst for a substantial and sustained rally from here will be POG in USD, which has convincingly broken out to the upside overnight. I have a $1250-$1300 target for end of May / early June so lets see what it can do for SLR and other goldies over the next few weeks.
GLTA
p.s. Chocotan, with respect I couldn't disagree with you more.
If your two theories were valid re: SLR, then the SP wouldn't have (more than) doubled from late December 2014 to mid January 2015, coincidentally at the same time POG in USD rose from $1170 to just over $1300.
SLR Price at posting:
18.0¢ Sentiment: Buy Disclosure: Held
