Helium One share price performance this month has been a story of two halves, with much of the month showing a strong and aggressive bearish trend which resulted in the company’s value dropping by 27 per cent.
However, this week, the company’s share price has started to gain momentum in the markets and is already up by over 20 per cent. The surge in price has cut the monthly drop in the value of the company to less than 10.
Part of the reason we have started to see Helium One share price starting to perform is due to the positive progress being made at its Rukwa project area in Tanzania. Earlier last month, reports of difficulties in their drilling projects in East Africa had resulted in a 23 per cent drop in its share price, which carried into much of September.
However, in the past week, the company has released details of the Rukwa project and its planned Phase II drilling campaign. The company also inked a partnership with Baker Hughes, an international gas and oil consultant, in preparation for its Tanzanian well drilling.
Following the developments of the past week, which have triggered the current bullish push, it is highly likely that we may continue to see prices surge in the next few trading sessions. Today, Helium One share price is already up by over 3 per cent in the early hours of the trading session. The trend is also looking likely to continue throughout the session, and we might see it breaking today’s price high of 7p by the end of the trading session.
In the next few trading sessions, I expect Helium One share price to trade above the 8.5p supply level. Based on the current volatility in the markets and positive media coverage of the company, it is also likely we might see Helium One share price trading above the 10p price level. However, prices falling below the 6p price level will invalidate by bullish analysis.
This post was last modified on %s = human-readable time difference 12:16