New Found Gold Corp V.NFG

Difficult figuring the logic

[Gangsterme]

<p> Seems to me that the last many times that they have announced new assay results, the stock price has retreated.<br /> <br /> Having difficulty understanding the logic of people holding onto this stock and then when more good news is announced, they decide now is the time to sell.&nbsp;</p> <p> Logically this should not be short sellers so who is it selling? I can understand today the price of gold is down slightly in anticipation of a fed increase this week in the USA. This was know on last Friday, why wait until today to sell?<br /> <br /> Seems to me that the value of this company increases today following the newest assay results. I am not expecting a huge price change for the coming few months just pondering the selling logic. The buying today at a slightly reduced price I can understand.<br /> <br /> &nbsp;</p>

[DanWarren]

It's probably the ongoing manipulation from the Short position holder(s)....If they can prevent the stock from rising on good news, that is exactly what they want.....I don't think its that hard for them to do if they are willing sell Short more shares, unless volume is very strong upon news release.  .I do think they are trying to cover, but they want to do it on their terms

[RottyMcShort]

This post has been removed in accordance with Community Policy

[Gangsterme]

They are thus selling to folks that expect the stock to rise in price. I can understand the logic in a macro sense but not betting against an exploration company that continues to issue promising news reports.  And if you are right that this is who is selling, where are they going to cover when things turn around? Are they expecting bad news re NFG? I do not think so! So they are betting on

[1condor]

Just remember that this stock is a speculative play on gold. In other words they do seem to be getting promising results however they are making no money. As far as the stock...there is always a bunch of sellers as the stock approaches seven bucks. Not a holder but do hold TXG as my play.

[Gangsterme]

No different than buying a company with copper or exploring for copper, they are all speculative on the price of the minerals. In the case of NFG, yes the price of gold has an influence on the share price. However, you are also buying a company that has a pan ever expanding known deposit. The unknowns at this time are the extent of the deposit and the cost of exploration.  I would like to

[DanWarren]

Great Post, Gangsterme! One correction...the Queensway ( QW) project has around 1500+ square kilometers, which equates to about 600+ square miles. So, much, much more area to explore in the years ahead. There are two fault lines traversing the entire property from north to south, roughly parallel to each other. Each of these fault lines length is roughly 100+ kilometers long. There are signs of

[eldreco]

1condo, Fine - then go post on the TXG board...oh wait...you seem to post all over the place - but never there, which I find curious.  LOL