Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of Paramount Gold and Silver
So what: The NI 43-101 estimates for San Miguel didn't look bad, but investors were looking for more and as a result a panic hit traders just after 10 a.m. ET. That's when volume shot through the roof, and it currently stands at nearly four times average with an hour left in trading.
Now what: Whether it was a big seller or stop losses kicking in, the sell-off was way overdone, and the stock has now recovered some of its losses, trading down 8% as I am writing. The increase in gold and silver resources at the project should be good long term, but even when you fall short of a whisper number on Wall Street, your stock can suffer. This looks like a buying opportunity for patient investors and was a windfall for those lucky enough to pick some up at the bottom.
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