Consensus reached... but not for long

In the last two weeks we have traded in a range of 11c to 17c. In the last 3 days volume and volatility has dropped off and we have traded in a small range of 13c to 14c and we closed today at the mid-point --- 13.5.c

This indicates that the market has reached consensus.

The buyers have bought all they want, and the sellers have sold all they want.

We have reached equilibrium

This kind of situation does not last long.

It will not last long.

There will be a move one way or another.
It will be significant.
It will happen fast.

I and most others on here hope that the move will be upwards driven by a combination of the sampling results, ECA funding and the presentation in Nigeria in 2 weeks’ time.

This is my expectation and I am positioned accordingly.

If my expectations prove correct there will be a re-rate of the company and a whole new group of shareholders joining the register. Yes they are paying more than what we have but they are coming in at a more advanced stage. There is nothing wrong with this and it’s a natural part of investing in a company like KFE that is trying to go from nothing to something.

Consensus is reached, but not for long.

Good luck all