Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
Given what we are seeing with the SP these last few days it does look as if there has been a lot of short selling going on.
To anyone who is not familiar with ‘shorting’ it’s a fairly simple concept—an investor borrows a stock, sells the stock, and then buys the stock back to return it to the lender at the end of a given time frame. Short sellers are betting that the stock they sell will drop in price before they have to return the stock enabling them to buy back cheap following their initial selling. The difference between the sell price and the buy price is the profit.
We know that AYM are using an outfit associated with Hedge Funds (they do most ‘shorting’) to handle the buying and selling of AYM stock so it’s highly likely imo that ‘shorting’ is the reason for the recent behaviour of AYM shares. One of the ways they achieve the short target is to cast doubts on the BOD and the BOD's strategy and to put out comments on boards like this that the value of an asset is much lower than it is (and other negatives) and we have seen quite a bit of that of late (further indicating shorting activities). This spooks inexperienced investors and those in for a quick gain who sell off thus pushing the SP down and achieving the intent of the those who are shorting.
However, once the ‘shorters’ have achieved their goal of pushing the SP right down and buying in at a low price (how many big 'blues' have there been at the recent low prices!) it’s then very much in their interest to see the SP soaring and so it’s likely this will be the case because it’s the secondary manner by which they (the shorters) are able to further profit from their ‘gamble’ – i.e. borrow at X and immediately sell at X (usually a decent price) then ‘push’ (by any means fair or foul) the share price down to re-buy at X-Y thereby making a profit BUT if they can push the price to X+Z before the end of the 'shorting' contract term they will again start selling to the point of the SP being back at X and this additional 'gain' will also be pocketed entirely by the 'shorter'. So you see a rapidly falling SP (as we have) despite the fundamentals being good in a company followed by a quickly rising SP (yet to come) and then a moderately falling SP again followed by a period of stability(ish). Though with a stock like AYM these patterns can be more erratic but the pattern is discernable.
What it means is that once the ‘borrowing term’ (i.e. the time between initially borrowing the shares and having to give them back) is over, there will likely be a ‘bounce’ in the SP and possibly even a significant upward 'spike'.
I expect to see this sometime in the coming week/weeks.
Dukey - If you've waited this long I suggest you wait until at least towards the middle of the month. We know that a LIM PEA is due and if it comes and it coincides with something from AYM and the SP rockets (which is not at all fanciful - but not beyond the low teens at best for now imo) you will be kicking yourself. I bought in very low so it's easy for me to say but only about 7 weeks ago this was above 8p for some time and I think it'll be back there.
You have to do what is right for you of course and there are no guarantees in these things but just my thoughts in a somewhat frustrating environment.
Of some relevance is the opening of a new smelter in Sweden to run mainly on hydrogen - they are anticipating a significant increase in demand for steel in Europe in the coming years as huge infrastructure projects are started Europe wide to mitigate the damage to economies by Covid. Whether this is or will generate interest in bringing Grangeburg back into production remains to be seen but although Sweden has significant iron ore deposits in many locations it is always going to be easier to recommission a mothballed mine that start something from scratch and the hydrogen angle for the new smelter designed to reduce the large amounts of CO2 produced traditionally from making steel is going to encourage Swedish steel making significantly.
Actually the trade was on the 2nd but wasn't reported until this morning .... I still think that what I said stands and it's pretty much all decent sized blue buys now strongly indicating positive news is soon to be forthcoming imo.
There was a significant purchase earlier this morning of 600,000 shares at a cost of more than £33k .
For this kind of share that's usually an indication that some notable news is just around the corner. My guess is that it won't be until next week to allow some clear water between the purchase and the news.
I would have thought it likely that they will wait until at least the 1st of March given that's next Monday before any PEA simply because it's neater that way. I hope I am wrong and that there is some news today but the beginning of the week is more likely imo (not that this is any guarantee that there will be any news even next week!).
I'm hoping that the slowness of news is because there are fruitful negotiations with 3rd parties under way. Given the price of iron ore (62% China - TSI) at $165 with ongoing very large infrastructure projects in China there is every reason to be optimistic especially so with the Biden Recovery plan's projected huge infrastructure spend now in the planning stages. Most of Europe will have to follow with large infrastructure spend (i.e. lots of demand for steel) and eventually even Boris' administration will cotton on (very late in the day of course when iron ore/steel prices have increased significantly).
Even SW is positive for LIM when iron ore is at $100+ so at $165 what's not to like?
This site is so poor on updating the share trades information - does anyone know why? It's meant to be every 15mins but it never is.
There have been 3 trades since the last one shown on the 'Share Trades' page for AYM. The last one was for 120k shares at 6.25p which is significant purchase for this stock at £7.5k.
Why would anyone pay for this site if this is an indication of the quality of their service? - I had thought to do so at one point but have held back since even at this level, the service is just poor to very poor.
Copper's only going one way in the coming years and that's up. Most folks just don't understand what demand for copper there is going to be as a result of the IoT (Internet of Things), Robotics, EVs and the need to upgrade national grids and so on and so forth. No doubt though SW with his pseudo-supermicro view of everything will be able to bring some significant negative insight into this to try to keep AYM's SP price depressed.
Do you always start a new thread instead of answering something in an existing thread? Is it some kind of guerrilla tactic in your mind Brentharg?
I've already explained why I mistrust SW so much and think him to be a manipulator to try to influence the SP in a negative way - try reading people's responses before shooting from the hip.
Your post is an exercise in trying to cover your backside from every possible angle. You have posted relentless negativity since you told us that you sold more than 95%+ of your holding some time ago and now here you are with a commodities supercycle starting (I did say as much many times) posting from every angle you can think of to mitigate your past negativity and then to cap it all you come out with this priceless gem "... Parys Mtn is a better asset than an iron ore operation that is only viable 1/3 of the time when prices are above $100/t, which won't be sustained indefinitely." We'll Sherlock, we know that nothing stays indefinitely at a high and we know that the BOD will have to move positively on this at some point so what other pearls of wisdom do you have for us?
Have you bought back in yet SW? Do tell.
An interesting must read article on the BBC website this morning about Joe Biden pushing to play catch up on infrastructure spend in what he sees as a race with China with China having a head start:
https://www.bbc.co.uk/news/business-56036245
Iron Ore 62% Fe CFR China is at $160 and as the words of Biden filter into the consciousness of traders will be heading significantly northwards over the next 6 months and beyond (with the usual spells of profit taking of course). Great news for LIM and consequently AYM.
But Biden's pronouncements don't just affect iron ore, they will affect copper especially and also other commodities like zinc all of which is brilliant news for AYM.
I've posted a number of times on here that the demands of large and very infrastructure projects across the developed economies of the World to address Covid economic issues, the results IoT and battery EVs (BEVs) and the unavoidable upgrades in terms of the national electricity grids of the Western Economies and China due to said BEVs must - as in it's inevitable - push up the prices of Iron, copper and zinc in particular.
This is why I have repeatedly pointed out that SW's (SW being the mining guru of many on this and those who visit this board to hear his views) views are misleading because he is looking at things far too much from the 'rock face' so to speak. I'm not critical of his analysis from a very short term perspective at all - he knows far more about the nitty gritty of mining economics, costs and returns than I do - but he doesn't seem to me to be seeing past the trees to see the woods though his response to Brentharg yesterday indicates that he might be moving away from his pessimism about AYM and starting to look at the bigger picture. I hope he gets back in (he previously sold 95% + of his holding he tells us which has always made be suspicious of his motives for a relentless series of highly negative posts about AYM and LIM) before the price rises too high for him to do so.
There is a very strong possibility imo that there will be a rush into the metals markets when the penny finally drops more widely than it currently has about the forthcoming 'infrastructure' spending and we will see some very significant rises in the SP of AYM. Let's be clear though, unless AYM's Swedish asset starts moving towards recommissioning (which it well might) we are talking about an AYM SP in the mid-teens. If the Swedish asset come into play however, AYM's share price will skyrocket - it's a big 'if' but not beyond the bounds of possibility by any means.
Sammybow - you need to understand that SW said that he sold his AYM holding at 9p and that it is very much in his interest to play down AYM now. He is, imo, super negative for a reason. The figures he presents are a combination of a number of variable factors and since he has sold his shares, he has always taken the most negative interpretation he can. Unfortunately he has gathered quite a following in his pronouncements but those pronouncements need to be tempered with the knowledge that he sold high and it would suit him - were he so minded - for the share price to go low in order to buy back in. I have put this to him previously and he says he is not looking to buy back in but then he would say that wouldn't he?