Lundin Gold LUG-T traded within a large parallel channel for about three years (dashed lines). On February 22, 2023 ($13.07) we identified a breakout from this channel and provided a target of $17. The stock exceeded our initial targets and reached a high of $19.42 in May 2023 (A). Subsequently, Lundin Gold settled in a corrective channel (dotted lines) and, for the most part, found support near $15. The recent rise above the channel signaled a breakout and the resumption of the uptrend toward higher targets (B).
Behaviour indicators including the rising 40-week Moving Average (40wMA) confirm the bullish status. There is good support near $18; only a sustained decline below this level would be negative.
Point & Figure measurements provide a target of $23. Higher targets are visible.
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Monica Rizk is the Senior Technical Analyst of the Phases & Cycles publication (www.capitalightresearch.com). Chart source: www.decisionplus.com