Far East Capital Newsletter
Red River is another promising gold/antimony produce
23 Jul 2022

In This Issue

Red River is another promising gold/antimony produce

We have seen a number of stocks break out of their freefall downtrends, confirming that the selloff has run it course for the time being. Those who deliberately, or fortuitously bought near the bottom when everyone else was selling, will have the opportunity to take profits out of movements that might just prove to be rallies. Volumes have been low due to the tentative nature of the recovery with most people sitting on the sidelines until their confidence levels start to improve. However, by the time they recommit, they may have lost what has been a good trading opportunity.

Frequent comments on the charts this week were "rallying, but about to meet resistance line" and "breached steepest downtrend". That means we have seen the worst of it for the time being, but we are not out of the woods yet.

Following on from our recent references to antimony and gold, it would be remiss not to acknowledge Red River's (RVR) activity in this space. While the main operation of Red River is still the Thalanga base metals operation in Queensland, from which it is earning NPAT of $10m p.a. (annualising the six months to December 2021), Hillgrove will increase in importance.

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