Eldorado Gold Corp (NYSE:EGO) Remains Vulnerable to Volatile Gold Market

[[tagnumber 0]][[tagnumber 1]]The last few market sessions have brought about a certain consolidation of Eldorado Gold Corp (NYSE:EGO) on the charts as the market value of EGO shares has more or less been fluctuating around the $3.00 per share for the last few weeks. Needless to say, EGO looks set to close today‘s session a tad higher than that. Does EGO look poised for a rally, though?[[tagnumber 2]] [[tagnumber 0]]Being a gold miner for more than two decades now, there is little Eldorado can do to withstand the market forces driven by the price of gold itself, the implication being that when the precious metal‘s value is on the decline, it usually drags underlying businesses down with it, and vice versa. The thing is, gold is down 9.91% for the last 12 months whileEGO shares have wiped off a staggering 54% in value over the same time frame.[[tagnumber 2]] [[tagnumber 0]]A quick look at Eldorado‘s most recent quarterly report covering the period ended Sept. 30, 2015 provides a sort of a background as to what might have caused the downfall. Here are some of the highlights:[[tagnumber 2]] [[tagnumber 0]][[tagnumber 8]]cash reserves: $384 million, down 23% as compared to the same quarter in 2014[[tagnumber 8]]current assets: $676 million vs. $847 million in Q3‘14[[tagnumber 8]]total liabilities: $1.85 million, or $30 million higher than Q3‘14 [[tagnumber 8]]revenue: $211 million, down 20% on an YoY basis[[tagnumber 8]]gross profit: $48 million, almost 1/2 of what it was in Q3‘14[[tagnumber 8]]net loss of $96 million vs profit of $21.5 million in the comparable period.[[tagnumber 2]] [[tagnumber 0]][[tagnumber 16]]While the figures mentioned above does not spell disaster per se, it is quite evident that Eldorado‘s experiencing an overall shrinkage in liquidity. In fact, the only thing that appears to have soared are the company‘s net losses and liabilities as a whole.[[tagnumber 2]] [[tagnumber 0]]Until a rebound in the price of gold takes place, EGO seems likely to remain vulnerable to the fluctuations observed in the market of the underlying precious metal. Investors looking for gold stocks would be better off keeping a close eye not only on the market for gold, but also on the Fed‘s economic decisions in the immediate term.[[tagnumber 2]]