Reminiscing about gravity

Lithium companies…..

While lithium is lighter than oxygen, gravity still applies.

Speculators do buy at the wrong time.

Parabolas are honoured by mean reversion.

As price and mean converges, it still may be a $2.80 stock (+/- 20 cents).

On the other hand, the stock prices of some other ‘lithium’ companies are already trading at what feels like ‘maximum pessimism’.

This applies to many other assets which have surge in a vacuum of euphoria.

February 7, 2024

by Rob Zdravevski

rob@karriasset.com.au