Good days for EXL, page-79

Guys, now that the SPP is done and dusted. What's next? The ghost of the May SPP is still in my mind (at 20c). It was a 48% discount to the market price when they announced. It went down quickly and back up up to 29c on the date of completion then speedily went down under 20c to hit the lowest of 14c. It was a painful 3-4 months of going nowhere between 15-17c.

However, many seem to think that the cannabis market has changed for the better. Also, the company is now cashed up to the level that one can say it won't need CR for 2 years unless they mess up big time again like before. However, I think the success of this CR where the retail investors oversubscribed the SPP was mainly due to the gap between the share price before the SPP close day and the offer price. However, on Friday, people did not sell to book profit and that was a sign that people are willing to wait to see what the current quarter report is like.

I think EXL will remain very volatile for a long time. This gives a chance to trade volatility. There is still a chance that it will go under 17c and stay there for a while but I feel that the panic is over so it's a small chance. That means one can sell the pop and buy the dip (and probably still need a stop-loss order to get out and preserve capital if there is a huge drop for any reason).