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$5.28 galaxy resources limited

Great post. Very inspiring, thanks. Now where are all the...

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PedroG07

404 Posts.

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30/08/16

08:24

Post #: 18779844
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Originally posted by airconditioner ↑

Don't get suckered by the shorters with the charts.
They are short -selling and making the moves that we are meant to be responding to with a stop-loss.
Shorters love stop-losses. They dream about them.
It didn't really work today. They gave up and covered and the price went back.

Who really believes this is as good as it gets for Galaxy share price? Really?
Who sells before a company even makes it's first shipment and establishes in the world market as a viable profit-maker?
Don't believe Mr Soho. You won't need to wait 10 years. Perhaps for a $10 share price, yes.

As for Mr Over Supply. Where is the supply coming from?
Who is producing spodumene for the next 18-24 months for China?
Go further. Who is going to supply all the 13 giga-factories that are being built for the next 5 years?
We need scores of companies the size of Galaxy at full 3 asset production. The bigger companies aren't able to bring that much supply that quickly either. FMC has been slow off the mark. Bolivia isn't getting anything happening. Chile is embroiled in legal action that has seen them pack it in to look at Argentina again.
Galaxy has the next best brine deposit there.
And there are still spodumene converters in China that want more hard-rock, not brine.
Mt Cattlin has a good future with eager clients. Right now a spodumene converter is looking at Mt Cattlin like a cash cow. They can make $200m USD/year processing our shipments.

In the end comparisons with other minerals are bogus.

The real comparison should be with oil. It's critical energy supply of the future.
Except its much more complicated than sinking a well.
Resources are easy to find but there are several years and a large amount of capital between explorer and producer. In the future, the price of lithium will cause markets to shudder in the same way that oil does today.

I'm sorry for those who are under water at the moment. But that does not mean that every day there aren't new investors who are watching carefully and keen to jump in.
Others are still finding out about Galaxy and lithium. Any objective analysis would say this is a cheap share
in a company that could easily do multiples of this share price in the short to medium term based on earnings and the assets that it holds.

Friends are buying EVs and hybrids and power-walls and solar with batteries and finding out that there are ways of buying into a sector that is looking forward, and experiencing massive investment and enthusiasm. It's absurd that Galaxy has been stopped in it's tracks by a negative partisan bank report and a rag-tag bunch of shorts.

There is one big glut.
It's a glut of new demand. Every auto company. Every military. Every portable device, transport and storage application that you can think of wants to use a lithium battery in their product.

I have zero concern about this stock. If Galaxy fails it is because lithium has failed.
And that just isn't going to happen. Not now. It was a mature tech 10 years ago.
Now the time and price is right.
Galaxy is in a more advanced stage of preparedness to supply the boom and still at a bargain basement share price.
If you don't want your shares someone else will have them for the next leg up.

If the action of the last few weeks has turned you into a lithium pessimist then turn off the computer for a while and stop crying on the forum. First rule of investment is to control your emotions.
Grow a pair and realise that the reason it's getting hot in here is that there is a serious move coming up for this sector and this is one hell of an opportunity to shake off the little guy and accumulate.

Galaxy isn't going bust any time soon.
We have off-take for 180,000 tons of spodumene over the next 9months or so - bare minimum $600 USD/t.
A working mine and the thumbs up from 3rd party reports doing their DD.
It's pure BS for someone to waltz in and tell you that this company is going down the gurgler.
I'd be more worried if I was invested in a company without a mine, without contracts.
Sure. That's just hype and hope. Let them work out how to measure that risk.

We're just confused by the pressure on our share pirce. That's all.
This is a new sector. It's going to follow a new path.
Demand and pricing and the pace of growth are all a bit opaque, because it's mostly a Chinese story so far.
There is no spot price on a ticker for us to measure like iron ore.

For some it's linked in the mind to the tentative success of the Tesla story - which is not true.
The true story is that the biggest petrol heads - the saudis, the norwegians, the bosses of Nissan, VW, GM, Chevrolet, Volvo, Mercedes, BMW, Google, Apple etc etc are all as excited as school girls with what is going to happen next. They will sell cars and clean energy that people will actually want - and that will change the lives of the consumers in the same way that the iphone did. And it will stop killing them.

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Great post. Very inspiring, thanks. Now where are all the buyers? It looks like support has retreated from 35. I'm glad you're full of confidence. Assuming you have an average around 10c.

GXY Price at posting: 37.0¢ Sentiment: Buy Disclosure: Held
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