I'm with Dufour - because its "news" from the frontline, just like THDS and his Daigou business....
A couple of reasons why I think its a downward trend (for now) rather than upward trend:
1. Given the new legislation coming onboard, I believe all Daigou will eventually move away from grey channels and go official such as having a wholesale account with BAL or its distributor instead of buying off the shelf from Woolies, Coles and Pharmacies; but what concerns me is why they haven't opened an account in the first place ? why need to buy from retail shelf? Is it because they cannot open a wholesale account?
2. BAL report says 2HFY16 EBIT margin in line with 1HF16..... To me, it sounds like same EBIT as 1HF16 which is $19.2M. As for the price increase? Its paying for higher material costs, public relations people, etc. So meaning 2HF16 earnings will be flat..... "Show me the money" please!!
3. A2M has signed a lot of distributors in China, but BAL seems only to have their online Chinese website
http://www.bellamysorganic.cn/ (of which the TMALL link doesn't work in the Chinese website which is a major concern to me). Click on the TMALL link at the bottom of the Chinese website.
A2M wouldn't sign on distributors in China if they cannot distribute products. That would be an egg in the face for A2M.
4. Why A2M going up today and BAL going down? A2M has over $1.5million of BUY order at $1.60.. that's a lot of support... BAL... not so much...most I have seen is just over $500K worth of BUY orders.... .. "Money talks!"
5. Lack of engagement from BAL management with Shareholders..... resulting HC members wanting another market update to pump the price up.
http://hotcopper.com.au/threads/act-on-another-market-updates.2713704/?post_id=17142923#.VtOww_l9670
BAL just had their half year report within the last two weeks..... generally... no news = downward trend
