LYC 0.56% $7.04 lynas rare earths limited

Yes it tells a story. Unfortunately you do not tell us what you...

  1. 7,294 Posts.
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    Yes it tells a story. Unfortunately you do not tell us what you think that story is. I can only think of two reasons for this. First is you are incapable of explaining that story with data. Second based on past posts and your buy standing you can calculate it but when you do the story does not support your prejudice against shorters. So let me tell you my story based on just a tinny bit of research which you did not do.

    From Feb 2023 to October 2023 shorts increased dramatically from 1.5% to 5.6%. up 2.8X what did stock do it fell from 8.50 to 7.20 so yes it fell 8.5 % but do you think this increase in shorts caused much of the drop. JMO the rapidly falling REE prices 750 RMB to 525 -17% and revenue Q3 2023 AU$ 237M to Q2 2024 112M, -46% Caused the fall
    https://hotcopper.com.au/data/attachments/5919/5919661-34eb2373368ba3c30b2954c90182732d.jpg


    Now your chart shows shorts being virtually flat from August till today during this time Lynas has had dips & rises, yet shorts remain virtually unchanged. Shorter's do not want to drive down price! Just Like you and me they only want to make money. when you start to understand this maybe you can use shorts as a warning that others see a stock much differently than you and think about it. You do need to believe but understanding is critical to your investments. The fact shorts did not clear when stock dropped below 6.00 says they do believe, as i do, that stock will go much lower. Here is why I am fairly certain stock will go lower and it has nothing to do with shorters it has to do with Lynas's performance un revenue and earnings..
    https://hotcopper.com.au/data/attachments/5919/5919664-11039962f3a7cc0d1b5080a9a3b9cdc9.jpg
    Can you make the SP go up. Depending on your assets maybe a few cents but unless you have AU$ 10s of millions to invest not all that much. Same is true for shorters but on down side.

    JMO you will see total shorts start to go down When the SP < AU$5.00 maybe < $4.00, that's what I would wait for. Time will tell who is correct.

    I am not short. As a US Citizen I cannot short or buy Puts & Calls in Lynas. Stock has to be over US$5.00 for six months. Most brokers and CBOE want stock over US$10 for 6 months because they do not like calling it back if it falls below $5.00. Costs money and leads to angry customers.

    All true. Lynas with <10% of market and China with > 80% can only sit back and react to what China does. I do not see how AI can help them with pricing unless it knows what XI and a few of his friends in REE market are thinking.
 
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