Ann: LGL significantly increases resources , page-20

Morning Lockitt :)

Nice bounce on the news - it could have been sold off instead.

The main worry in the report is that despite the window dressing of the increased resources, the better cashflow, the lower costs etc - LGL still managed to make a $300 million LOSS. Now I know that most of this was related to the Ballarat writedown, but a loss is still a loss.

I agree totally with you re the need to bounce convincingly up through the top trendline. I'm not being as quick on the trigger as you were - I'm waiting until the uptrend is confirmed. Crossed MAs, ADX reversal, etc etc. Been caught before by being too eager and chasing a price.

That support level of around 2.44 is still in play, and the downtrend is still intact at the moment. The next week or so should determine the potential upside or downside.

So I'm changing my sentiment from Sell to Hold.