Good News & Bad News, page-9579

Hi Folks

Many people are shocked by the recent performance of PLS. To put things into perspective I have switched to a monthly chart.

You can see that it rose from a low of 0.125 Mar 2020 to 3.89 in Jan 2022, so in 22 months the SP rose 3112% (that's beyond astounding) and people were surprised that the stock pulled back from the 3.89 to a low of 2.56 in Mar 2022. I have put the FIB's on the chart. Even from that low in Mar 2022 that was still a rise from 0.125 to 2.56 a 2046% rise in two years. The rise to 3.89 was definitely over bought it need a correction which happened down to 2.56 which in FIB terms was about at 34% retracement which is quite normal after such a surge.

Have a look at my second weekly chart . Since the low of 2.56 in the week 13 March 2022 within 3 week we peeked at 3.76 in the week 3 Apr 2022 that a rise of 46.8 % , so to me it happened too quickly and too intensely. Over bought again and then it started to retrace currently down to 2.91 which is logical.

After all this action some people are surprised by this pull back saying its a bad stock. Most of the complainers are most likely buyers over the 3.30 mark targeting 5.00 - 10.00.

My first buy into this stock was at 1.20. I see no problem with this retrace, its logical from a chartist perspective. Especially when we are nowhere near maximum production capacity, staffing issues and then there is still POSCO to emerge.

Take a step back and look at the overall picture. It's going to take some time. The stock is not going to put on another 2046% within two years again.

Just my opinions, as always DYOR.

cheers Lies