Yes, the claims about impending (impending in this case seems to be years away) oversupply are the same cooked up nonsense we have seen playing out in this sector for years.
A year or two ago I decided to not fight the ‘unjust’ or ‘irrational’ or ‘fearfully cynical’ nature of the stock market and just roll with it. Volatility is about the most reliable thing in the market.
My rule now is sell at the all time highs and then start buying again when it drops significantly. I always have most of my shares as long because my fundamental belief is that AKE ‘should’ be north of $20. But demanding, crying to the heavens about why it is not!?!? Doesn’t really do much. I used to feel more like this now I just try to roll with the irrational greed and FUD.
For me this is a win win and has the added benefit that I don’t have to be upset when it’s dropping because of some nefarious force. I can just spend some of those profits on buying more shares that I didn’t have before with money that came from selling at the high.
I started buying again yesterday at 11.55 and will buy every 5-10% drop or so until I run out of cash. Depending on other factors too of course.
For me, if I don’t sell at the high (all my investment money is in AKE or waiting to buy AKE) then I have no money to take advantage of the price drop. This feeling is much better than brewing a useless storm about how unfair everything is. Wealth inequality is unfair. The fact that maybe some people are buying stocks with money made from Australia’s irrational housing market is unfair. It’s all unfair. And if it was fairer perhaps many of us here wouldn’t have the money we do.
AKE Price at posting:
$11.44 Sentiment: Buy Disclosure: Held
