Madalena Ventures Inc. (CVE:MVN) (PINK:MDLNF) stock price action underwent another bullish start of a day but for the current downtrend there seems to be no end in sight.
MVN is having a bullish trading day with a heavier than usual trading volume. Although in the past these spikes didn’t manage to overturn or even slow down the downtrending price, the recent increase in volatility suggests there might be opportunities for large scale profits for both bears and bulls.
The current move doesn’t associate with any news, so it’s a purely technical push and thus not a very reliable one. Swing traders might want to watch the stock. If no important limits are breached during the session it is very likely to get back down over the coming couple of days.
The company recently got bashed by Argentinian press stating some mining blocks have been revoked due to a lack of investment. Madalena confirmed the work done on their blocks was in line with what was expected by the Province of Neuquen.
The stock still trades with a considerable premium and there’s plenty of space for further fall. Even if the market price would drop to only one third of the current value it still couldn’t be considered as too low for Madalena’s stage of business development.
