RE:RE:A couple of possibilities for next weekThanks, that is a sound view. When I look at these deals and try to predict the outcome, I always try to put myself in the shoes of the people writing the cheque. Ultimately that really isn't Nextview but their funding sources. The first thing I would say to Nextview is this: hey there are lots of deals out there that you can now get for 20-40% over the last 2 months so why should we now fund this at the old prices? It happens all the time. There are a bunch of small lithium PP's that are unable to close right now because market prices have dropped below the PP price.
As far as the bank forecasts go, I don't see a conspiracy to ruin the market and take advantage of it. Morgan Stanley is by no means the first bank to forecast oversupply. What I see is typical bank conservatism. They are naturally inclined to go to the conservative end of the scale as they don't want to be encouraging overvaluation and then being expected to fund it. So there is a sort of conspiracy to keep the market toned down, but it is more for their self-preservation. Who has ever gone to a bank for a loan and expected the bank to take anything but the slightest amount of risk? It just doesn't happen....they always look at the worst case scenario and fund accordingly.
Anyway, I hope it closes sooner or later. Matysek has been appointed as an Advisor at CYBX and the sooner he has more time for them, the better! :)
Dtraders1 wrote: @wilwal thanks for sharing from experience. I think what Nextview is trying to do is save on the interest for the loan. What is reassuring is they have a plan B wich is draw-down on it's funding commitment from Tibet Summmit in order to fund the arrangement no later then March 9. Losing 20 millions dollars is not their best interest so they will manage to close it.
Also you mention about Morgan or other bank warning about lithium supply and demand.....it's alway funny to see fear affecting the investors but hey this is an effective way to influence the game! Traders who invest based on reports and fundamentals data could be disapointed. I like the way Mr. Buffet invested back then, he bought under valued stock while everyone was in panic mode and who cares if one broker told this or another bank was saying that....at the end you need to take clear decision and not based on emotion or affected by news noise or worst be affected by Mr. Market.
Right now the market lost a little more then 1000 points since the recent top so it's normal the stocks are affected. I don't see a big pullback in lithium price so again it's a game, whoever see it clear in this will win.
That why I try to keep some cash or liquidate a portion of another position to have cash to buy on opportunity where people are just giving up their shares because they get so influenced by anything and fear is my friend and I being doing this for a long time now so I know the drill lollll
Last point, for the ones who like data info....look at the last short volume on LIX....enjoy :-)
Cheers