This is very much a junior caught in a sector that has seen panic selling to some, equally panic profit pritectionnfor others.
The gut from last week told me the bulk of the bearish selling is over and it will start consolidating from here. I’m still looking for that evidence.
This is the life cycle normally for juniors with cash flow producers generally sheltered but seems to be different in sentiment currently. Throw the baby with the bath water cones to mind.
Looking at the XJO, I can’t help but remember 2015 when it hit the psy 6000 level and I thought the bull run would continue. 2 years of falling befor the recovery. I hope this is not a repeat. When I see panic selling in the ultra defensive healthcare sector seemingly thrashed this week I wonder if there is a sinister event lurking??
AVZ Price at posting:
9.7¢ Sentiment: None Disclosure: Not Held
