AIMO It is very difficult for retail in today's sharemarket particularly due to inaction from ASIC and/or the ASX. This assumes they can do something about it, but maybe not. So for sometime now, it has become the norm in all sectors, specifically with lithium, that retail is in the mercy of the BEOT or the shorting crowd whoever they are.
With lithium prices past its boom and not knowing if there will be another one, it is not always about resource. AGY experienced that yesterday and probably will go on for sometime until lithium prices get going again in a sustained rise. This is not just AGY. Recent resource announcements by SYA, LRS, WR1 and even GLN got their SP up but not up and away. Some are even below their SP prior to the announcements.
It is easy for other lithium companies to get their SP up by resource anns but it is different with AGY because we now have a 2ktpa producing plant. It is even different from GLN, for example, because they are constructing lithium chloride ponds rather than a plant that produces lithium carbonate out of lithium chloride from the already constructed ponds as in AGY. Not very many retail investors realise this and think they are all the same. Hence, our test lies on a different scale, with the accomplishments of AGY as only the second ASX listed company to produce battery-grade lithium carbonate being forgotten.
The BEOT and shorters recognise this so they are very careful with what they do. They realise that market sensitive news can drop anytime especially the EIA permit which lies beyond the control of management, after giving everything they can to comply with the rules (which in the last year changed so fast due to the ignorance of the Salta government about hydrogeological studies). So the BEOT accumulate by buying at a little over the last close in the morning. Retail thinks the going up will continue and starts to buy back. With the pump, retail gets in at the rising price. In the afternoon when there appears to be no ann coming, the selling is instigated. Retail then finds their buy starting to lose. Those that trigger a stop loss, sells at a loss. Those that don't, find their portfolio turning red. Frustration for retail. The BEOT gain with even a few cents movement due to their money clout. But retail can't react as fast due to fees they have to pay.
I am part of retail so anything I say here is not financial advice. I have experienced heartaches due to fear and high hopes. I have sold because I feared that the SP might come down, only to find that my shares were picked up by those who thrive on other people's fear. And only to find the SP going up, up and away. I have bought because of the high hope that the SP could very well rise up due to good announcement, got caught in the pump, and by the end of the day losing money.
HC has played a big role with all my frustrations. I have been swayed one way or the other by what posters say. What is said helps create the sentiment. That is why I now don't take every word of what others say on HC anymore. I try to distinguish the braggadocio from the facts. When people say the SP will go this or that way, that is their opinion. I have seen many have been wrong and some right, but they have never been always wrong or always right. The real reckoning in the final analysis is whether these people are really that good as they claim to be or just not admitting that they are losing money on their investments. But that is up to them and is no concern of mine.
I still read HC posts and comment a few times and even post myself. A friend of mine told me, he does not read HC anymore and feels that the positives are outweighed by the negatives, which sometimes causes considerable concern.
Thats probably why they say DYOR.
There too are posters that do not own shares, comes up during red times with the sole purpose of belittling some holders. I don't give them too much notice for my own sake.
But even though I have lost the opportunity of making lots of money when AGY was at 80, I don't blame anyone for that. It was my greed that made me not do what others did. I had set too much of a target.
We are our own captain. Anyone we blame for our own decisions is simply "sour grapes".
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