After a whole week of climbing up, China Direct Industries, Inc. (NASDAQ:CDII) went through a correction session yesterday.
On nearly double the daily average volume, CDII slid down 3.61% to $0.8 on the last trading session, or 3 cents lower than the previous close.
Just for a reminder, CDII had managed to climb up from $0.72 to $0.83 since the start of December. However, part of the gain was corrected on the last session which couldn’t be stopped even though the company received a promotional coverage the same day.
As our promotional database shows, a one-month marketing campaign dedicated to CDII had been ordered by a third party called Pearl Group. As a result, a promoter called Investor Ideas distributed a promotional newsletter on CDII around the middle of the trading session.
According to the disclaimer of the newsletter, the marketing campaign had cost $12,500 and was supposed to include a CFA commentary and email distribution with other partners of Investor Idea which had also been compensated as part of the overall marketing.
Apparently, since the marketing campaign of CDII will continue for one month, it can be expected that there will be more volume as a result of the increased awareness. However, the effect of the campaign on the share price cannot be predicted at this stage.
