AUC 2.78% 3.5¢ ausgold limited

i have been involved in 4 consolidations and I am yet to see a...

  1. 11,235 Posts.
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    i have been involved in 4 consolidations and I am yet to see a successful one. The only way it would work is to have a constant stream of newsflow to keep the market interested and add value to support the share price. We also have to hope gold prices stay strong which I expect, otherwise it would escalate a consolidation drop.

    Consolidations rarely work Imo, generally all they do is allow the register to separate out, and pricing structures which results in less support zones. This creates more gaps to sell down into.

    Some example of poor consolidations, EMC when they transitioned from TSC (this was in great Gold conditions), BML when they transitioned from PMY (this was in good silver conditions), TOE (this was in amazing uranium conditions), AIS (during good copper conditions it dropped then escalated the drop when poor copper conditions arrived). They are very risky!
    Last edited by coto: 06/06/24
 
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