What a difference a few hours makes. When the ASX was opening this morning I didn't bother to turn my computer on at first knowing it was going to be a sea of red and basically nothing else to see. When I did finally turn it on was gobsmacked to see I was making money, mmmmm strange I thought. As the day progressed it got better and better with the end result.... That's pretty good for a 'sell off Friday.'
Expect an supersized asx thrashing today. Fortunately I'm out later in the day so will be spared some pain of watching it unfold. I have some buys in the system but which probably wont get hit as they are still too distant away, maybe next week I'll get them.
I don't know exactly whats going on, but today Lithium stocks were smashed down to hell. Apparently Goldman Slacks made some comment....... "Lithium prices across the board have gone parabolic since the bull market kicked off in January 2021, but a bearish Goldman Sach research report — plus news that a China co is buying 6 lithium mines in Africa to feed automaker BYD — has brought it all to a halt… for now. This is evident by the tumble roll in ASX lithium stocks we witnessed this morning – big boy Pilbara Minerals (ASXLS) dipped ~15%, Allkem (ASX:AKE) dropped ~13.6%, Galan (ASX:GLN) ~14.6% and Liontown (ASX:LTR) fell around 19%. The Goldman Sachs report, released earlier this week, claimed although the long-term prospects for the battery metals remains strong due to the rapid uptake of electric vehicles (EVs), investor enthusiasm has led to an oversupply."...... Anyhow, what I wanted to comment on, todays action on lithium stocks was so violent I suffered one of my largest daily drawdowns. Now, it had me thinking, is this a top or bottom? The way PLS.AX Pilbara Minerals behaved, it looks like a top, but it also looked very much like a capitulation bottom. I took the opportunity anyway to snap up more SYA.AX Sayona @ 19.5c, I'd been waiting a while for this to drop into my lap.
Probably goes back up. Reminds me of the occasional oil stocks in the US that go down 5-10% for no apparent reason other than it went up a lot. I noticed Wheat & Corn were down heavy this morning as well.
Market and me getting a good thrashing today. Funny but BHP is up, weird, prolly because it's lately had so many its now immune.