Avino Silver & Gold (ASM.A) Plummets 12% Intraday: What’s Driving the Sharp Sell-Off?

1. Technical Signal Analysis

Today’s sharp drop in Avino Silver & Gold (ASM.A) saw no new fundamental news, but the technical indicators tell a clear story. The KDJ death cross and MACD death cross both triggered, signaling a bearish shift in momentum and a potential continuation of a downtrend. The RSI remains above the overbought zone, but no overbought warning has been triggered, suggesting the drop is more about profit-taking or a shift in sentiment rather than a sharp overcorrection.

Notably, no reversal signals like double bottom or head and shoulders were activated, which suggests the decline is more in line with a continuation pattern than a reversal. This technical backdrop implies that the sell-off is likely to continue in the short term unless a reversal candle pattern or a bullish crossover emerges.

2. Order-Flow Breakdown

Unfortunately, no block trading data is available for today’s session, which limits the visibility into large institutional moves. However, the high trading volume (2.09 million shares) indicates significant participation, and the net outflow is strongly implied by the price drop and lack of bids clustering above current levels.

Without concrete order-book data, we can’t confirm major selling at specific price levels, but the price action suggests strong bearish pressure, especially in the intraday timeframe.

3. Peer Comparison

Among related theme stocks, the moves were mixed. Some silver and gold miners like American Resources Corporation (AXL) and Aptean (ADNT) rose in tandem with broader market optimism, while others like ATXG and AREB (both junior miners or metals plays) dropped sharply. This suggests that sector rotation is not uniform, and the drop in ASM.A is not necessarily part of a broader selloff in the entire sector.

BHP Group (BH) and its class B shares (BH.A) were relatively stable, indicating that the drop in ASM.A is more isolated and likely driven by specific investor sentiment or order imbalances rather than a macro shift in mining equity sentiment.

4. Hypothesis Formation

• Hypothesis 1: Short-term technical bearish signals trigger automated stop-loss selling – The KDJ and MACD death crosses may have triggered algorithmic sell orders or prompted momentum traders to exit long positions.
• Hypothesis 2: Lack of immediate buy-side participation exacerbates the selloff – With no block trading and no bid clusters, ASM.A may have been left vulnerable to liquidity drain and short-term profit-taking.

5. Summary & Outlook

The 11.99% drop in Avino Silver & Gold is not tied to new fundamentals but is instead consistent with a technical bearish shift. The triggering of the KDJ and MACD death crosses, combined with high volume and lack of bid support, points to a continuation of the downward momentum.

While the broader mining sector shows mixed performance, the divergence in ASM.A’s behavior suggests the sell-off is either order-driven or the result of short-term technical exhaustion. Traders should watch for a potential rebound or a breakout below key support levels for a clearer trend signal.

Investors may want to consider this as a short-term technical correction rather than a long-term bearish turn—unless the next session confirms a break of recent lows or shows sustained bearish divergence in volume and price.