Short term pain, long term gain.
Let's assume PoS get crashed further to USD / AUD 20. Bad for AYN's profits, but still profits !
What happens to those junior hopef(oo)ls like SVL or CCU ?
They might get caught up in financing problems or some other sort of support withdrawl.
The oil business is the best example. When PoO went down to USD 35 during the GFC1 many small companies had to close down. Result ? PoO got back to USD 100.
Similar things will happen to silver. Once the investment cowboys left with their paper silver and the industrial silver takes back control PoS will settle at a justified price we could work with. What level, I don't know but USD 33 seemed to be a few months ago the support base.
AYN's sp will get back to 10c in the near future, either by investors like us or a t/o which I think is now more likely than ever. And smashed sp of good comps were what many cashed up comps did take advantage of at the end of GFC 1. Nothing new, even Karl Marx, on of my favourite analysts, knew already 1848 how the smart comps will benefit from any economic crisis.
From today on I will start buying small 50k parcels, even if AYN's sp falls further. Today is not the end of any commodity but a start to build a portofolio of beaten down profitable companies.
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