North American Palladium Ltd (New) PALDF

Liquidity has Dried Up, Go Figure!

[TABerlioz1111]

TL;DR banksters screwed up the market's price discovery mechanism.

You'd think the stock's liquidity would improve after a secondary placement, but instead it's gone down. My best guess is that retail investors already holding the stock know it's worth significantly more and refuse to sell it at bankster prices. Meanwhile, those on the outside who would consider buying in no longer trust the market price after they saw it nosedive despite palladium holding firm after a quick correction.

At the same time, half of these "briliiant" Wall Street analysts are saying palladium fundamentals are solid and the price will pick up again while the other half are saying the price has still overshot the market fundamentals and a big correction remains to be seen. One of these groups of "experts" must be dead wrong!

So the banksters managed to buy in on the stock at a below-market price but can't unload it for a quick profit because they made an obvious sham of the market. The only way retail investors will move in either direction is if there is a significant development in the wider palladium market.  

Moral of the story: don't trust who working at the the big financial institutions for market advice. They're all full of sh*t. Trust your own analysis.Heck, save the fees and use a dart board. You'll have the same track record as your average Wall Street analyst without having to pay his/her salary. GLTA