The last time har formed a pennant pattern it broke out on 2 sept with a gap. If your stop sits in that gap it's gonna be ouch. I view the current tight range that har is trading in as a spring being wound up tightly. Sooner or later its going to go "boing". Hope it does this before month end, I got bills to pay . . .
still not convinced - HAR has moved what 1,5%? So now I am sitting at my entry level. This is a weak stock, with weak fundamentals and the downside reward is a helluva lot more attractive than the upside possible gain. If I get stopped out, so be it, but I mean if htis gold price STILL can't move SA gold miners out of hteir slumber, then I don't know what event will
Something is about to happen with HAR. Trading in a very narrow range, but for the life of me I can't really figure out if risk is to the downside or upside. Will have to wait for the break before I move on this one. Tried to anticipate a few opportunities and it backfired because I didn't wait for the confirmation.
Rand gold price has only ever passed higher than present on two occasions, late 2008 and early 2009. in both cases harmony was trading significanly higher than now. There are serious issues here that are not coming to the fore. Also, at a PE of 30, as an investor, you will be wanting to treat this as a growth stock, and given the state of SA reserves, power supply issues, the ever increasing cost of labour - that loud mouthed idiot calling for mine nationalization, current layoff processes, declining production, etc - I can't see how an investor would be attracted. My short still stands on the premise that a correction in the gold price will reap significant rewards, whereas a rally in gold from here doesn't seem likely to cause any fireworks