Yesterday, Sagebrush Gold Ltd. (OTC:SAGE) crossed the MA 50 getting investors’ hopes up for a new tidal wave on the charts.
In the absence of recent news, SAGE somehow managed to end last week’s trade on a high note as it gained 9% in value to $0.545 per share, only adding an additional 8% yesterday. As a result, SAGE closed the latest trading session at $0.59, shifting a seven-week high volume of 520 thousand. Thus, it surpassed its 50-day simple moving average, which currently stands at $0.58.
Technically speaking, whenever a particular stock goes above its MA 50, it is said to be entering an upward trend on the chart. As seen on the accompanying chart showing the company’s market performance for the last six months, this is by no means the first time SAGE has gone up high enough to surpass its MA 50. However, SAGE’s uptrends following such a breakout have all been fairly short-lived, which suggests that the current situation may prove no exception.
Although SAGE was established in 2007 under a different name, it was not until late 2010 that it finally brought its shell company status to an end. Presently, SAGE defines itself as a junior gold exploration entity whose main focus of interest are high-potential projects located in the gold districts of the state of Nevada. The company’s last official PR dates from Nov. 21 when its managers announced the completion of Phase I of its drilling program on a six-square-mile property. As of today, the assay results have not been officially announced yet.
