TSXV:FCO.H - Post by User
Comment by
17Diggeron Mar 14, 2017 8:52pm
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Post# 25979762
RE:RE: March 14, cobalt price rise
RE:RE: March 14, cobalt price riseThe rising metal price is an irresistable tide that will take this stock up with it.
But you ask in effect why people are selling here at this price just now.
There may be more reasons but here are 5 reasons for this temporary stall in the stock price rise.
1 - It is tax time and some people are selling their winners to get cash to pay for gains and taxable gains and tax bills. This is one of those big winners being cashed in by them.
2 - Some people have held this stock for a very long time and bought in at this pre-consolidation price years ago. I have shares like that too but I am not selling them here at this break even price point. Some people are.
3 - Some people are making a quick buck and selling now that the momentum of price increases has slowed lately. When they are gone I think the rising metal price momentum will push the stock price much higher.
4 - I think some people sold this stock short and are cashing in on that.
5 - Some people got in on the recent share issues and are selling their shares and keeping their free warrants as their vehicle of choice to ride the share price higher.
Sure, more news and press releases will trigger price moves but when our shares were 9 cents a year ago the coblat metal price per tonne was $22,000.
Since then the rise of nearly 150% in cobalt has driven the share price up over 1300%. I like that leverage and will continue to enjoy the benefits of the rising cobalt metal price,
I expect that leverage only to increase as we move closer to opening the mine.
That is how I view the answer to your very good question.
There is actually one more reason as well - some people are afraid of heights and think that this little stock got too high - but we are barely off the ground compared to what our valuable assets are worth. And that asset value rose by another $750 per tonne of cobalt today alone,
Those are some of the reasons I enjoy this ride in our rising mine value,
Thanks for asking the question.