There has been a fair bit of frenetic trading in the Neometals Ltd (OTCMKTS:RRSSF) stock over the course of the past few days and it is likely that the stock is going to come into focus today as well. In this situation, investors could do well to take a closer look.
Trading Data
On Friday, RRSSF stock moved up 12.65% to $0.98 with 135k shares, compared to its average volume of 20k shares. The stock has moved within a range of $0.9800 – 1.0500 after opening trade at $1.
Key Driver
First of all, the stock has performed strongly and this past Friday, it ended the day with gains of 13%. That took the gains made by the stock over the course of the past week to as much as 27%. The positive reaction to the stock on Friday was primarily caused by an announcement from the company with regards to its joint venture named Primobius with SMS Group.
It should be noted that it is a 50-50 joint venture. The stock soared on Friday after the company announced that it had managed to execute a binding option and also signed licensing agreement with the company Stelco.
Stelco is a fully owned subsidiary unit of Stelco Holdings Co. It was perhaps not a surprise that investors reacted to the news positively. Now it is going to be interesting to see if the Neometals stock can continue to add to its gains today.
Technical Data
RRSSF stock is above the 20-Day and 50-Day Moving averages of $0.80 and $0.78 respectively. However, the stock is trading below the 200-Day moving average of $0.55.
