Nikolay Tomov
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Fireswirl Technologies Inc. (CVE:FSW), (PINK:FRWRF) Erupted on the Market

by Nikolay Tomov Feb 9, 2011
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This week, we saw a real explosion on the TSX Venture Exchange. It was caused by the shares of Fireswirl Technologies Inc. (CVE:FSW), (PINK:FRWRF). To even bigger surprise, the stock's eruption came on no new company developments.Fireswirl_Technologies_-_Chart.png

Out of nowhere, on Monday FSW went crazy on the CVE, gaining 344% from the previous close. Yesterday it climbed to a new high of $0.380 on a record turnover of over 8.5M shares. Yet, the close was below the high open price, which suggests that the frantic buying has probably come to an end. There is no information to explain the surge, so we might only guess whether this is a speculatively driven rise of the shares' price.

Fireswirl Technologies Inc. is a company focused on conducting e-commerce and operating official online stores for international mobile handset brands in China. Some of the most popular international brands like Nokia, Motorola and Sony Ericsson are using the company's e-commerce platform.

Maybe the enormous shares' flying up has something to do with the constant interest in the technology sector. Several other tech stocks have witnessed the same gains recently, so FSW is not the only case.

The filed by the company financial results for the Q3 of 2010 contain further encouraging data. The most evident: total revenues for the quarter have increased to $4.74M, or by the striking 5038%, compared to the same period in 2009.

However, there are negative factors that could not only hamper the surge, but also reverse it completely in the future. Perhaps one of these is the lack of enough official credible information issued by Fireswirl. There is practically nothing to explain the present explosion of the shares. Man gets the feeling that there could be something hidden and perhaps dirty, not yet announced to the public.

Further negative sentiment comes from some numbers in the mentioned financial reports. For example: as at Sep. 30, 2010, the company had cash of $974K - a 34% decrease compared to the figure at the end of 2009.
Fireswirl_Technologies_-_Logo.pngSurely, Fireswirl is a company that attracts investor attention. However, it will have to provide additional information if it wants to be considered more reliable on the stock markets. Otherwise, it is very hard to forecast for how long the present shares' rise will continue.

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