SBB (ASX) More selling pressure to come?

Originally posted by dreamchaser1 ↑

Hello

I have watched SBB for quite some time and read and assimilated the positive and negative aspects of this company.

The recent quarterly doesn't provide much confidence from what I have read today

I'm more a trader looking for opportunities in beaten down stocks whether justified or not is what I like to do.

In the context of SBB it would seem the "down rampers" as it is so fondly called by people on the forum who express a negative opinion of this stock have been pretty much correct in their assessment of SBB to date and to the detriment of those members who view this stock favourably.

Personally I'm not interested in listening to the banter that goes back and forth but more interested in opportunities for a bounce.

It would seem to me that there are still a lot of members/investors invested in SBB who initially viewed SBB favourably, being undervalued etc and may still do so and have incurred significant losses as a result of holding onto SBB when it was obvious that the general market had a total opposite/correct view on SBB.

With the end of the financial year approaching and with all holders of SBB suffering big losses I would suspect there will be quite a few holders who will be inclined to crystalise their massive losses for tax purposes and sell which should create further selling pressure on the stock.

With the inevitable selling to emerge in SBB as holders realise their mistake it would seem the best thing to do would be to watch the share price fall away over the next 7 weeks or so and then pick up the stock in anticipation of a dead cat bounce and ideally a good quick trade in the new financial year

Has anyone contemplated this strategy? I would be interested in your opinions

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The quarterly wasnt exactly bad. Some people just assume profit is gonna fall 90% just because receipts in 1 quarter are lower than the corresponding period last year.

Anyway as always I think its possible this thing may fall lower but generally speaking I think its mostly the hardcore believers in it at the moment and most people who wanted out are gone already so might not be that much more selling pressure. Only time will tell though.

I am sorry but the "downrampers" as you call them have not been entirely correct. For example we have a washed up athlete who claims SBB is losing money in a period when the profit was 13.9 million per year and he also claimed that China is in a recession. Now considering these wildly absurd statements I put it down to wild luck that the share price has gone down and not that he can predict anything.