It is interesting to note that just as shares of Mariana Resources Ltd LON:MARL appeared to dither in terms of the recovery from an extended bear run which lasted from the autumn of 2013 to February this year, they now appear to be catching the bears off guard. This is said in the wake of the initial bull trap through the 200 day moving average in February when there was a spike towards the 3p zone. Since then the price action has been remarkably constructive, with support coming in well above the 50 day moving average at 1.76p – a surprisingly robust state of affairs.
What can be said so far this week is that we appear to be seeing Mariana Resources Ltd going into a mid move consolidation / bull flag, based just below the 2.5p mark. While this zone remains in place as support over the next few sessions one would be relatively confident in calling the stock up significantly higher. The favoured destination on the upside at this point is seen as being the top of a rising trend channel from August with its resistance line projection heading as high as 4p. This target is seen as being hit as soon as the end of May, at the current rate of progress.
