Re. SWG... Interesting article from yesterday's Globe and Mail.... If Bunka's analysis is correct, it would indicate the public float is shrinking even further. Given the lack of liquidity in SWG, I don't know whether this is a good thing or not. Comments?
Regards,
Howy
======================
Wednesday, March 20, 2002 – Print Edition, Page B18
Southwestern stays strong
Last month, Chris Bunka said shares of Southwestern Resources Corp. (SWG-TSE) should benefit from its exposure to both the diamond and gold markets. "The stock has since climbed nearly a full dollar -- about 40 per cent -- and shareholders must be pleased," he wrote in the latest issue of Outsider's Overture.
Southwestern Resources announced positive early results from its zinc-copper project in Peru. What is more interesting, though, is that Southwestern Resources' press release said AGF Funds now owns more than two million shares or 11.8 per cent of the company's stock, Mr. Bunka notes. "The stock trades big volume about one day every quarter -- we wonder if this is institutional buying," Mr. Bunka said. Nevertheless, he said the stock is performing well in advance of the company's annual general meeting in May. "Let's hope the company issues news to support the recent price action," he said.
Support for the stock can be found in the $2.85 and $3 range, while there is modest resistance at $3.25 and more substantial resistance near $4, Mr. Bunka said. Shares of the Vancouver-based mineral exploration company closed unchanged yesterday at $3 on the Toronto Stock Exchange. The stock has a year-to-date return of 12.8 per cent but has lost 18.9 per cent over the past year. It reached a 52-week high of $3.80 a year ago and hit a 52-week low of $2.30 on Feb. 7. |
