We have a nice 50% or so profit in Global Battery Metals garnered in less than a month. Ordinarily we would probably stay long, but the stocks is now overbought and showing signs that it could react back quite hard soon. On the latest 3-month chart below we can see persistent heavy volume in recent days as it has become more overbought on its MACD indicator, yet its Accumulation line has dropped quite hard, which is a negative. Also, a rather toppy looking “spinning top” candle appeared on the chart yesterday. Chart shown below will be annotated later.
It is therefore considered best to TAKE PROFITS AS SOON AS POSSIBLE and await developments. We can always buy it back later if it does react back or consolidates in a satisfactory manner. If it continues higher, we won’t worry because “There’s always another train leaving the station”, speaking of which, a good destination for the liberated funds is Perpetua Resources, subject of an article a little earlier this morning.
Global Battery Metals
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Global Battery Metals, GBML.V, REZZF on OTC, closed at C$0.22, $0.162 on 8th February 23.
Posted at 9.23 am EST on 9th February 23.