Firstly - 'educated sellers' - I took another position on Friday afternoon and sold on Monday's announcement, because it clearly indicated to me that a drill bit change was iminent and the buying volume did not kick in.
Selling over the past two days and in particular yesterdays capitulation can hardly be called educated - (YET).
In this mornings market release, everything still appears to be on track. Couple this with the reports to date which appear to be better than those in the same sequence levels last year and one would have to say that things are going even better. So I think 'Educated Sellers' would have to be replaced with 'Educated Sellers and People with restricted pain thresholds'
The volume of the past week has been indicative of previous GDN trading phases where in the absence of imminent anticipation the stock drifts or is sold down on low volume whilst traders await a reason to enter.
After reviewing the logs from last year and comparing them to this year and then comparing liquidity voids in the stock from previous drill outs, I decided to start accumulating at 6.1-6.3 yesterday. I have picked up 50% of what I want so far at this level. I am in no rush, because the market is in no rush.
For me now its all about sticking to a trading strategy. I do want to pick up another 1.5million heads at some stage, but whilst people are willing to give them up without a fight, I like most traders will not be diving in there to get them. If I were to buy 500K through to 6.5 at the moment I am pretty confident 6.4 and 6.3 would be backfilled with small sell orders. So there is little point in doing that.
Anyway - I am looking forward to the next phase and I anticipate the fireworks are very very close.
IMO DYOR
GDN Price at posting:
6.3¢ Sentiment: Buy Disclosure: Held
