Chart, page-20002

I love the way people keep referring to the 2.34 as if is a reference point. It only spent two days above 1.90. So on the third day it closed at 1.755 that's a 25% drop in two days (it's a disaster, the biggest two day drop in its entire history). The problem is that the FOMO resulted in some fools paying over $2 until the market ran out of fools.

Trying to make rational decisions by using an irrational market as a reference point is foolish. I was fortunate I have seen this explosive behaviour before in the market. I saw the plunge from the peak 2.34 to a low of 1.33 in 5 days. Then came the bounce that is so so common in these explosive markets in the next 4 days it bounce up to 1.89 and started downwards ( by then as a chartist it was so obvious that this was a dead cat bounce (DCB) I sold a small portion of my holding at 1.63 (which I bought in single digits) 12 days after the peak. More than free carry the rest of my BRN shares, after the 50% long term investment discount I would have still had to pay CGT for the other 50%. I took the opportunity to get rid of 4 of my underwater species (BRN had been one of my species) and paid no CGT. If I had sold the lot the CGT would have been huge)

As it turns out I have shares that cost me nothing and are worth 0.43 cents each currently. I am holding them instead of selling them (whereby paying CGT) because in the long term I can see them paying an annual franked divided some multiple times the original purchase price.

If I have some more underwater species carrying a loss and need some cash then I can balance the CGT against the loss and pay no tax.

So there is no way I see a loss of 85% from the peak of 2.34. I don't even see a loss from 1.63 to 0.43 as a real loss because after paying CGT that real sale price comes down to about 1.30 after tax.

After the sale of the small portion I more than free carried that means that there was excessed cash above my total entry cost.

Anyway it's late.

Goodluck

cheers Lies