We are trading at the same level as at the beginning of January 2021. A gap has opened between 0.038 and 0.04. The weekly RSI is almost at a multi-year low. The daily RSI is in total oversold territory. Perhaps something is still missing for complete capitulation - but the volume today was not high enough for that - there would have to be a lot more selling volume.
I don't know what a takeover might look like. What really stands in the way: I suspect that around 60% of the shares are in firm hands. The average purchase price of these shares is certainly higher than the current price. It is rather unlikely that someone will sell at a loss. But it could be that someone jumps in and secures a slice of the cake through a CR (excluding the existing shareholders). Who might be interested?I'll keep watching. It seems to me that the negative assessment of all this is rather exaggerated. These are simply disappointed investors who are now getting out and some brave ones who are taking the opportunity to buy at these levels.
As I say, the truth is one thing, perception is another. There is also an opinion on this in the CNB thread. It's not about facts but about "sentiment". This is simply bad in the junior segment. I suspect and fear that it could be a tough first quarter....but also one that could offer scope for opportunities.
Just to recall this once again....see below....... and then I ask myself: If you're already in such a mess, why shouldn't you wait another few days or a few weeks to see what results might come out of it? We also have the Mines Conference in mid-February in the pipeline. What else is going to happen at this puked-out level? That we fall from 3.5 to 3 or 2.5? The hope of buying back half a cent lower? More likely the "farewell" forever.... I suspect - from some yes.
