I put my few Bobs worth as well. NCM by not saying how the current drop in Gold Price affects it, and also how the Debt issues are going with banks- is creating rumour mills and short selling's. I have no doubt in my mind that a bad news is on the way and some in the market knows it. I don't know much about their Debt Covanents and at what price of NCM shares banks can call in their debt etc. There is only one bright spot for NCM in the last month. That is $A dropping. But again Overseas investors are bailing out of our ASX 50 stocks in fear of $A tanking as the carry trade is unwinding.So with this background and with NCM swinging wildly day in day out, if it was to drop below $14, it can go easily to $10 if negative announcement is released on debt or production or grades issues or POG dropping significantly or Major Profit Down Grade announcements. So when I look at NCM in Balance, I have to say that it is a matter of time it will fall to around $12 - $13. If NCM came out with the absolute truth on Debt, Production, Profit guidance etc, this wild fluctuations and short selling may stop, and who knows it might turn the corner too at that point..
NCM Price at posting:
$14.35 Sentiment: ST Sell Disclosure: Not Held
