Pacific Gold Corp. (PINK:PCFG) is struggling to retain its position during today’s trading session as the boasted price is hit by the profit taking and PCFG stays silent on the news front. The stock has created a spectacular run on rumors after the company said they will start testing Geotextile tubes in Black Rock Canyon Mine. Successful test results would bring them one step closer to full scale mining.
The company is compared to other small cap speculative miners that actually performed, even if for a short time. The names include KAT Exploration, Inc. (PINK:KATX) and Liberty Star Uranium & Metals Corp. (OTC:LBSR).[BANNER]
The company itself hasn’t put up any further announcements, but speculators are bidding on upcoming announcements. In addition, technical stock parameters are thrown in. Golden Cross is a near possibility for the appreciating price. The crossover of the 50 and 200-day moving averages is usually a very bullish sign.
Continuos rise in the market price of gold also adds to the intrigue, as the company’s estimated resources reach 35 thousand tons of Tungsten Oxide (WO3) in addition to nearly a million ounces of gold. These are the numbers that have to be tested though, and thus the ongoing survey might make a difference between a winning stock and an average small cap.
The retraction of the share price indicates the effect of rumors is fading off though, and if the company doesn’t present news soon enough, the price will likely return to its favorite dwelling place around $0.002.
