In an article on CNBCdotcom and according to commodity strategist Victor Thianperiya, a rally above $1308 could target $1365. Meanwhile, gold has seen the biggest weekly gain this week since October of last year.
Barchartdotcom has upper resistance pegged at $0.1766 for CRJ and lower resistance at $0.1526 and is short term bullish on the shares. With the move in the gold price thus far ($1317 as I type), and when coupled with a decent close on CLGRF yesterday (bid actually moved higher on decent volume), I think we will re-test 2014 hi's set earlier this year of in and around $0.25 per share. Thereafter, my crystal ball goes dark. If gold prices sustain themselves like i think they will and break past $1365, I think a more fair "depressed value" for shares of CLGRF to be in the $0.40 to $0.60 range. Note that I said "depressed value". Given how leveraged CRJ is to gold prices where a price of $1450+ in the gold price resolves most every financial issue they face, a return to $1.00+ is not out of the equation. Especially when we have yet to see who will be the new CEO and how the market will react. As for the sale of Madsen, and assuming this transaction goes through, CRJ will continue with a 20% interest in the same that could very serve as an upside catalyst per the shares CRJ would own and the function that this transaction helps unlock the value of Madsen in addition to generating much needed cash.
GLTA! Time for me to play in the snow and drive to work!