Hello hello hello, page-19

Not completely irrational Osi. In a falling market traders will always find a need for cash. This is particularly so when the cash is required to avoid a call on a margin loan. That need then becomes dominant and the fundamentals of the stock chosen for sale become irrelevant. Those that do not provide a gearing ratio to act as collateral for the loan, such as small biotechs, become an obvious first choice for sale. This can be a major contributing factor in panic selling when markets correct suddenly, which sees small market cap stocks become highly oversold.

Your point about much of Cellmid’s future revenue deriving from foreign currencies is a good one. The valuations of RM Research, for example, are based largely on US$ revenues. If the A$ drifts downward by 15% over the next year or so, as many expect, then those calculated estimates of CDY net present worth become 15% higher.

Cheers