Electra Gold Ltd. (CVE:ELT) (PINK:ELCGF) has serious issues with stock volatility, but that sometimes turns out to be very favorable for traders.
On Thursday, ELT stock price jumped up 50% during a choppy rally which was a reaction to their latest news announcement.
The rally was in reaction to the news. The company said on January 24 that they have been invited by the Association of Mineral Exploration to showcase the work done on the DOT-Apex project in 2011. The presentation will be put together for a Map Tent portion of the Annual Round Up Conference.
Electra took this opportunity not only to present their ongoing work on the specific property, but also to advertise further plans and raise investor awareness.
ELT stock price basically had a break out when it passed above 2 cents per share and now traders can turn back to this level for support in case of retracement. 200-day MA, which is currently at 3.2 cents per share, could provide further resistance if the price was to continue its ascent.
The trading volume was noticeably higher than usual on Thursday. With 4.96 million shares traded, it was 17 times larger than the 90-day average of 291 thousand and was one of the largest trading volumes recorded over the past three years. This could provoke further rally simply because it attracts a lot of attention and the company has somewhat positive news as well.
