RDN still in strong play?.From a weekly perspective, it was...

RDN still in strong play?

.

From a weekly perspective, it was steady at 2.4. Volumes, comparatively much smaller. So a good play, but may not be a strong play, just because of volume.

.

So what is happening here? Same as what I wrote last week. Playing the macro. The Li macro is not in a good state. Spot price dropping further. ALB which I track for barometer is trying to hold 80. Did a new 52 week low this week. Ganfeng within 2%of its 52 week low. So overall not good. Only solace, the general markets which were looking like going into correction, 10 to 20% drop, got some respite on jobs data. But I am not convinced yet, so let's see. RDN still has done much better than many other Li stocks which are succumbing to the pressure and making new 52 week lows. It reached 2.1 which was still higher than 2 of last week. So a better play here.

.

Personally I am still waiting, want to see some signs of bottoming, of reversal, just not for RDN but for Li stocks in general. Unfortunately, none till now.

.

So what may happen next week? Not sure. We want general markets to hold. We want Li macro to improve. If one of these doesn't happen, there may be more short term pains before the gains. But one day it will turn. And the reversal will be volatile. Before anyone realises, stocks would have moved 30 to 40%. So one needs to be alert. Or take risk and buy now, hoping for a good risk reward from here. I will wait. Overall market too in a malaise, it's just not Li stocks. Ravgnome does a daily wrap of stocks every evening on day thread. Yesterday 6 stocks did 52 week high. 89 stocks did 52 week low. So it's bad across the board. Most punters waiting for sunshine to come again. It's cyclical. It will come. But when? We don't know. All we can is hope. Enjoy your weekend and all the best.