George Frangeskides, Chairman at ALBA, explains why the Pilbara Lithium option ‘was too good to miss’. Watch the video here.
There is not an investor alive that can predict a share price accurately nor will there ever be, there are literally millions of variables. The only certainty is that the longer you hold a stock for and the more diverse your portfolio, the fewer fees you pay and the more tax efficient you are, then the more chance you have of maximizing your gains.
Charting is just another way for brokers to get you spending your money and keeping the commission rolling in. Let you think you can actually predict a share price so you line their pockets. You are certainly not able to tell what the share price will be on Thursday based on a chart.
It's given as an employee benefit at a discount to the market price, so it's a little different to a normal purchase. Also, it normally requires paying off over a period of time at which point it matures and then you can choose to keep the share or sell it. I would imagine there are many such dealings all year round.
For example there is a gap forming sell depth moving up, buy staying same and volume increased by 1m rapidly, and the share price rises. This is very common on the rise, but normally when we see sustained full-day rises the sell depth will be around 800 and the buy around 550. If the sp is about to fall this will start evening up again generally...etc etc.
It's the level 2 console, it shows all buy and sell orders lined up, so once you track it for a few weeks you can get a feel for the trading behaviour based on buy and sell depths and volumes. It's not really possible to see patterns in the random nature of the stock market where a big buy or sell can change everything instantly, but it certainly provides you with a slight edge at times. For example I can see plenty of reasonable volume sells right down to 1.12 which has quite a large volume of sells lined up compared to on the buy side....this coupled with the buy and sell depth being quite even, tells me from previous experiences that it's likely the sp will fall, but not garunteed.
It's looking more like 1.12 than 1.14. But it's impossible to predict. Anything can happen during the auction. The buy and sell depth are relatively the same with the buy depth increasing by around 50 now and then which is when we see a slight fall, it's teetering with a slight bias on down.
Because the volumes are quite low for the day so far though, any large buys near the end could impact the sp significantly enough to hit 1.14 though.
And slight downward pressure, with lvl 2 showing a bit of a drop to 1.12 is possible. I'm sure the drop can;t be trusted too much because of the relatively low volume seen today compared to yesterday. It's possible people are simply holding on for results. I'm sure we will see some increased volumes tomorrow and Thursday!
averaged around 4,5m volume for first 3 and a half hours, it's just done 4m in about ten mins, so looking more like you can trust the rise, just need to wait for the shine to wear off in the US and see where it settles!
Also seems like plagiarism of this article from december to be honest https://www.marketwatch.com/story/rolls-royce-sees-bigger-cash-outflow-due-to-virus-2020-12-11 shoddy reporting if you ask me
A very carefully constructed article in the telegraph, mentions last year's cash flow and information from Octobers update. It doesn't actually state anything new that I can see.
You have to ask, why would this article be published this week? It seems like a very clever article designed to fear investors into selling before the actual update. Have I missed something or is this a blatant attempt to affect the share price?