Hi
@badatoc641, thanks for asking but I really can’t comment on someone else’s financial choices as everyone’s financial position is different (and I’m not licensed to provide that advice). Super happy to chat about the company but will avoid touching on an individual’s decisions. Sorry I can’t provide more than that. Also can I just say everyone does smart things and everyone does stupid things. I’ve done plenty of the latter. I actually bought a bit of AVH at $16.80 a week before COVID hit, it was so close to the top my order came back with snow on it. I eventually sold at $5.50…
On the general topic of selling, I personally would generally sell a stock in one or some of the following circumstances:
1. I need the money for some reason (rare - I invest what I don’t need for minimum 12 months)
2. I have found a more compelling R/R opportunity
3. The original thesis that drove me to invest has broken
More recently, I have learned to sell:
4. When everyone is exuberant and the price goes crazy. This is quite hard to do though because you start feeling smart/greedy.
I have always been bad at #4 which I why I sold GLN in the mid/low $1’s, not above $2. I look back in hindsight and thought “what was I thinking?!” because the price had spiked up so aggressively. It is what it is. I also held JRV from 44c up to $1 then back to 48c. I sold then (except for a small ‘watcher’ position I sold at 20c) because I decided the thesis was broken. It later collapsed to under 10c and then they raised at 6c. So a lot of profit left on the table with GLN and JRV, but the key thing was to objectively learn the lesson and apply those learnings elsewhere. Because of those experiences I sold my entire WHC position at $10.80 because the exuberance was wild (brokers were posting notes with $15 PT’s and quoting ‘FOMO’ as a catalyst etc, nuts).
The key point for me is that a miss (whether a loss, or reduced profits) can be painful but if you objectively look at what went wrong, actually write down what you learned about the situation (both what you learned about the stock and your own temperament) that can help.
Just general musings - not specific to Galan. It’s very tough right now. Don’t feel dumb, everyone is probably bagholding at least one stock. But these lithium business are cyclical and right now sentiment is poor, especially for an Argentinian brine company. It doesn’t necessarily mean there’s anything wrong with the company, it’s just the current market cycle. I think there’s probably a lot to learn from the guys who survived the DMI market cycles of 2018/2019 before it became GLN. Perhaps some of them could pipe up with their experiences again.
Good luck whatever you decide. Cheers
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