Member Info for chilting

I think the reason for the slide in the SP is because of lack of trading.

Market makers make money when we trade, therefore, the algorithms are set up to encourage trading.

At the moment with so little trading the SP is sliding to encourage buyers.

When we do see a reversal it could be a big one and it could happen at any time, especially with the SP so low.

ITX stock out on loan at the end of August - curtesy Euroclear - was just 0.05%.

So unless its gone up a lot since, shorting is probably not a factor.

Tomorrows trading statement is just that - a statement regarding how Ocado Retail is trading - it is not about the rest of the group.

I think we will see that Ocado Retail is well into recovery mode and regaining profitability, ahead of the peak Christmas trading, so the current and future outlook has improved and is now good.

My expectation is that the Ocado Retail trading update will be better than expected.

So I guess the shorts may have come to the same conclusion and are now closing, especially those showing a profit.

The FTSE100 is up nearly 500 points in less than a month and is likely to continue to climb as interest rates and inflation come back under control.

We should see 8000 points soon.

M&S is likely to greatly benefit from this scenario as momentum continues to build with better results and the return of dividends as it enters the 100 index.

A rather flat set of results from John Lewis this morning with a distinct lack of anything entrepreneurial, despite the fact that they are sitting on a big cash pile.

They seem totally rudderless, with the expectation that trade may flow to them as Christmas approaches.

https://www.londonstockexchange.com/news-article/45GD/john-lewis-plc-unaudited-interim-results/16124171

A think a lot of what we are seeing here is the strength of the NASDAQ - it seems to be rising back towards its post Covid highs before tech share values fell back.

If this trend holds and continues then we could be looking at the return to favour of tech shares with the resulting overbought valuations - what SP for OCDO then???

The logic behind the rise is that US interest rates have peaked and the next move is down.

It seems that for some reason share consolidation kills the SP.

Its still not topped the consolidation price of 60p and has now fallen to 51p.

The same thing has happened at ITX in a much more recent share consolidation.

Hopefully the results will reverse the trend but I am not hopeful - it seems the algorithms are stacked against consolidation to encourage trading on the downside.

I don't see much movement in the SP even with the update.

Share consolidation kills the SP in the short term for some reason.

I also invest in TRX, they had a consolidation in April 2023 and the SP has drifted and is still well below the pre consolidation price of 60p - now 50p - and has failed to go above 60p. TRX are at a similar stage in their development to ITX and are showing good results so I don't think its company related.

Anyway. its certainly a good time to buy for a long term hold, even if the SP continues its unimpressive run.

Looking well attached to the macro this morning.

Its looking like this is the main mover for the SP now.

Positive and negative - probably with an exaggerated response both ways.

Yes, we have to remain positive and with the macro improving in the US we should see some improvement in the SP over time.

I do wonder though, if the share consolidation is the first step to a US only listing for Itaconix.

Apart from selling some product here, Itacaonix has no UK ties and the market cap would probably grow faster in the US giving the company better access to the equity funding that it will certainly need as it grows.

Keep an eye on the Nasdaq as well Boyobach.

That also seems to be back in recovery mode.

Maybe OCDO has stabilised around 750p and will follow the macro with the NASDAQ.

Trading update should be OK - indicating return to profit with Christmas trade outlook.

I think that the SP did go overbought for a while earlier in the month but its now settled back again at a sustainable level, allowing the institutions to slowly accumulate on FTSE100 entry - they certainly wont pay over the odds for their holdings.

AJP08

These sort of technical problems with the SP always seem happen on consolidation day.

I think that the main problem here is low volume and the effect that has on the SP.

The algorithms are set up to encourage trading on the downside but with such a high proportion of stock in sticky hands this is not happening.

Hopefully the professionals who advise Itaconix know what they are doing and trading volume will improve, particularly in the US market.

But the only way this will work is if the SP rises substantially, encouraging long term holders to trade and take profit.

I guess the US market is key to this rise in the SP, hence the consolidation.

Don't expect any fireworks today.

The SP usually goes flat or down in the short term after consolidation.

I guess we will need to see some good news to get the SP moving again.

Its still a waiting game here, as it has been for well over a year now, I don't see any problem with the cash situation, Ceres have always been careful with spending.

The business strategy here is governed by delay and it has always been anticipated.

I think that's unlikely Pang.

MKS still holds a probable position of at least 87.

Its been a red week for most of the market, therefore, it could be higher than that.

The FTSE100 automatic entry position is 90 and under.

I am not sure where your numbers come from AquaeSulis

I got these straight from the equivalent RNS reports

Cash and short-term investments -

31/12/21 - £250m

30/06/22 - £221m

31/12/22 - £182m

30/06/23 - £162m

So, the cash balance is falling but hardly dramatically.

I cannot see the need to raise funds for a while yet, maybe not at all if revenue starts to increase from licencing.

The problem is that extra fund raising has been just required to stand still for many reasons - slow project development, Covid, poor macro, especially inflation and high interest rates etc etc.

All growth companies big and small have suffered over the last few years or so and the market has punished them for that, pushing the SP lower as more fundraising is needed.

Hopefully EQTEC will now stick to their more capital light, quicker to get payed strategy and stability will emerge but there isn't much they can do to mitigate the poor macro without going backwards.

Ideally it would be great to see EQTEC concentrate on say 3 or 4 partnerships with well funded companies who can use their tech in capital projects. These companies could also become major shareholders.

Agricore

Its a simple fact that AIM listed companies always need to raise cash to fund growth - that's the primary reason for an AIM listing.

The real question now is - will EQTEC be in a position of strength at the next fundraise?

It seems that if their "asset light strategy " works, then there is a good chance that they will.

A successful fundraise is probably the best way that an AIM company can move forward, it proves the business plan and increases the investment value for all shareholders even after dilution as the company grows with the extra investment.