interesting patternsDefinitely been a pretty concerted sell program going on here. Looking back at the house positions, and Cannacords activity on tuesday, pretty obvious they had some big negative flows. They traded approx 6mm of the days total volume, only topped by the stuff the went thru Anonymous... which could have been Cannacord as well.
There was apparently a rumour going around the institutional desks that Pierre was shopping a financing..... and the price action sure reflected that. When you throw in the Cannacord analyst calling for a sell the news event... which I found very odd... you get what we got.
I certainly was taken back by the volume and the voracity of selling pressure. I am betting you had one or more aggressive funds in the mix here, it all looks and feels a little coordinated ... particularly as the trades going thru Cannacord, CIBC, Merril Canada, Morgan Stanley seemed to always come on the flush downs on the sell side. We have seen patterns exactly like this before with some of the same players.
making a semi-educated guess, I am gonna say the worst is over here. The technicals support a bounce as the 21 day Mav is right in the low $2.90's, and we have a buy flag signal as the 50 day MAV crosses back above the 200 day MAV, usually very bullish.
A few of us have been in touch with Pierre, and he is categorically denying they are doing or even shopping financing. CLASSIC hedge fund rumour to support the overbought short play and push down to these levels.
Easy to say, the fundamental story here has simply never been better. This is the beginning of the next leg towards a much higher valuation as the true potential of the recent news gets properly understood.