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With the possibility of rising cases again in August, this new extension covers the government in case we need to carry on. So realistically I would think that the end of August will see us at a pivotal moment. Hopefully, the government sticks to the June roadmap in the meantime and August will be a final victory for us, we need very marginal increases in August for this pandemic to be well and truly beaten. How will this announcement be taken tomorrow is the question?
https://news.sky.com/story/covid-19-mps-vote-to-extend-emergency-coronavirus-powers-for-another-six-months-12256531
I set a buyback target of £1.02 for this very reason. I knew if the sale fell through and any surge in the virus could bring us back down and wanted to protect myself from that kind of drop. I warned that rises on low volumes should be taken cautiously too!
I'm sticking to my target still, and genuinely believe that this share once again offers tremendous potential over the next few weeks. Travel restrictions will lift and the sale will find another buyer. I really think this has been oversold and even though I hope it falls to my target tommorow, I really see a bounce back coming imminently.
Not as big as the £28m buy on Wednesday evening. That shows a possible larger buy from maybe a hedge fund. It is possible that we may see buys of a similar nature if this is the case in the next few days as they will no doubt spread their investment over several days or weeks to average out the risk. Something to look out for, check the sudden volume increases that occure to spot this in the trades.
For longer-term holders, today is a dream come true. No big unexpected results, all going to plan. The volumes of trading have been surprisingly low today. But that does in fact show that as a board we figured out that all the news was priced in through healthy debate. I'm a little disappointed that we didn't hear about the £1.5bn asset sale . But it's only a small issue. They basically repeated the info from the last update, hence the price has remained steady. I would now think that barring any minor dips, that at each confirmed stage of lockdown easing we will now move towards £1.30. I didn't get my buy-in as i "gambled" I would, but when I look at it rationally, since the last update there were no real surprises or time for them to even emerge, hindsight is a great thing!
I will hang around for a week or so and see if there are any dips I can buy back in at, but deep down I suspect that a rise is coming, once the nerves of yesterday wear off!
So they have changed "broadly inline", to "inline" since last time, an improvement going off language used, with a small amount of wiggle room. Previous "guidance"is still a little ambiguous, so looking like in and around kind of terminology, which is still positive. plus or minus £250mil? Now we need to know about the £1.5bn asset sale and the £150mil, also flying hours update and then we have a fuller picture.
Well I have stuck to my strategy, made 17% 3 weeks ago, and sat here patiently waiting for results day which has taken quite some discipline. Will it pay off tomorrow? Probably not, but if it does, I'll be throwing it all back in and sitting here for the next few years, and looking for the next company to follow....good luck to all whatever your strategy!
So if the news is negative tomorrow it's already priced in? That will not be the case, hence the apprehension the day before results. If people thought it was already factored in, they would be filling their boots right now with no risk.