Welcome To The Golden Band Resources HUB On AGORACOM

Saskatchewan's SECRET Gold Mining Development.

Free
Message: Charts & Comments

$ONE:GBN.V Weekly

This chart presents a curious reversal on a half a cent move. From an extraordinarily bullish position(or the inverse of a bearish chart) to an extraordinarily bearish one. Or, that equity swaps are now being used to place long bets.

It could be the first sign that a reversal is in order, which is what you would expect since TLT has been selling off. There has been no sign that equity swap trades on the short side were settled during the lows of December.

For the most part the inverse correlation with the gold/silver ratio picked out the extreme buy points. It would be a matter of curiosity to see if the same relationship carries through should share prices rise. The stock is still no bid, but closed up and completely changed the technical picture.

There has been a certain accumulation phase going on here, where the company escrowed production in the last five years, while shareholders flip in to the stock at a discount. Very highly likely this will mean an expansion phase. Distributions have to be part of the equation, otherwise they'll just get bought out at a discount. Scorched earth policies will not serve adequately to defend against a hostile takeover. Perhaps they firmly intend that a hostile takeover occurs.

It could also be that Sprott is laying a huge short position against the long-strangle equity swaps, all the while.

http://scharts.co/16dStif

http://scharts.co/1ab3o11

http://scharts.co/1cdbG7V

- F6

Share
New Message
Please login to post a reply