Charts, page-561

Ok it is back to comparison time and there is no better or more recent than BRN. Just to be clear this is a chart comparison only, nothing else.

Many holders will be asking "are we there yet". This comparison may help.

I wanted to wait till WBT passed its all time high at $2.20 which was quite an achievement yesterday with the previous weeks gains and on a big red day on the ASX. If you check the top orange lines on both BRN and WBT block volume chart you can see the similarity when both crossed to all time highs. Quite uncanny actually. BRN then retraced for 1 day before putting on close to 100% (0.495c-0.97c) in 3 DAYS! The rally to that point was over 6 months long. If WBT were to do something similar that brings $3.50 region into play.

I am sure many investors value their shares differently but MCap is the only way. Those saying WBT has gone too hard are probably the same ones that drove BRN to 0.97c. WBT has 105mil SOI and is valued at $210 million. Fully diluted with all options exercised $280 million with approx $25 Million cash. When BRN broke through its all time high at 0.58c its MCap was >$600 million and at 0.97c its MCap was >$1 billion. I wonder who if they own both companies would not value WBT at least equal with WBT at least in terms of development and revenue potential. BRN's MCap is circa $400 million now so WBT $3.50 is not a stretch IMO.

The telling difference in these charts resides in the reading of the 21 & 100 Day Money Flow indicators(MFI). Both BRN's MFI's only went above "0" into accumulation at the top of the rally, the last 3 days and then quickly sunk into distribution as the dumping started. I did do a comparison when BRN was at 0.80c and said I thought someone was going to get left "holding the bag" at BRN as the MFI was telling it load and clear. You can see the result.

Now WBT had both MFI go above "0" before the rally even began and both have stayed there ever since. This is a far stronger advance than BRN but interestingly WBT is less than 25% of BRN MCap at the top. So is there hype or just a solid re rate from very undervalued levels. The answer is pretty clear from the chart. How you think about it may just influence your decision to stay with the undoubted trend strength or sell in one of the coming multiple tree shakes. If you will be doing some capital management I hope this helps.