St. Elias Mines Ltd. (CVE:SLI) (PINK: SELSF) stock shook off all the gains from the previous day as traders panicked and took profits despite the encouraging news in play.
SLI rolled down nearly 7% today, closing the gap left from Monday after the stock spiked up on news. Trading volume faded despite the promising level yesterday when it went nearly 5 times above the average of 208 thousand.
A hanging man candle was formed by Monday’s trading session, which predicted a drop and possibly encouraged the profit taking. Share price dropped back inside the established channel, enclosed between $2.05 and $2.30.
New issued stated that environmental impact study was completed at Tesoro Gold Project in Peru. The government approved of the third study of this kind done at Tesoro. The company can now begin their drilling program – they already have the cash needed and encouraging exploration results from previous tests.
The drilling program will commence as soon as possible and is designed to test near surface and deeper geophysical anomalies, which were identified by the previous geophysical survey. St. Elias will diamond drill 10 kilometers of holes with individual depth up to 1.5 km. With this the management hopes to extend the know mineralization zones in the area.
