Shorting is also used for hedging & downside riskIt's never much...

Shorting is also used for hedging & downside risk

It's never much fun when you are holding a company that seems to be under attack or under pressure or is suffering from significant competition or a drop in wider market sentiment or is exposed to a hot sector that has turned into a crowded sector with talk of glut or changing demands

We can't know exactly what the aim of aggregate or individual shorting is unless a particular fund or activist investor comments or price sensitive announcements are released or significant legal or political events occur

Sometimes shorts create buying opportunities for themselves & sometimes long term investors can consider adding to holdings when there's price weakness

Trying to figure out why we have seen SP weakness recently & if IGO is oversold or overvalued based on all current information, including projections, is maybe more relevant than the overall short positions, though shorting activities & totals shouldn't be ignored, nor become the main focus or sole factor of investing decisions

There's a chance we see economic activity stall, inflation remain high, interest rates increase & lithium demand plunge..... for a while

As others have mentioned there's likely to be significant consolidation in lithium sector & if IGO can survive downturn & tough market conditions, we might be able to position well for next lithium market upswing & increasing economic activities linked to lithium demand

See what happens