MUFG, MS etc are dominating the WGX money flow.
Insto's have been accumulating since March this year.
The tree shake operation is shown clearly using the below pie chart and Change of Shareholding line graph.
(Public and others) now own only 20% of the company, this is a reduction of approx 15% in only 8 months.
Compare RMS shareholding and we can see why institutions can treat WGX like a rag doll.
Public and others hold the dominant position (56% vs the Institutions 40%).
SBM's also receiving the same treatment as WGX with MS, MUFG and co continuing to manipulate and accumulate.
Note the same ratio of Insto to public holdings.
These Institutions pick their targets well.
They tend to go after companies that are negatively affected by a recent history of poor operational performance and sentiment.
Importantly, these Institutions make money on both the upside, and the downside.
I believe that WGX and SBM could outperform other gold equities when or if the gold price has a sustained run resulting in the insto's reverting to harvest mode.
Shorts on both WGX and SBM are covering which could mean we are potentially due for a meaningful bounce in gold price?
I don't think news will drive either WGX or SBM SP in the short term.
WGX SP performance will be dictated by the Institutions who will in turn be influenced by the performance of spot gold, AUD and diesel prices over the next month or so.
The quarterlies due in mid-January will ultimately show whether WB's cost saving rhetoric is actually converting into improved results.
Money can be made by those who follow the patterns of these institutions.
In the interim I am happy to continue profitably trading in and out of WGX while retaining a core position.
GLTAH
(20min delay)