RE: Sharp fall today4 Jan 2021 21:06
Time will tell. A few basic points:
1) today (other than the 1st 20-25 minutes) was disappointing given the FTSE ended up 1.69%. However, it may be a blip. Think back to Friday December 11, last day before consolidation. Sharp unexpected dip with close of play at levels a number of posters had dismissed at start of that week then plain sailing upwards afterwards. We opened at 1360p on 14 December so sharp increase in three weeks even after todays big drop;
2) lockdown may bring a pickup in the share price. Look at what happened after 1st two lockdowns announced. I was suprised that Ftse increased both times. I made mistake of selling IAG shares first day of second lockdown thinking would decrease, but IAG increased even before vaccine news. Sometimes markets like certainty, even if the certainty contains bad news;
3) today may also have been other things eg JP Morgan etc selling off shares bought during last placement, end of a wave. Our drop outweigh perceived covid affected shares like IAG, Rolls Royce, Easyjet. Miss jtmacs with volumes of buys and sells, vwap etc on days like today.
We have more than doubled in price in three months. Also q3 results provisions for a 4 week factory closure. Hold tight and remember why you bought the shares. This share does unexpected things so, in my opinion, big risk selling and hoping to buy in cheaper (learn from my IAG experience from 2nd lockdown).