CXO - Chart Thread, page-7769

Well, I'm probably not the best one to advise here but here's my take on the current short/hedge position.

Current position is....


Just as an aside, another favourite of mine is PLS and I've traded IMU for years, both have incredibly high short/hedge position but they still provide fantastic trading opportunities and I don't think it's ever effected the PLS dividends. Point is, don't be swayed away from a stock purely on the positions to the negative as it can also work to your favour.

Anyway, back on topic relating to your question. Below is a weekly chart with volumes, 5 red selling candles averaging pretty solid volumes. Looking at the bigger picture then this matches the performance of global lithium and the lithium sector in general therefore not unexpected.



So taking all that into account, I'm not sure a true short position would be closing out just yet as their trade is currently in full swing. They will close when lithium sentiment turns around and when there's a few green candles being printed on that above chart.
Yesterday I posted a LiT chart, well here's how it finished overnight, pretty ordinary unfortunately.



I'm not sure I'm able to do your question justice Anacott, hopefully someone with more related experience could chime in but I'm just of the opinion that shorts or hedges closing out may be a little way off yet. But it's only my opinion.

What I do know is that we should stay right away from trying to guesstimate the bottom, no need for it and only leads to costly mistakes. Just let the market do it's thing and react accordingly. In downtrends we are to be reactive, uptrends we can be pro-active.

Just as a disclaimer, when I post here, I am mainly focused on the very short term looking for opportunities for faster trades, I've learnt that even strong downtrends are great for providing short term trading opportunities and that suits my style of trading. But I really am small time so don't take any notice.

Cheers