Signature Resources Ltd (OTCMKTS:SGGTF) Stock Falls a Bit After Drills Outcome

All those investors who are keen on the mining sector at this point might have noticed that the Signature Resources Ltd (OTCMKTS:SGGTF) stock suffered from a selloff yesterday and tanked by as much as 3% as a consequence.

Trading Data

On Tuesday, SGGTF stock slid 2.79% to $0.0540 with more than 221k shares traded, compared to its average volume of 69k shares. The stock has moved within a range of $0.0500 – 0.0540 after opening trading at $0.05.

Latest Development

That being said, it is also necessary to keep in mind that the company actually made a key announcement yesterday with regards to the latest drilling results from the diamond drilling program of 10000 metres at its Lingman Lake Gold Project. The project in question is owned in its entirety by Signature Resources and is located in Ontario in Canada.

In this regard, it is also necessary to note that the diamond drill holes made by Signature also managed to extend the North Zone to 400L. The company managed to discover 7.07 grams gold per tonne over the course of 4 metres. In addition to that, it was also able to discover 3.54 gold per tonne over 2 metres.

While the announcement from the company was an important one it seems that investors were not particularly thrilled with the results and hence, the Signature Resources stock suffered from a selloff on Tuesday. It remains to be seen if the stock continues to slide today.

Technical Data

SGGTF stock is trading above the 20-Day and 50-Day Moving averages of $0.0571 and $0.0614 respectively. However, the stock is trading below the 200-Day moving average of $0.1055. The stock is down 10% in the past month.