CXO - Chart Thread, page-7826

I find the whole 'buy when others are fearful' concept very interesting. For instance, during the covid low of March 2020, all information indicated that a lot of people would die, lots of jobs would be lost, and the housing market would drop 30%. Those were cold hard facts.

There wasn't any fundamental data available to oppose those facts. Now everyone was fearful, and rightfully so. And John4Blue, who would buy a car when they think everyone is going to die (ie lithium market would stay super low)? I wouldn't feel bad about selling at that time.

So if you were to 'buy when others were fearful', you are opposing all information, and thus taking a huge GAMBLE. That's all it is.

And if you are inclined to gamble, then what's stopping you from gambling on the stock market at other times too?

I think that concept is BS. Having said that, I recently bought CXO at 40 cents because nearly every miner's SP dramatically drops (but no where near as much as CXO did) when they hit first production. Its part of the mining company cycle. But the drops outweighed the fact that CXO is producing, the price of spod is super high and the company is making ~ $80 million net profit a quarter. The company's issues (excluding mgmt) aren't unique, and will probably be experienced by every new lithium miner.

Sorry to post in the charts thread. Just needed to throw it out there.