Yesterday, Calibert Explorations Ltd. (OTC:CXLT) went down 7% to $0.18, which is five times lower than the 52-week high that the company reached in mid-March this year. The stock scored a weak day, given that it couldn’t surge up on the released announcement, even though it is currently at its support level. Trading volume was also lower than the daily average.
The announcement that came out yesterday proclaimed that CXLT had completed a $859 thousand funding, which would facilitate the opening of its annual and platinum level memberships. The loan has been provided by a Hong Kong company whose name has not been disclosed in the announcement.
The loan is secured by three promissory notes, convertible into restricted shares at a rate of 50% of the market price per share of common stock. However, the market was impartial to the announced deal, visible by the low activity and the inability of the stock to push up from the support. [BANNER]
CXLT is also showing inability to surge above the 50-MA, which is currently influencing the market sentiment. The MACD indicator is not very helpful at this time because it doesn’t give strong enough signals. Most probably investors a looking for a marked positive divergence between the stock’s trend and the MACD trend.
On the whole, it seems that CXLT may have entered a neutral phase after the evaporated investor interest. The company might need to put more effort in its PRs, or find another way to bring more attention to its stock.
