If a stock trades in a range, it does not mean that the stock is to be ignored altogether and especially not if there is important news with regards to the company.
Tethys Petroleum: Corporate Update
Tethys Petroleum Limited (OTCMKTS:TETHF) has been trading within a range this morning but it should not be forgotten that the company was in the news today after it provided a key corporate update. It may be a good move from investors to consider taking a closer look at the update and then make their minds up about the stock.
The company announced that it signed a prepaid oil sale agreement by way of which Tethys is going to sell as much as 50000 tons of oil at the price of $265 a ton. The announcement is a significant one considering the fact that the price that the company had got for the most recent sales order amounted to only $165 a ton.
Once the transaction is closed, the company will generate as much as $13.25 million. Tethys seeks to use the proceeds from the agreement for taking care of outstanding taxes, payables and other expenses related to future well drilling expenses among others.
Traders Note
TETHF stock is trading below the 20-Day and 50-Day Moving averages of $0.5222 and $0.5101. Moreover, the stock is trading is the neutral zone with RSI stands at 57. The stock is up 2% over the past month.
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