Weekly data and thoughts. . Please not that all my views are for short-term only, and I could be wrong, so please dyor. . . . . Lithium Sector Overview- . . From a weekly perspective, GL1 had a moderate loss, moved from 14.5 to 14. Its now at its 52 week low. Like last week, making a new 52 week low. Not a good sign. I remember GL1 reaching 267 or so few years back. From that to 14 is getting closer towards a 95% drop. Its brutal. Everything that could go wrong, has gone wrong, for the sector, more for GL1. But some signs of bottoming out. One day, the sun may shine again. We wait.. . . Major price action indicators-
ALB - gain of around 1%, so kept the gain from last week, and now over 20% from its lows - crossed 65 but could not sustain, for now
Ganfeng - Gain of around 2% for week, Tianqi gain of around 1% - both were in positive last week as well
PLS/LTR - PLS gain of 5%, LTR gain of 12% - so big gains, on top of gains last week
Spot Price - Gain of around 1% for week, after a long time a weekly, not big, but consistent with how all the big stocks are doing
. So what do these numbers say?
There are some signs that a bottom may have been formed, but no confirmation yet.
Also no clear signs of reversal yet. There are no clear signs of reversal for the sector. But there are signs that it may be bottoming out.
All big stocks which I use as indicator - ALB/Ganfenq/Tianqi/PLS/LTR - they are all above the first level, which is 20%.
Second week in a row that all big indicator stocks finished in green
Second time in recent play, LTR is making another attempt to break out. Last attempt it reached 85. Is back in 70s now, so an important play for sector coming there
On the flip side, though Spot had a small gain this week, it is near in last few years low, so a long way to go
Most Li stocks, both ASX and US, are still at or close to their last few years low, so they are not showing any signs of bottom/reversal yet
PersonallyI have not been playing Li stocks as I have mentioned a few times last several months. . So what may happen next week? On Friday night, US Li stocks were in red. General markets had a big red. So a tentative may be on Monday and then wait for Chinese markets to open and provide some direction. . . Here is the Figures for the Week:. . .
GL1 Price at posting:
14.0¢ Sentiment: Hold Disclosure: Not Held
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