Last month on the afternoon of December 12th, NIA announced Western Potash (TSX: WPX) at $0.135 per share as its #1 stock suggestion for 2017. As you are well aware, NIA’s #1 stock suggestion for 2016: Great Panther Silver (GPL), soared from NIA’s suggestion price of $0.35 per share to a high of $2.25 per share for a gain of 542.9%! Many NIA members were disappointed that GPL didn’t live up to the gains achieved by NIA’s #1 stock suggestion for 2015: Arizona Mining (TSX: AZ), which exploded from NIA’s suggestion price of $0.37 per share to a high of $3.49 per share for a gain of 843.2%!
NIA is optimistic that WPX will make up for last year’s disappointing gain of 542.9% achieved by GPL. As always, patience will pay off big with WPX as it did with AZ and GPL. WPX is not a 2-3 week short-term play to daytrade in and out of for a quick 50%-100% gain – because as you saw on Wednesday when an unbelievably HUGE 4 million shares traded in a single day, big money is beginning to pour into WPX from China, the world’s largest consumer and importer of potash!
NIA is willing to put its reputation on the line right now by saying it is 100% confident that WPX will become the #1 biggest play on the entire TSX next week! After rising 14.3% to $0.20 on Wednesday – trading 18.3X higher than normal volume – WPX finished yesterday at $0.205 per share, a new high since NIA’s initial WPX announcement last month!
NIA said at the time of its initial suggestion of WPX last month that it would face resistance at its key breakout point of $0.21 per share – and that’s exactly what we saw during the last two days. However, NIA predicted that after WPX surpasses its key breakout point of $0.21 per share on strong volume – it would immediately make a move to $0.33-$0.34 per share within the following 3 to 5 trading days. With the Potash industry now in full rapid reflation mode, NIA believes more strongly than ever that WPX absolutely must return to a very minimum of $0.33-$0.34 per share in the immediate, imminent future!
In the summer of 2015 with the Potash industry stuck in a severe and rapidly deteriorating recession, WPX successfully raised CAD$80 million from a major Chinese investor at $0.3358 per share. For WPX to raise such a large amount of money at the Potash industry’s worst point financially in history – proves that its Milestone project is the Potash industry’s #1 premiere high grade, low cost, premium undeveloped resource!
Since WPX‘s IPO in July 2008, the company has now raised a total of CAD$221 million at an average of $0.50 per share! Considering that the CAD$80 million WPX raised in mid-2015 at $0.3358 per share came from one large long-term Chinese investor – we are unlikely to see any major resistance until at least $0.50 per share! WPX is sitting on $0.15 per share in cash with no debt!