Yes AZL remained flat to finish at 3.1. Our volume was low like yesterday, just over 16m shares traded. Another low volume day where most of the trading happened on 3.1. A very narrow range, a pip up and 1 pip down - last 7 days of trading has happened like this - narrow 3 pip trading range. . So how was the trading today - positive or negative? Based on the trading that happened, it deserved another green, at least 3.2. But, we still have punters who are happy to disembark at 3.1, so we had to leave that for another day. But I can feel some may be slightly disappointed.
But I was still satisfied with today's trading, and for me it was positive. Why?
We held 3.1 very strongly
More than 90% of today's trading was buys.
Someone mentioned that the big buyer may have gone. Trading pattern today was different than yesterday - not much controlled by bots. But we did higher volume than yesterday, we did more than 90% buys - so I don't think the big buyer is gone - just playing game differently so that people don't take advantage of predictability. But we need confirmation, which we should get in next few days - if the buyer can take us past 3.5 and into 4s. Lets see.
Lithium sector sentiment today was not very good. Overnight US Li stocks did not do well. CXO announced mining halt. So sentiment was slightly down, most stocks in red. So to finish flat in this type of day was still good.
General markets also not looking very healthy. SP 500 is doing a back test before it will go for another high. 3 consecutive reds for SP 500. Lets see where it reverses from. So for us to hold was good.
Last week we finished at 3.1. Many had predicted that this week we will collapse and go to 2s, some even mentioning 1s. We finished at 3.1 - flat for week and only visiting 2.9 in 2s . So on a slightly weaker sentiment we have held. I feel this was noteworthy and speaks of some strength in stock.
Our key play this week was to hold 2.9. We held it for 2 days. Today it didn't even go there. In fact no sell at even 3 - except some CXA trades. So a good chance of it holding now, though we need confirmation, as we are not very far from there
A very strong closing auction - it bodes well for next week.
Although some may not have liked the churn today and wanted to go up, I feel it was healthy. All those who wanted to exit were able to get out gracefully, without panicking and selling at 3. The churn means shares are now getting transferred to stronger hands. Also it ensures that when we rise, we will not get immediately sold down - sometimes a quick rise means a quick fall - but this churn means gains may be held.
. Personally, picked up some heads at 3.1. I had my head top up buy at 3, I was in the queue from yesterday, whole day it didn't budge, not a single sell into 3. So I picked up some at 3.1. Yesterday I picked some at 3, my average now just above 3.2, it was 3.3 earlier. Oppies just below 0.9. Someone wanted oppies to finish it red to spoil the look on my portfolio - oh well, I am hoping its for a long haul, lets see how price action is. As I have mentioned before, I do follow price action more than anything. Till now I feel fine, but anything can happen, so please check your risk/reward. . So what may happen next week? Last week I had written that we may get to 3.5 in 1 to 2 weeks. So if that is to happen, we should get that sometime next week or very early week after. Today's trading was good. There is a good chance of starting with green on Monday. There may be some punters who are in sideline waiting to see what happens - concerned about talks of big drop. If we can do couple of more green days, they may get confidence and join. That will create a strong momentum, and take us to 4s and 5s. Will that happen?. Lets hope so. Enjoy your weekend and all the best.
AZL Price at posting:
3.1¢ Sentiment: Hold Disclosure: Held
(20min delay)