Yesterday HWI Global, Inc. (OTC:HWIC) had a monster of a session netting a 360% increase and a new all time volume high of nearly 6.4 million shares.
The suspicious part is that there’s just no reason for such a performance. The company has been performing dreadfully, there isn’t any news about its operations, there are no new filings, and there are no promotions on the way, as far as we can tell.[BANNER]
To be fair, the majority of companies on the OTC are reporting losses and have negative working capital. Few of them have reported gross losses, though. One of those is HWIC with a gross loss of $38 thousand for the quarter ended Sept. 30, 2011.
Yesterday’s performance looks even more suspicious when you look at the chart and see how illiquid HWIC has been. A disgruntled trader said in an iHub post he was filing a complaint to the SEC.
While there is no evidence so far there is anything illegal taking place, traders may want to use extra caution when making up their mind about HWIC.
