Allient's 15-minute chart has triggered a KDJ Death Cross, accompanied by a bearish Marubozu at 08/19/2025 15:00. This suggests that the momentum of the stock price is shifting towards a downward trajectory, with a potential for further decline. Sellers are currently in control of the market, and it is likely that this bearish momentum will persist.
Allied Gold's 15-minute chart has triggered a KDJ Death Cross, accompanied by a Bearish Marubozu at 08/19/2025 15:00. This suggests that the momentum of the stock price is shifting towards a downward trajectory, with a potential for further decline. Sellers are currently in control of the market, and it is likely that this bearish momentum will persist.
Allied Gold (ALD) experienced a notable shift in its stock price momentum on August 19, 2025, at 3:00 pm, as indicated by a KDJ Death Cross and a Bearish Marubozu pattern on its 15-minute chart [1]. This technical indicator suggests a significant downward trend, with potential for further depreciation in the stock price. Sellers currently dominate the market, indicating that bearish momentum is likely to persist.
Allied Gold has been driven by operational resilience and strategic capital allocation. The company has extended mine life and reduced costs through operational excellence and strategic expansion projects. For instance, the Sadiola Phased Expansion, a $70 million capital expenditure, aims to boost throughput by 60% and target 400,000 ounces of gold production annually by 2027, with all-in sustaining costs below $1,200 per ounce [2].
However, the recent technical indicators suggest that investors should be cautious. The KDJ Death Cross and Bearish Marubozu patterns are classic signs of a trend reversal, indicating that the stock may continue to decline. Given the current market conditions, investors should closely monitor Allied Gold's performance and consider the potential impact of these technical signals on the stock price.
Allied Gold recently reported its second quarter 2025 results, producing 91,017 gold ounces and reporting sales of US$251.98 million, alongside updated production guidance for the upcoming quarters. Despite year-on-year sales growth, the company reported a net loss for both the second quarter and first half of the year, highlighting increased costs or operational factors impacting profitability. The shift to a net loss despite higher sales puts a spotlight on margins and cost control, which remain the biggest immediate risk despite the company’s positive outlook for higher output in the coming quarters [3].
The recent production guidance update is highly relevant here, as the company has outlined expectations for a substantial uptick in gold output, especially in Q4 2025. This anticipated ramp-up is meant to drive revenue growth and represents a critical short-term catalyst; however, the quarter’s net loss highlights that seamless execution is essential for Allied Gold to benefit from rising production volumes. But while output is forecast to surge, investors should also watch for potential operational challenges that could impact profitability.
Allied Gold's outlook anticipates $1.9 billion in revenue and $616.2 million in earnings by 2028. This is based on a projected annual revenue growth rate of 28.3% and an earnings increase of $711 million from current earnings of -$94.8 million [3].
Investors should closely monitor Allied Gold's performance and consider the potential impact of the KDJ Death Cross and Bearish Marubozu patterns on the stock price. The company's strategic capital allocation and operational resilience have been key drivers of its performance, but the recent technical indicators and financial results suggest that investors should approach the stock with caution.
References:
[1] https://www.ainvest.com/news/allied-gold-15min-chart-shows-kdj-death-cross-bearish-marubozu-2508/
[2] https://www.ainvest.com/news/allied-gold-high-conviction-outperform-call-cost-driven-volatility-expansion-catalysts-2508/
[3] https://simplywall.st/stocks/ca/materials/tsx-aauc/allied-gold-shares/news/is-allied-golds-tsxaauc-rising-sales-yet-net-loss-a-sign-of
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