Without any news, Cotton & Western Mining, Inc. (PINK:CWRN) stock price is kept around the single resistance area at $0.0021, but the trading volume is already going down with each appreciation attempt.The stock got inflated and the price suddenly shot up in the beginning of November after the company stated that it now has a fully operational iron ore mine. The stock is now testing the support as the company has not released any updates on its operations, although it should have started shipping the production around these days.[BANNER]
CWRN carries large risks, despite management’s announcement of the operating mine. The company has no recent proven financial record and the statements about the business going into production are made only over press releases.
It wouldn’t be a surprise to see the stock plummet further down if no updates come out soon. The current market cap of around $5 million is based on assumptions and expectations, thus the company needs to provide further information to keep the stock price floating at these high levels.
Considering the business is possibly getting on track, traders can easily take the less risky opportunities by waiting for the management updates.
