Peregrine Diamonds Ltd. PGDIF

RE:RE:RE:RE:3 Business Days left

[justanormalguy]

Ekim, Mill, this makes sense.  Here's my theory, I've been wrong before.

The chaos phase is over.  The market has set the price at 27 to 29 cents, abliet I and others on this board still believe the enterprise value priced in the stock is low but I understand why.  The market has applied a discount for current and future risk (financing, further dilution, current disinterest in junior resources, etc).  What is not priced into the stock is a premium for some good news and a discount for weak news.  Hence this is why the stock is speculative and will be volitile +/- 15% as someone said.

I think the stock will remain at these levels until Thursday with average volume, unless some panic sellers are still out there.   The daily fluctations will be driven by day traders looking to make a couple of pennies or so, but volume will not be significant because as Ekim said, most of the sellers have already sold.  The question I have is how many buyers will we have this week?  Come Friday, IF the price falls it will be further downgraded by those trading on margin and more panic sellers.  This window of a low price will be very short living, and the buyers will come out in droves which will lead to a creaping price upwards to levels we are seeing today.  This scenario of course assumes no material news release until after the rights issue, which makes sense given the recent insider buy.  If the company truly wants to reward current shareholders, they will put something out there, news, within a week after the rights issue.  IMO