Amur Minerals (LON:AMC) has been one of the exceptions that have proven the rule in terms of small cap companies in the resources space underperforming the overall market. Indeed, it can be seen have the big breakthrough here on a technical basis was as long ago as September with the clearance of the 200 day moving average than towards 4p.
This move was then consolidated until November with a final test of the 200 day line as new support before a gap through the 50 day moving average cemented the idea of a sustainable recovery. The position since then has been of consolidation in the wake of a double top through 12p for December and January.
However this has been a positive process in the sense that we have seen two major support points coming in above the 200 day line currently at 6.2p since December, along with the latest clearance of the 50 day moving average at 8.85p.
Indeed, the expectation is that while there is no end of day close back below the 50 day line we should be treated to a best case scenario move as high as 15p. This would hit the top of the late 2013 rising trend channel, and happen as soon as the next 1 to 2 months. At this stage only well below the price channel floor at 6.5p would be outright negative for the technical prospects here
