Wolverine Exploration Inc (OTC:WOLV) got featured in an explosive trade alert yesterday afternoon. But was yesterday’s surge of the stock really the result of the promotion?
As shown by the intraday chart, the major part of the volume was generated prior to the arrival of the promo letter. The trade alert was sent at 12:20 p.m, whereas more than half of the 745 shares traded yesterday were turned over before that. The whole appreciation of the stock was 8% to $0.055.
The promotion was initiated by Willy Wizard who didn’t specify any compensation for the trade alert. However, the disclaimer revealed that there are two entities who can potentially benefit form the campaign. First, the editor of the letter stated he was holding 797,390 WOLV shares. Second, the publisher was previously compensated 250 thousand free trading shares which have not been sold so far.
The trade alert made an outright declaration that a possible major copper system discovery was coming. Nevertheless, the objectivity of the statement can easily be questioned once you look at the details of the disclaimer.
WOLV is an exploration company that explores mineral properties in Labrador, Canada. It holds 90% interest in 449 mineral claims that spread over 11 thousand hectares and contain copper-gold showings.
The company hadn’t issued news or filed reports this month, so it is difficult to explain why there was such a significant surge in the volume two days before the promotion. Therefore, apart from the promotion it is only speculations and suppositions that seem to drive WOLV stock these days.
