LTR (ASX) New TA/Charting

Originally posted by slick: ↑

Good post.

Together we'll never get a definitive answer on what the plan was as what I do know is that they will do it again and again and then do it again as well. So when you speak to them they're not to forthcoming with the detail.

I don't want to drag this post on and on so i'll try and summarize.

Basically you had a few Insto's take this stock for a ride and it was executed beautifully, I've gone back to the 9th and 12th and you can see from the trade analysis that it was algo accumulation. Sneaky buggers even started it on a friday giving a whole weekend of social media chatter. On the 13th and 14th there was a lot of retail orders being hit (especially in the lower wicks).
Now in regards to the idea that a few Insto's are carry some bags from the pump, just maybe it was them offering the script to a new bunch of short positions because the price action on the 16th and 19th sure look that way. The rise and falls in the shorting volumes back this up.
If what you say is correct (I can't confirm at this stage) then those insto's will be banking on the ever increasing shorting fees as their windfall until LIT comes into vogue again. (when's that going to happen?)

Here's you current short position. I'm thinking that's going to be higher come Tuesday.
Apart from that I wouldn't be spending too much time trying to suss it out as you'll do your head in. I'd just be aware of the game and the signals and be prepared for it next time. For a stock to go from 55 cents to 85 cents on no significant news then it's pretty clear what happened here.
Now to keep an eye out on other LIT stocks for the same play.

And finally, here's your all important weekly chart (for loooongs).
Kind of displays the move best. From the bollie median to way outside of bollies and back to the median.

Cheers

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@slick

Interesting to see your interest in LTR.

RE your chart and what you said:
"And finally, here's your all important weekly chart (for loooongs).Kind of displays the move best."

Thanks for your opinions from a trader's perspective.

Yes most of here are looooongs.
But we also know how to read the charts.

Yes there are two candlesticks (weekly) with same body length.

But what about the volume?

I'm sure you know very well as a trader and chartist that the volume is the main factor.

( I know even the volume can be manipulated but not in the weekly chart. Let's give 1m shares to each trader. They can sell it to each other whole day 20 times and create 20m volume which actually is one tenth of real volume).

You can see the volume of green candle is double of the red candle. That represents the amount of stock accumulated or held in the same price range (up and down). And we know from the broker reports that GS and Citi are the holders of that surplus volume.

Also I can see the accumulation from the Chakin Money Flow indicator at the bottom that LTR is being accumulated. While the price goes down the indicators goes up. That's the divergence and indicates a accumulation.

Anyway, I don't like to make comments on charts but I just wanted to show the fact here because it's related to the fundamental analysis.

This was not a pure P&D even though there was some dynamics of P&D opportunists and traders in that period.

It was result of an anxiety which the shorters have had.

As we all know, and as everyone in the market knows that LTR is a takeover target especially in the current circumstances when the lithium price is very low. It's high probability that LTR might get a takeover offer in different forms at any time. It might be rejected or accepted, or it might be official or unofficial. That a different story. I only rely on the company announcements. Our topic here is anxiety of traders and shorter due to that situation.

Being a takeover target should always be kept in mind and never be underestimated by traders, shorters and investors while trading this stock. It's the reason that that high ratio of fluctuation can be be seen again as you too said.

(CXA volume is not included in this chart but it's not much. It can be seen on your chart above)