As per
@TheArchitect 's intra day chart yesterday, there was a lot of resistance at 3.9c. There were a few chomps at it before it broke and rose to new heights.
Volume was up and the past five or six trading days were showing something had to give. SP was ranging basically within the last green candle...people were positioning themselves in expectation of a positive move.
As
@quanta and
@TheArchitect have been saying, a break out pattern was clearly looming.
I would like to think that is to be our new support level now.
However it could be anywhere between 3.6c and 3.9c IMO. Depends on whether yesterday's buyers are in it for the long haul. The SP history is a bit like a swinging pendulum whose hinge point is fixed on a moving slide runner. That point of attachment gets pushed back and forth by market forces, news, sentiment, supply and demand causing the pendulum (SP) to swing/change. Try turning your chart sideways. Lol
6c before Xmas or drilling would be nice.... my take was 5.4c pre drilling but perhaps a bit of a drop over Xmas, New Years as some people will sell out for extra cash, others simply don't want to be in the market over that period as there are many days the ASX and the underlying share company are closed.
Otherwise it's still blue skies for this company.
Risks that will hurt RMX SP (and feel free to add your thoughts to the list):
- Drilling takes forever.
- Results takes months.
- There is no new acquisition.
- The acquisition is too left of field to Lithium or in a perceived poor choice of country.
- The new acquisition results in a massive CR diluting our lovely share pool.
- Little to no communication to share holders from management.
- Results eventually show Utah has little to no Lithium.
To see the SP conitinue to move up is simply confirmation of the complete opposite of the points above.
But above all else, if Red Valley is even 75% as good as Clayton Valley then we will be sitting a billions. 5 to 8 perhaps.
Our SP will go stratospheric.
Especially with such a small share register.
That's when you would want to be holding lots of RMX options IMO.
Sorry I know this is a chart thread and all I have given are opinions. I'm overseas on holidays and only have my trusty iPad.
If anyone else has some Fibonacci charts or something that could indicate the next SP landing then that would certainly help.
I believe
@TheArchitect has mentioned circa 7c.
There's a great place to start.... if we are another Clayton Valley then maybe someone can indicate a reasonable share price in that???
(20min delay)