Arian Silver: Wedge breakout points back towards 1.30p plus

1 mins. to read
Arian Silver: Wedge breakout points back towards 1.30p plus
Silver ... price rises likely

It would appear that stock market darling Arian Silver (LON:AGQ) has rather cooled off since earlier in the year. Presumably its fans are hoping for fresh fundamental drivers.

Shares of Arian Silver have been on the back foot of late, not helped one supposes by the rather lacklustre state of the underlying metal. However, I note that the Twitterati are rediscovering this stock.

While of course, much of the speculation from this source should be taken with a pinch of salt, I did appreciate a tweet which suggested that given that we are now in Lithium 2.0, companies which have exposure to Rare Earths are being positively re-rated.

This idea is underlined by the latest rebound seen on the daily chart of the group where we are seeing progress within a bullish falling wedge formation. The resistance line of the formation is currently capped by the 200 day moving average at 0.8p.

As little as an end-of-day close above this notional double resistance would be enough to deliver a target back at the main one-year resistance band between 1.30p – 1.40p over the following 1-2 months. At this stage only a weekly close back below the recent 0.6p double support zone would really imply the bear trend was still with us.

AGQ chart

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