Yesterday, Diversity Group International Inc. (PINK:DGIN) startled the market with its volume and share price explosion. The company surged 134% and closed the session at $0.019, while the intraday high was at $0.03.
This unusual activity around DGIN becomes less unusual when you cast a look at the promotional database of Hotstocked. It is visible that two days ago, after the end of the session on Tuesday, an expensive stock promotion had hit the e-mails of investors.
Specifically speaking, there are two different promotional waves. The first one came from the group of Research Driven Investor, who was paid $38 thousand form a third party called Tigris ventures LLC. The second one was led by the group of OTC Reporter, who had received a compensation of $7,500. In the last case the name of the third party was not revealed.[BANNER]
Apparently, the promotion worked well and created a serious hype on the market. The bulk of the trading volume was generated in the first half of the session. Summarily, 11.7 million shares were traded for the day, making up for the highest trading activity ever for DGIN stock.
Unfortunately, the effect of the stock promotions is so ephemeral, especially when there is no material essence behind it, that it is very uncertain if the hype around DGIN will continue very long. In this regard, it is useful to mention that the short volume for yesterday has been more than 50% of the whole trade and it can provide a meaningful signal for all of those who want to trade the stock.
