retreat

interesting how there has been a sudden retreat after a solid performance over days.

This morning we find 2.9m shares on sale against only 2m on the buy side. You may recall it was a ratio of three to one ( more buyers) earlier in the week.

The upward trend started on March 9th when the sp had been around 46c-48c for 8 days. NKP found good support at 52c before this weeks move into the high 50s.

So why the sudden fall and lack of buyers?

1. Traders jumped on thinking that an announcement was due. No announcement results in a quick exit otherwise massive resultant loss.

2. Every stock needs a breather otherwise ASX will query.

3. Smart operators who had accumulated stock took profits and now wait for suckers who may/will panic as the sp falters.

NKP is still on an uptrade. No need to panic. Support will come again and push the sp into the next range... 60c plus.


My opinion only.

Pity that i purchased NKPO to early in the day yesterday.Timing is everything they say in hindsight.