Time for Nickel (and IGO) to pullback

Here is the stock price of ASX listed, Independence Group (IGO:ASX) 

(orange line)overlaid with the Nickel price. (blue line)

A fairly good correlation I’d say.

With Nickel flirting with weekly Overbought levels and exhibiting 

a historical stretch above its 100 and 200 week moving averages, 

mean reversion is calling. 

IGO’s timing and strategy of using its stock to acquire fellow Nickel 

miner, Western Areas is perfect.

In turn, IGO’s stock price has now broken below an important support level.

I’m looking for it to trade down to $7.67 by August 31, 2021.

August 19, 2021

by Rob Zdravevski

rob@karriasset.com.au

#nickel #IGO

IGO’s clever use of equity

Here is a chart illustrating the percentages which Independence Group (IGO:ASX) has traded at either above or below its 200 week moving average.

The company has cleverly issued shares and made acquisitions at many of those peaks.

Examples include;
2008 Karlawinda
2011 Jabiru
2015 Sirius
2016 Windward
2018 Southern Hills
2021 Western Areas, Silver Knight & Tianqi,

This is an example of how to strategically use your extended stock price as effective currency.

August 10, 2021
by Rob Zdravevski
rob@karriasset.com.au

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