so close to the newsflow and we see selling pressure. now this...

so close to the newsflow and we see selling pressure.

now this could be either great trading opportunity or a sign of bad news.

1. if it is trading opportunity then the market lost total confidence in ALK's BoDs and the MD to deliver on anything so investors sell. If ALK surprises and does deliver decent exploration results along with positive SS outcome (decent after tax NPV for example) then SP will blow up higher by significant margin.

2. If the "very supportive" Chair is preparing another sale then this explains the selling pressure now and it alludes to poor SS outcomes and poor exploration results. I am not saying IG is selling (if he really sells) because he had the intel and is exiting before the news comes out but the market will get spooked and will think along these lines. So any selling by IG now will trigger really wild trading with huge selling pressure - SP well below Curtis James.

3. This selling perhaps has nothing to do with any loss of confidence in the BoDs and the MD and it is simply investors thinking SS and exploration results will be poor. If investors are right then SP will fall well below 50c but if they are wrong then SP will gain my huge margin.


My view is 1 & 2 to be most likely scenarios why SP is falling now and instead of punters taking early positions in anticipation of incoming news.
Scenario 3 is for those who think the SP falls are due to market sentiment towards gold miners.