Top Trade Volumes in Germany: Golden Dawn Rises After Receiving Permits

Companies that are listed in Canada are often listed on German exchanges as well, and while many investors don’t pay attention to these German listings, there is a case to be made for doing so.

Why? Most notably, German market activity tends to mirror activity in the Canadian market. That means that when a company disseminates news in Germany and experiences high trading volume, that activity may be repeated when the news is released in Canada. Because the German markets open hours ahead of the Canadian markets, Canadian investors can essentially get a “preview” of how stocks will perform.

Last week, the stocks with the highest trading volumes in Germany were as follows:

• Monday (June 19) — Red Eagle Mining (TSX:R,FWB:R6E): Germany 629,135; Canada 1,085,660
• Tuesday (June 20) — N/A: data unavailable
• Wednesday (June 21) — Golden Dawn Minerals (TSXV:GOM,FWB:3G8A,SG:CA3808956070): Germany 623,277; Canada 395,733
• Thursday (June 22) — Golden Dawn Minerals: Germany 790,327; Canada 462,733
• Friday (June 23) —Golden Dawn Minerals: Germany 1,024,118; Canada 287,500

Here’s a look at what moved the trading volumes of those companies last week.

Golden Dawn Minerals

Golden Dawn Minerals traded 623,777 shares in Germany on June 22, and comparatively traded 395,733 in Canada on the same day. On June 21, the company traded 1,284,554 shares in Germany and 178,400 in Canada. Finally, on June 23, Golden Dawn traded 1,024,118 shares in Germany compared to a significantly lower 280,000 in Canada.
Last week, Golden Dawn released two pieces of news. It filed an updated preliminary economic assessment for its Greenwood gold project on June 19, and received mine permits on June 20. The mine permits are for the company’s BC-based Lexington-Grenoble gold mine and its Greenwood process plant. According to the company, it is now in a position to dewater and reactivate the Lexington mine and to operate the Greenwood process plant. Lexington was also recently the subject of a site visit.

Red Eagle Mining

Red Eagle Mining, an emerging gold producer building the San Ramon gold mine in Antioquia, Colombia, was also a top trader in Germany last week, although unlike Golden Dawn it did not release any news. The company traded 629,135 shares in Germany on Monday and 1,085,660 in Canada. 

Interestingly, while Golden Dawn and other gold-focused companies like Red Eagle Mining, Barrick Gold (TSX:ABX,NYSE:ABX) and ML Gold (TSXV:MLG) saw high trading volumes in Germany last week, in Canada lithium stocks saw high trading volumes. BlackBerry (TSX:BB,NASDAQ:BBRY) also saw high activity on June 23.

By Megan Keevil
Data in this article was obtained from https://app.zimtuadvantage.com, the only free online tool that helps users easily monitor cross-listed stocks in the German and Canadian marketplaces. Only stocks with market caps of over $10 million were considered for this article.

Disclaimer: The views and opinions in this article are those of the author and do not reflect the views of Investing News Network or the company examples provided. The author is employed by Zimtu Capital in Vancouver, and Golden Dawn Minerals is an equity holding of Zimtu Capital. The author holds no direct investment interest in any company mentioned in this article.

About the author — Megan grew up in Vancouver and has been working in the mineral resource industry for a number of years, both in offices and on site. She has a passion for travel and has spent time living in Australia and the UK. Having returned from living in London last fall, Megan currently works as marketing and client relations associate in Vancouver. She enjoys live music, writing, film, photography and recently started making her own soap products.