Sanborn Resources Ltd (OTCBB:SANB)’s Ups and Downs
Sanborn Resources Ltd (OTCBB:SANB)’s stock started trading earlier this month and their charts are very interesting. They have been going up and down with a lack of consistent movement making their stock one of the riskiest at the moment, as we witnessed a number of events that took place in order to artificially increase the price.
SANB are one of the new players in the OTC Markets and they have been worth writing for, since the beginning. Their stock has caused a lot of interest in investors for the short time that it has been on the market, but has also caused a lot of questions to the people who are trying to predict where it will go to next.
The chart of the company looks like it is formed by jagged mountain tops as the stock is going in both directions with quite a lot of momentum. That, however, is understandable when you take a look at their actual operations and have in your mind that the main reason for their stock’s movement is the promotional effort initiated to increase investor interest.
They were pumped in the regular way, using newsletters on July 11, but we saw quite a few other places where their stock was touted. There was an article posted about them which drew a lot of attention and at the bottom of the page it becomes clear that the promotional budget is no less than $3 million.
That’s quite a lot for a stock promotion and we reckon that investors are ready to dump stock even now (that is if they have even stopped doing so). The last 4 days ended in the red for SANB‘s stock, but trading isn’t getting any lower. In fact, Friday’s volume was quite larger than their average of 373 thousand with a total of 1.2 million shares switching hands.
The price went 15% down from $0.424 to $0.359 with the highest volume of stock in 2 weeks. Even though the price went down, the amount of stock that was traded generated a trade value of $527 thousand, which is quite a lot.
SANB seem to be starting the week good as their stock has been heading in a northern direction since the market opened with a current gain of 19% in price. They opened the day with a value of $0.39 per share and even though there was quite a lot of dumping in the early minutes their price headed on a steady climb and is currently nested at $0.43.
The volume is also quite big as they are closing in on the volume traded in Friday with 945 thousand shares that have been already traded in just over 1 hour of the trading session. The trade value generated until this moment is estimated at $380 thousand and we reckon that they are going to best their Friday session. Even though they are having a promising start of the week don’t forget that they are a very risky stock and be sure to do your due diligence and weigh out the risks before making a decision to invest in them.
Even though SANB is traded with increasing volume and trade value, probably the most hot stocks in Friday were those of Xumanii, Inc. f/k/a Medora Corp. (OTCMKTS:XUII) and Sould and Vibe Interactive Inc (OTCBB:SOUL). Even though XUII lost 26% from its price per share the total trade value for the day came at $8.6 million and they closed with a price of $0.2875. On the other hand SOUL gained 29% closing with a price of $1.48 per share with a total trade value for the day of $7.2 million.