Stock Price Breakout

The daily short term, weekly log scale and monthly linear scale chart all concur that a breakout over a long term trend has been achieved:

Daily Short Term

In the daily short term chart for GBN.V, declines in the $IRX and rises in the gold price contribute to the advance of the share price. In the absence of gold price advances for the next couple of weeks, the driver would be the decline of the $IRX, coupled with net settlements on naked shorted shares. Long term resistances on the daily chart were adjusted to reflect the same noted reference on the weekly log scale chart. This is the final long term resistance line for the stock in an inverse head & shoulders formation.

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Weekly Log Scale Chart

You can see the same breakout in the long term. There has been a sharp rise in the Accumulation/Distribution since the new year, lending justification for the theory that sellers of stock without first owning them are attempting to buy back their positions.

(The fundamentals of the stock have improved considerably with mine development, and the rise of the gold price. However the main driver would be the decline of the $IRX. Should money market rates in Canada decline, there would be many more motivated buyers. There is very little participation in the stock from the wider market. News releases are unlikely to occur to the shareholder's advantage, though the two fundamentals of gold price advances and interest rate declines have check-mated the short interest in the stock.)

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Monthly Chart

The monthly chart in linear scale shows a breakout under heavy volume. September was the heaviest volume month with October not far behind.

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-F6