Technically, DLI broke through its uptrend line in Nov-Dec 23 which saw sharp acceleration in its losses thereafter. It broke its major double support at 37.5-38c which is another tell tale sign of weakness. No one will see it coming but if the EV/lithium space worsens (see prior post), another halving to 16c support is not entirely impossible.
All time view DLI Stock Price and Chart — ASXLI — TradingView
Similarly for GL1, uptrend line broken around Oct23 and then it took out its March23 $1.10 major support and got halved. Another halving process to 28c from 58c now is plausible to take it back to mid 2021 levels if EV/lithium space worsens.
LTR's uptrend line was breached at $1.50 on 6 Nov 23, two major support at $1.26 and 95c were breached with new close low of 92c before the recent rebound. Chart remains weak despite stronger conviction held by holders as they await near term production being the price support catalyst. But a test of its recent 92c lows is plausible if EV/lithium sentiment continues to deteriorate. 2024 production is already a known event and could have possibly been priced in, the question is whether production timelines are met and produce can be sold at prices that can yield a profit.
Apparently PLS is the only lithium stock that has been spared carnage, its long term uptrend line is largely intact, briefly compromised in early to mid Jan 24. Presumably its strong balance sheet coupled with its advanced stage of its operating mines helped it sustain buying interest despite all the shorts thrown at it. Provided it does not breach its major support of $3.50, a sideways move could be on the cards with EV/lithium market sentiment likely to remain weak through the course of 2024.
LI — TradingView
