The whole market is subject to the manipulation of insto's, not just GXY. Unfortunately that's the reality of markets.
Having said that, there is plenty of opportunity as a small fish to swim amongst the sharks and not only survive but thrive and make money. The key is to understand our place in this ocean and pursue the appropriate "small fish" strategy, and part of that has to be aware of where the sharks are, what they're paying attention to and when its their feeding time...
As to whether GXY is "defying all charting trend logic" I have to disagree, on 2 different levels:
1. If you mean it doesn't make sense why a good company is going down in price just as they are ramping up production, etc, well I would say that experience tells us that that cycle happens to many companies that transition from explorers to producers, GXY is not alone in that regard. The reason or "logic" is that the market's focus has shifted from its initial interest in exploration results and the risks associated with that, then it shifted focus to the funding and building of production capacity and the risks associated with that. Finally the market turns its attention to the risks associated with ramping up production - achieving nameplate capacity, cost of production, profitability (and sales margin), etc. This period between production ramp-up and the first financials is a period of risk that the market applies a discount to, until the company can demonstrate it can achieve forecast earnings numbers.
2. If you mean it doesn't make sense why the price is now going down after 18 months going up well again I would say there's nothing illogical about that - charts go up when companies are cheap and down when companies are expensive. On the weekly GXY is still showing a bullish trend, so in the long term context, which I imagine is what a long term investor is concerned about (i.e. not daily price fluctuations) the price is still trending up, as long as doesn't break the 43.5c low of 2 weeks ago.
You have to remember, GXY hasnt made a profit yet, and on forecast earnings of around 4cps for FY17 at current SP its sitting on a PE of about 11.
There is logic to the chart, you just have to read the logic.
Cheers, Sharks.
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