Since failing to close above $0.16 as I expected earlier in the week, it was inevitable for MRX to retest the 138% fib point, or approx $0.14. This point was tested vigorously yesterday, and failed to fall over.
Holding this important high support point means MRX is still set up to make new highs in the near term, and will at least have another go at $0.16.
Sometimes we are guilty of expecting too much too soon. However if we respect the fundamental analysis of Ray Chantry, Baillieu mining analyst, we would expect this current phase a short term consolidation as it trades to fundamentally higher levels closer to $0.30.
I view chart in this way, rather than a topping out situation which we see so often.
I consider also that Ray Chantry's valuations were at a time when CU was trading at approx $1.10 lb, whilst current price approx $1.35 lb
So in making my price movement predictions, I keep in mind the fundamental changes which are occurring in this resource rich company.
All the best
MRX Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
