The worry is that, if they bought today and closed positions the Christmas bonus they just scored might end up being the gift that keeps on giving …ie it could extend into the New Year with short sellers already reopening positions and new ones coming aboard on the expectation the price will fall further?
A lot of mums and dads on Christmas Holidays will have missed today’s news and it doesn’t really sound as if CXO has anything positive right now to pull out of its’ hat to prop up the share price from these levels.
Company still has a market cap of $705m with works at its ‘cornerstone’ strategy - the BP33 project now suspended and lithium doldrums still weighing heavily on the sector.
On the bright side (?) Seek says there are still contractors advertising for work out there ..
But shortman says there were almost 264 million shares loaned out for shorting last Friday
https://www.shortman.com.au/stock?q=Cxo
… and I don’t expect those big lenders see much other way to make coin right now other than by continuing to lend.
But fingers crossed eh ?
And a happy Christmas break to all despite this debacle.
cheers
(20min delay)