Every day there are plenty of investors who look into the possibility of investing in mining stocks and it is likely that many of them are currently looking into the American CuMo Mining Corporation (OTCMKTS:MLYCF) stock. It has been one of the significant gainers over the course of the past week and has managed to deliver gains of as much as 31% as a consequence.
Trading Data
On Tuesday, MLYCF stock ended flat at $0.0340 with 2.6k shares, compared to its average volume of 39k shares. The stock has moved within a range of $0.0340 – 0.0340 after opening trade at $0.050.
Announces Debenture Conversion
As it happens, the company was actually in the news yesterday after it announced that some of the debenture holders in American CuMo Mining Corporation had decided to turn their debentures as well as the interest owed into units in the company.
Each unit in question is made up of a common shares in American CuMo Mining Corporation and a warrant. Due to this move, the company is going to issue as many as 565,500 shares and as many 5 year 0.75 warrants so that the value of the debentures could be covered.
It goes without saying that the conversion is a significant development for the company and one that has led to excitement among investors as well. It now remains to be seen if the stock can maintain its momentum.
Technical Data
MLYCF stock is trading below the 10-Day and 50-Day Moving averages of $0.0351 and $0.0347 respectively. Moreover, the stock is below 200-Day moving average of $0.0429.
