Today’s news of a super fast closing on the debt financing for NSU makes me feel the train is now ready to pull out of the station. With a superb fast payback and a world class project, I believe NSU is a prime takeover target. I think we’re set to break out now and our first target is $2. I do feel $2.50 can be reached within the next 6-9 months and believe a $4-$5 takeover target is reasonable.
The $1.50 area was once support on three different occasions so it was not surprising to see it become resistance after the market meltdown last year. I think it’s set to be taken out here barring a sell-off in gold.
Again, I like to note the closing of this deal IMHO is going to put Eritrea in play and Sunridge Gold (SGC-TSX-V) a Grandich Publications client, can greatly benefit.
Speaking of gold, it once again for the umpteen time hit resistance at $940. When we finally break through – watch out!
