![](https://blog.trive.co.za/wp-content/uploads/2024/03/inv-1024-x-512-px-83.png)
Alphamin Resources Corp (JSE: APH) stands out as a significant player in the tin mining sector, commanding approximately 4% of the world’s tin production.
The company’s impressive performance is evident in its share price, which has surged by 10% year-to-date, following a remarkable 20% gain in 2023. Achieving a record production of 12,568 tonnes of tin in 2023, representing a 1% increase from the previous year, underscores the company’s operational excellence and commitment to growth.
However, Alphamin has encountered challenges, including adverse weather conditions leading to poor road conditions, impacting truck transit times and export revenue receipts in Q4 2023. Despite these hurdles, the company continues to navigate the dynamic market landscape with resilience. The volatile nature of tin prices, ranging from $13,000 to over $50,000 per tonne in the last four years, presents both opportunities and challenges for Alphamin. Currently trading around $26,500 per tonne, slightly above the 2023 average price achieved, the company remains focused on optimising its operations and capitalising on strategic opportunities in the tin market.
Technical
Alphamin Resources’ share price has embarked on a notable rebound following a period of down-trending price action. Initially, the stock traded within a descending channel pattern, lingering below the 100-day moving average.
However, a breakthrough above both technical indicators, coupled with a robust surge in upside volumes, signals a notable shift in sentiment favouring the upside. Amidst this price action, the R16.58 per share level initially acted as a formidable resistance level, sparking the downturn. Conversely, the market discovered solid support at the R10.51 per share level, aligning with the lower boundary of the descending channel pattern.
Since then, a resurgence in buying activity at this level catalysed a breakout above the 100-day moving average, further reinforcing bullish sentiment. Should upside momentum persist, investors may eye the R16.58 per share resistance level as a potential target to the upside. Conversely, in the face of renewed selling pressures, the R10.51 per share level could serve as a crucial support level, limiting deeper downside potential.
![](https://blog.trive.co.za/wp-content/uploads/2024/03/image-47-1024x504.jpeg)
Summary
Alphamin Resources’ resilient growth in tin production, coupled with its recent share price rebound and overcoming challenges, showcases promising prospects. With key technical levels at R16.58 per share resistance and R10.51 per share support, investors watch eagerly as the company navigates the dynamic tin market landscape with resilience.
Sources: Alphamin Resources Corp, Mining.com, TradingView
Piece Written By Nkosilathi Dube, Trive Financial Market Analyst
Disclaimer: Trive South Africa (Pty) Ltd (hereinafter referred to as “Trive SA”), with registration number 2005/011130/07, is an authorised Financial Services Provider in terms of the Financial Advisory and Intermediary Services Act, 37 of 2002. Trive SA is authorised and regulated by the South African Financial Sector Conduct Authority (FSCA) and holds FSP number 27231. Trive Financial Services Ltd (hereinafter referred to as “Trive MU”) holds an Investment Dealer (Full-Service Dealer, excluding Underwriting) Licence with licence number GB21026295 pursuant to section 29 of the Securities Act 2005, Rule 4 of the Securities Rules 2007, and the Financial Services Rules 2008. Trive MU is authorized and regulated by the Mauritius Financial Services Commission (FSC) and holds Global Business Licence number GB21026295 under Section 72(6) of the Financial Services Act. Trive SA and Trive MU are collectively known and referred to as “Trive Africa”.
Market and economic conditions are subject to sudden change which may have a material impact on the outcome of financial instruments and may not be suitable for all investors. Trive Africa and its employees assume no liability for any loss or damage (direct, indirect, consequential, or inconsequential) that may be suffered. Please consider the risks involved before you trade or invest. All trades on the Trive Africa platform are subject to the legal terms and conditions to which you agree to be bound. Brand Logos are owned by the respective companies and not by Trive Africa. The use of a company’s brand logo does not represent an endorsement of Trive Africa by the company, nor an endorsement of the company by Trive Africa, nor does it necessarily imply any contractual relationship. Images are for illustrative purposes only and past performance is not necessarily an indication of future performance. No services are offered to stateless persons, persons under the age of 18 years, persons and/or residents of sanctioned countries or any other jurisdiction where the distribution of leveraged instruments is prohibited, and citizens of any state or country where it may be against the law of that country to trade with a South African and/or Mauritius based company and/or where the services are not made available by Trive Africa to hold an account with us. In any case, above all, it is your responsibility to avoid contravening any legislation in the country from where you are at the time.
CFDs and other margin products are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how these products work and whether you can afford to take the high risk of losing your money. Professional clients can lose more than they deposit. See our full Risk Disclosure and Terms of Business for further details. Some or all of the services and products are not offered to citizens or residents of certain jurisdictions where international sanctions or local regulatory requirements restrict or prohibit them.