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 drop of around 7%, moved from 70.5 to 65.5.
Last week it had moved from 63 to 70.5, this week it went back to touch 63
It made a high of 73 and now back in mid 60s, which I feel is an uncertain zone.
Last run it had reached 85, so has now made a lower high.
Shorts are still very high, at 12.5%, not decreasing, and 5th highest shorted stock in ASX. So work is cut out.
Last week I wrote I am watching very closely, any break above 75 is another sign that something else is going on with stock rather than sector. It didn't get over my number 75, so I left it for now.
. . Major price action indicators-
ALB - Loss of around 7%, and now back under 20% from its lows - back in danger zone
Ganfeng - Loss of around 1% for week, Tianqi loss of around 2% - loss not as big as other big player indicators I use
PLS/LTR - PLS loss of 9%, LTR loss of 7% - so big gains of last couple of weeks is getting eroded,
Spot Price - Loss of around 0.4% for week, so after 1 week of gain, back to familiar decline, but was small
. So what do these numbers say?
After getting some positive signals last couple of weeks, sector is again getting tested
Also no clear signs of reversal yet. Bottoming which was looking better, is now in doubt
All big stocks which I use as indicator - ALB/Ganfenq/Tianqi/PLS/LTR - last week all were above 20% from their lows, this week ALB/PLS/Tianqi have lost it
After 2 weeks of good green, instead of consolidating, stocks had a big drop, so a bit concerning
Second time in recent play, LTR is making another attempt to break out. Last attempt it reached 85. This week it reached 73 before losing steam, and came down to 63. So there is a question mark now
Many LI stocks are heavily shorted - MIN/PLS/LTR are 3rd, 4th, and 5th highest stock on ASX
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 moderate 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:
65.5¢ 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)