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, LTR had a big gain, moved from 63 to 70.5, around 12% gain. Last week too was 4% gain, So back to back good weeks.
So LTR is back above 70s, the first number I try to take notice. So what is happening?
Just a month back. LTR had a similar play. Big break out. Reached 85. But then it was not sustained.
Last high a month back from 85, it dropped to 54.5. Such a big drop. why it rose high? Why it dropped so much? Honestly we don't have answers. For most faithfuls, long term, short term share price is a deviation. But for many, like me, who want to re-enter, its important - what is happening, why its happening, can anyrun be sustained, etc. At this stage, honestly I don't feel I have the answer. So we are in speculation mode, like last time.
But lets look at the positive side. Numbers I report, for the second week running, nearly everything in positive. Not big, but positive. Does it indicate things have turned? Not yet, no clear signals yet.
So its very good numbers for holders, not good enough for those wanting to join/come back. So we wait.
I am watching very closely, any break above 75 is another sign that something else is going on with stock rather than sector. If sector, ALB etc keep moving up, then I will believe its sector. But at this stage LTR is having its own play. In a positive way.
. . 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:. . .
LTR Price at posting:
70.5¢ Sentiment: Hold Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)