Market Depth

On the Friday close the market depth is an indicator of how the trade set up in the stock is supporting prices. More than that, the number of shares on the bid and the complete absence of shares on the ask says to me that the traders first selling millions of shares without owning them are going to have problems bringing the share price down.

They took their opportunity to crash the share price, but should have waited for the stock market correction. Now, they're painted into a corner and showing their hand. The fundamentals here should be calling for a rally in the share price, since there's been a brute decline in the discount rate, a rise in volatility, and higher gold prices. Not only that, but the company managed to go into production despite itself.

Now they have to settle their accounts, meaning they have to buy back in at whatever price is offered. The real buyers came in at higher prices, but are likely holding their investments, living with the downside risk.

TMX Money

-F6