The Perfect Storm in the resource market is an "AREA PLAY".
posted on
Oct 01, 2013 06:52AM
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"Area Play" - this is music to my ears. The beauty of an area play is the multiple ways each others stocks are promoted, it eventually becomes a feeding fenzy if several companies all have good results to report. This keeps the bubble in tact, draws in more speculators, brokers and day traders. Also the beauty is the excellent share structure of PGX and DBV and others, this makes it more important for everyone to buy early in the game. Lastly, there has already been a significant consoldition of the capital with most trading above this price and all warrants and options also above this price.
Yes, with DBV trading 487,000 shares yesterday and experiencing a strong price trend reversal, it appears a few speculators looking at the development of this area play are beginning to take positions. The old saying goes like this, "the first to buy generally has less risk".
Anon sold another 303,000 shares yesterday (1.1M for the month). Canacord was also a big net seller (1.6M shares for the month, net negative over 1.1M). Hopefully the baggers at Canacord will not want to miss the area play and will begin to buy back in. The rumour of buyers from Australia also excites me.
Let's get some strong IP signals, and I am sure there will be more buyers than stock.
Lastly, since DBV has so little stock out with the CEO owning about 14M, there is the real potential for a short squeeze eventually.