RE: Red Braces Brigade18 Feb 2021 10:10
morning all. Well done Arb guys. I tried reading up about it, SNTW! Bitcoin mining. Naturally I thought this was something they dug out of the ground to make coins, but no you get the chance to be banker for a while and decide what the value is and pass on to the next person. Does remind me of the Harry and Paul sketch with 2 million pound blank piece of paper looking for an investment in the Dragons Den.
MCRO nightmare continues. I remember how the sp reacted in a very similar way after results in the summer. Initially the market seemed ok with the impairment and subsequently sank all the way sub £2.00 briefly. Fortunately I only had a trial holding at the time and was able to follow the leader when we got sub 2.50. The main difference being this time as yet there don't appear to be so many shorts. I guess it must be the impairment charge again or maybe Covid is slowing the recovery. I know a few compinies are saying we got through lock down ok which doesn't really sound like a recovery to me. The chart on Mcro looks pretty similar to the last time it dipped below £4, which I wouldn't rule out happening again. As T says its a downward trend at the moment. Usually starts the day with a slight rise and then enthusiasm wiped out by midday. Its got 2 things going for it less shorts and the dividend. Unless they come out with a remarkable bit of news or takeover I think it will be a slow journey for a while. I think thats the case for a lot of stock. Hence the requests to prolong furlough. Either recovery is already priced in or there will be a reckoning on how well companies have actually survived COVID. oil heading back up, a lot of gas is on a fixed price, and with summer coming and lack of visibility on travel, its not clear about demand. A lot of these oil companies have sustained huge losses and record borrowing and now the oil price is only about break even for many of them. There must be sectors out there that has real growth, I thought cybersecurity would be one, but that still looks pretty subdued. I think a few companies are beginning to clock that as expensive as a good security system is , its still way cheaper than fines for an attack and all the hassle and bad pr that goes with it. Always looks like a non day on the market when the risers are littered with loan sharks, comparison sites.