After December's breakout from 40 cents, it formed a nice upward channel to 50 cents. Sideway's movement seems to be the driver at the moment and I am tending to think that both accumulation and distribution are occuring.. Volumes are sound. The 50 cent mark is the psychological barrier that is being tested at the moment. Odds are that a breakout to the upside will occur from here, maybe on good news or POG rally, and that 50 cents will become the support at the worst case. The best and more likely scenario I can see would be a continuation of the primary trend in the last month, ie. a breakout and continuation from 50 cents.
But of course, this is only my opinion.
Cheers
BBM
OXR
oxiana limited
