canadian gold explorer stock price Element79 Gold (WKN A3EX7N / CSE ELEM) The positive developments last discussed in the February 7th chart check continue. On the six-month chart, the stock started rising at the November low and has since moved north above the blue trend line.
The movement in early February pushed the price above both averages. During the subsequent consolidation phase, fortunately the price was able to rise above the 200-day line with one brief exception. Currently, the blue trend line, both averages, and some gray lines (derived from the highs and lows of recent months) provide support.
Consolidation above 200 day average
The 200-day line continues to decline, although the pace has slowed slightly. On the positive side, the 100-day line is clearly rising, which would be a medium-term technical buy signal, but it is on the verge of an upward break above the 200-day line.
The MACD indicator has been on the sell side since early April, but the stochastic indicator once again generated a technical buy signal a few days ago (the blue line crossed the red line upwards). The trend-checking indicator had been hovering at a neutral 100 for several weeks, but a few days ago it dropped slightly into negative territory.
Two sales-weighted metrics suggest that prices are likely to rise in the near future. Chaikin money flow is now rapidly leaving the red region, which indicates capital outflow, and returning to the almost green region. The money flow index (Sales Weighted Relative Strength RSI) is at a six-month low, and prices have continued to rise in the past two periods.
