The six-month chart of the Canadian precious metals explorer Goliath Resources (WKN A2P063 / TSXV GOT) rose massively at the beginning of the year – at the end of February, a pullback began, which led the price slightly below 1.50 Canadian dollars. Support was provided (as before) by the 200-day moving average and the gray support zone – the price thus did not fall below the high point of last autumn. In this downward movement, the purple trend line has formed, the overcoming of which would be a clear signal for rising prices.

Both averages are still steadily rising and the 100-day line continues to run above the 200-day line – this is to be viewed positively. The price has also already managed to climb above both averages again.

The stochastic indicator generated a buy signal at the beginning of the month (the blue line crosses the red line upwards) – this should also be imminent for the MACD. The trend confirmer continues to trade near the six-month lows, but is just showing an initial turn upwards. The capital outflow indicated by the course of the Chaikin Money Flow in the red area is noticeably decreasing – a turn into the green (which would indicate an inflow of capital) is imminent. The Overbought/Oversold indicator has just come out of the negative zone again (after a three-month decline since the overbought signal at 2.0) and is now trading just above the neutral zero – it is thus still very far from an overbought status.

CEO Uses Price Dip for Additional Purchases

Goliath Resources CEO Roger Rosmus has used the recent lower prices to buy more shares of his company, presumably for fundamental rather than technical reasons, we speculate. Between April 4 and 9, the Goliath founder purchased a total of 40,000 shares at prices ranging from 1.35 to 1.50 CAD.

Source: Comdirect