Nikolay Tomov
0 Vote 0

Yangarra Resources Ltd. (CVE:YGR), (PINK:YGRAF) "Shows Muscles" in Terms of Volume Traded

by Nikolay Tomov Sep 21, 2011
Yangarra_Chart_-_21_Sep_2011.pngSince August, Yangarra Resources has not officially released any new developments. The company's shares (CVE:YGR), (PINK:YGRAF) have not had a very spectacular performance on the TSX Venture Exchange for several months either. Yesterday, however, was an exception.

No significant change in the stock price was observed but the trading activity was remarkable. The volume set a one-year high with almost 1.73M shares changing hands. No fresh company news that could explain such an increased investors' interest has been announced. There seems to be no evident reason or explanation for the huge turnover

As for the future shares' behavior, it is not easy to be predicted. Still, we might notice the bullish inverted hammer pattern that has been formed on the price chart of YGR. This needs confirmation though, and provides no high reliability.

For now, it looks like the stock has made a slight rebound off the recent bottom where it had fallen about two weeks ago. In the beginning of his month, the shares had plunged deeply down, noting their 52-week low of $0.58. Yesterday, YGR closed 7% higher - at $0.62.

Yangarra_Logo.pngOn the other hand, looking at the company's fundamentals, we notice some not so favorable figures such as:
  • A working capital deficiency of almost $6M in the end of this June;
  • A huge stock dilution - the average number of shares has jumped from 55.46M in the end of June 2010, up to 104.76M one year later.
Yangarra is a junior oil and gas enterprise involved in the exploration, development and production of natural gas and oil. Its activities are focused mainly on the Willesden Green/Ferrier area in Alberta.

Comments (1)

1. Guest
September 21, 2011, 11:56AM

Quotes Well it appears that someone is offloading shares in a big way. 1.73 million shares appears to have been sold yesterday along with 400,000+ early this afternoon. What does that indicate? Perhaps some sort of concerns you have highlighted above. Not a very rosy outlook. I would stay away for now.

Type the characters that you see in the box (5 characters).

This is a captcha-picture.