The way things are panning out I think recent BAR SP movement...

The way things are panning out I think recent BAR SP movement has had a lot to do with what has been happening generally with cobalt plays on the ASX. With the cobalt prices booming and all the talk of shortages, there is a fair bit of speculative money chasing action with cobalt stocks.

CLQ ran up from 1.13 to 1.45 in a week and a half. AUZ has exploded from 1.6 to peak at over 5c in the last few days. I think speculative money left BAR & CNJ and went to CLQ and AUZ because they are perceived to be further away from proving feasibility and starting production. This has contributed to the rise there and the fall here. AUZ exploded when the marked started comparing their resource to the resource at CLQ and realised AUZ was valued at 1/10th of CLQ for a similar resource and readiness.

I was very concerned that if the SP fell below 4c it could keep going. It seems to have stabilised and found support at the low 4's, where there should be strong technical case for support. In the meantime, I expect that speculative money having just made a killing over at AUZ, will be look for their next cobalt play. Some of it is going to come back to BAR and CNJ, as they have probably been oversold and the fundamentals are no different to when the SP was at 7c and the market is looking around for undervalued cobalt plays. I expect a solid bounce from here.