A piece at 321gold.com by the man who “was way ahead of my time in forecasting the rebound in Lithium and Graphite” prompted me to look at old friend LIT, the Global X Lithium ETF (despite the man’s bravado I might add).
This is not so much a trade as an opportunity for those who have fundamental research in hand on the future of Lithium battery power and/or think the economy is going to hold up and are looking for an entry opportunity. NFTRH+ will not only cover trades, but also technical entries on potential ‘investments’ such as this (as will standard NFTRH).
LIT has the signs of a consolidation as it went up hard on big volume and has been declining in a wedge on low volume. Support is very clear and a loss of support (perhaps below 12.50 or so) can be used as a ‘stop loss’ if desired.
Again, with its limited volume and the nature of asset, this is not really a trading vehicle. But it is a potentially strategic asset to some.
Buy: Support zone (12.60 to 12.80’s)
Target: Undetermined, individuals to take profit or hold to suit
Stop Loss: As suits risk profile, below support.
Note (5.28.14): Trade is now approximately +5% and individuals should take profits or hold as suits their risk profile. This service does not issue ‘sell’ recommendations on profitable trades.