I am not very familiar with PLS trading patterns, but in my...

I am not very familiar with PLS trading patterns, but in my experience short sellers seem to supply their own liquidity as they gradually sell down(or keep down) the stock price. I believe that through the period of weak lithium chemical pricing, they have been happy to do that and they probably have relied on forecasts of continued weak pricing and less demand from EV sales etc.

Now, imo the emerging narrative that is gaining more traction is that EV sales and market share (on a global view) are really growing more quickly than they hoped. They believed that because of perhaps a degree North American reluctance to adopt the new alternative, that it was going to delay the overall demand in what is truly a global market place. Chinese and now emerging SE Asian and sub continent demand is showing that they were wrong imo. We hear that Chinese EV market share has already reached 50%.

So now those same short sellers have to try to manage themselves out of their positions at the least cost possible. That means providing liquidity to the market will potentially increase their losses and future risks. I hope for the LTHs of PLS that this leads to capital growth in their shares. But note there will still be volatility, particularly up to end of FY imo.

regards
DF