RAC 2.37% $1.65 race oncology ltd

RAC - Charts & Price Action, page-2273

  1. 2,764 Posts.
    lightbulb Created with Sketch. 2448
    It will be interesting to see how well Benford's Law applies to the RAC share price now that the short term exponential growth mode appears to be ongoing. If it applies well then we expect to see the price lead with a 1 far more often than other numerals because the growth from 10 to 20 is much slower than the growth from 70 to 80 when the growth is compounding or exponential.

    That is to say (as can be inferred from the chart below) the time from $1 to $2 is almost twice as long as the time from $2 to $3; and the time from $4 to $8 is about the same as the time from $1 to $2.

    Since the share price IMHO is nowhere near its fair value, I expect the growth to continue at similar rates as we have seen over the last 15 months where the growth seems to happen at a rate capped by the rate that the market seems to be able to digest the magnitude of the unrealised value. Recent numbers are a bit crazy but over the last 15, 13, and 9 months the growth rates are pretty consistent at 1000% per annum!

    From Wikipedia: "It has been shown that this result applies to a wide variety of data sets, including electricity bills, street addresses, stock prices, house prices, population numbers, death rates, lengths of rivers" etc

    https://hotcopper.com.au/data/attachments/2689/2689003-7e336f4ef0d6d15319473a701544ae03.jpg

 
watchlist Created with Sketch. Add RAC (ASX) to my watchlist
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.