While I do have respect for Mitta's charts, I am not a believer that charts can predict the future. I read my horoscope each morning, mainly because they are beside the comic strips in my local paper, but I doubt that they will actually be correct tomorrow. I rate horoscopes in the same class as charts in predicting the future.
Charts can only record the past. The future may in some cases reflect the past in the same way that my past may be an influence on my future but generally it will be subject to change. If the past was going to be repeated I would be riding a horse to work, having my bread, milk, meat and ice delivered to my door and not needing any rare earths in anything I needed.
Charts only have some reliability because there are so many traders (gamblers) that follow them, expect them to behave in a certain way and by trading along those lines they can influence the SP.
The SP is more likely to be influenced by blatant manipulation which is sponsored by the "system" along with fundamental changes in world conditions, product demand where the laws of supply and demand have a real influence and the companies financial position.
So chartist will have to excuse me if I treat charts as entertainment where the future is concerned and only taken seriously as a record of what happened in the past and what may happen in the future given a repeat of the same circumstances.
What the charts do record for Lynas is the result of gross mismanagement by a board that has allowed the company to be run by a part time CEO at crucial times in its development. They do predict the future in one way, they predict that the $10 party is a long long way away. It is not just the triangle that is descending.
LYC Price at posting:
60.0¢ Sentiment: None Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)