Movement at the station?.Yes LRS gained 1.5c to finish at 21.5c, volume was moderate, similar to last few days, just over 11m shares traded.
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Yesterday US Markets were weak, but not very much. It still finished in red, but SP 500 just around 0.1% down, as well as closed towards the high of the day. So still holding the level and may be setting up a platform for another rise.
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US Li stocks, in general, had a good day. On the weekend in the Weekly Report I had written that ALB finishing on 118 was a good sign and keeps the hope alive for reversal - a drop towards 112/115 may have meant a much onerous task. I had also written that by Monday/Tuesday, lets hope ALB get to 120s - first step. It did that yesterday. Second step is to get over 128. Its close to 125 - within reach now, but needs a good green day. SQM too moving towards its first hurdle of 50, finishing close to 49. So a positive move yesterday and keeps the path open for a possible reversal.
ASX finished marginally in green. ASX Li stocks, mixed, but all the big stocks and leaders of the group were in green - not massive but decent - around 4 to 5%. So ASX Li embraced the path shown by US Li yesterday night. No big wins yet, but going in the right direction for a possible reversal.
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So LRS too seems to be on its way back, along with many US and ASX Li stocks. Its still playing in the usual zone of 20/24, so nothing dramatic has happened till now. But today was a positive movement, did the touch of its first resistance of 22, about which I have been writing. The momentum today was not enough for it to roll over that. But if US Li stocks do well tonight, I wouldn't be surprised for us to play tomorrow around 23/23.5, thinking about 24. But if thing don't go well, 20 at this stage looks like a very good support, so hoping that it may hold
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Personally I had picked up some more Li stocks yesterday, including a decent amount of LRS at 20. Last Friday my average was 19, now its 19.5 for this phase - lets see if anything good comes out of it.
So what may happen tomorrow? All depends on US Li tonight. A good move yesterday, but needs a follow through. Both ALB and SQM close to one of their key levels (the levels I follow, it may not be for many). If things don't go well, ALB staying in 120s may still be all right, SQM above 46. But if things go fine, a close above 128 for ALB and 50 for SQM would the first signal that another attempt is being made for a recovery of Li stocks. It will not be confirmation, but would keep the path open. ASX Li may like it tomorrow and some may try to get out of their near term resistances.. Will that happen? Lets hope so. All the best.
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