it seems that every time there a news release there's a drop in SP, this does not just apply to KWG either.

I believe the phrase is "buy on rumour, sell on news."

Once there is a release, presumably the amount of time until the next release is at a maximum. Since most share prices are significantly affected by the dissemination of news, then the point of a news release should result in a "peak" in the cyclical nature of the SP, therefore implying a short-term drop immediately afterward.

Sell now, then wait a few days or a few weeks to buy back in, hopefully at a slightly lower price.

I presume that this strategy really benefited brokers fifteen or twenty years ago, because most retail investors didn't learn about NR's until at least 24 hours after release, when the info was posted in the financial section of the Globe or whatever. Now, with the instantaneous nature of the internet, the market makers have to resort to more subtle methods to gain the advantage.