In an earlier post, I asked "Has anyone found the publication responsible for the sudden crash" (on Jan 24th). Within that thread and the 'WHX Likely Distributions' thread were two admissions of culpability. It was not an overly negative publication, but two shareholders who 'panicked' and sold out early. WHX was on trend for a price of $7.25 by the dividend announcement date, but these traders decided to sell out early, causing others to follow suit, to the tune of 1,000,000+ shares. This in spite of oil projected to hit $100 and blizzards across the entire northern half of the country (raising Nat Gas prices).
By the way, HGT (an 80% Nat Gas Trust) has raised it's dividend for each of the last 4 months.
The good news is the 'weak stomachs' have left the building and the rest of us can play for a good dividend announcement in about 2 weeks or so. Imagine the Shorts' reaction if the dividend is equivalent to 60% or better at today's stock price! Could it hit $8 or even $10 (or more if the middle east gets hot again)? I'm willing to hold on to see.
Actually, there never should have been a "crash"! A slow reduction in share price mirroring the depletion rate of the reserves would have been in order (superimposed on the "climb-toward-the-dividend" cycle, of course), but the sudden bloodbath many of us took was due to the negative articles out of the blue which purported to "discover" that WHX was going to expire shortly (which was several years in the future actually). I'm sure their authors made lots of money shorting WHX.