The six-month chart of Canadian silver and gallium explorer Cerro de Pasco Resources (WKN A2N7XK / TSXV CDPR) shows the beginning of the green upward trend line from the November low, above which the share price approximately doubled. After the second of the two peaks, consolidation began, which stopped at the green trend line and the 100-day line (even though both were slightly undercut for a few days) – the upward impulse that began there has already taken the price back to CAD 0.70 – more than 30% above the prices at the beginning of the year.
From a technical chart perspective, the two peaks are positive: since the second top is above the first and was also reached with higher volumes, this cannot be considered a double top, which would have been viewed negatively.
The averages are also continuing to rise steadily – it is also encouraging that the 100-day line continues to run clearly above the 200-day line.
A week ago, the Stochastic indicator generated a buy signal (blue line crosses red line upward) – the MACD is also close to doing so. The Chaikin Money Flow shows continuous (only briefly interrupted) capital flow into the stock through its movement in the green zone.
