HEFFX – Highland Gold Mining Limited (HGM.L) Could Move Higher
In a recent meeting with Shayne Heffernan CEO and Founder of HEFFX one of the stocks he said worth mentioning was Highland Gold.
Highland Gold Mining Limited is engaged in establishing a portfolio of gold mining operations within the Russian Federation. The Company operates in four segments: gold production, polymetallic concentrate production, development and exploration, and other.
The gold production segment comprises two segments, namely Mnogovershinnoye (MNV) and Belaya Gora (BG). The polymetallic concentrate production segment contains Novoshirokinskoye (Novo). The development and exploration segment contains entities, which hold licenses in the development and exploration-stage, including Kekura, Klen, Taseevskoye, Unkurtash, Lubov and related service entities, including Zabaykalzolotoproyekt (ZZP) and BSC. Mnogovershinnoye is located in the Nikolaevsk area of the Khabarovsk Territory in the far-east of the Russian Federation.
Shayne Heffernan Trade Idea
“We predict the future price of Highland Gold trading on the London Stock Exchange will come in around GBP293.33 which will give the stock a price increase of +26.87%.
Price Performance
Relative Valuation
Technical Indicators
Overall, the bias in prices is: Upwards.
The projected upper bound is: 256.57.
The projected lower bound is: 206.88.
The projected closing price is: 231.73.
Candlesticks
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 26 white candles and 23 black candles for a net of 3 white candles.
Momentum Indicators
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
Stochastic Oscillator
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 14.5827. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 8 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 42.26. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 52 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -106.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 11 period(s) ago.
MACD
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 9 period(s) ago.
Rex Takasugi – TD Profile
HIGHLAND GOLD MN closed up 3.400 at 231.400. Volume was 73% below average (consolidating) and Bollinger Bands were 3% wider than normal.
Open High Low Close Volume 228.000 234.200 225.000 231.400 346,036
Technical Outlook Short Term: Oversold Intermediate Term: Bearish Long Term: Bullish
Moving Averages: 10-period 50-period 200-period Close: 243.76 236.57 210.00 Volatility: 72 68 60 Volume: 684,259 981,123 1,137,071
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
Summary
HIGHLAND GOLD MN is currently 10.2% above its 200-period moving average and is in an downward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term.
Our volume indicators reflect volume flowing into and out of HGM.L at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on HGM.L and have had this outlook for the last 4 periods.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of the London Stock Exchange Trading.
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