This week had two days of extreme machine trading and three days of retail capitulation. The dial barely turned on the closing price but there was a big drop in the VWAP, such that the VWAP and closing price aligned. The bot was supporting the price on Friday so I imagine it has done buying and is waiting for a price increase - and now that it's three weeks since the spudding of Tim-1S - might be hoping to dump into a positive announcement - although I suspect that will be announced closer to Thursday week than this week, so the bot might have two evolutions in it.
The entire market is still very volatile with significant movements into red and green. Some of my other holdings, which had also dropped significantly despite ongoing de-risking, bounced back hard, although Friday did cause some retracement - but that aside it was two steps forward one step back, rather than the two steps back, one step forward I've been seeing a lot lately.
All this indicates to me is that there are plenty of people on the sidelines with cash watching for the market to turn. There is no doubt that a lot of companies are significantly oversold and the only thing stopping people buying is the possibility that they may be able to buy cheaper tomorrow.
I read a funny piece in the AFR through the week (which I can't find now) where an analyst said it's a great time to buy and the threat of a nuclear war should not be priced into the market. The rationale was that if there's a nuclear war the value of your portfolio will be the least of your worries, so buy while it's cheap because if the downside risk comes to fruition it wont matter anyway!! Hard to argue with that.
Enjoy the weekend - now into the third day in a row with no rain.
EXR Price at posting:
14.5¢ Sentiment: Buy Disclosure: Held
