SRZ - Stellar Resources

[Woody]

Good on you Ken, reading your posts is always a great way to end the day.
We just have to be patient with Stellar. Things may not happen over night, but like you I am confident they will happen. They are a very professional explorer and they look after their shareholders. I topped up this week, with the tin float in mind. Now in early retirement territory - if they deliver.

 

[Ken]

Chartwise SRZ is hanging in there.

If it breaks under 24 cents I think we can kiss it good bye all the way down to 20 cents. A break under 20 cents and it appears 10 cents is the next stop.

As with all speculative stocks we need some luck, and some good news flow.

The tin Float is due at the end of the year, so still some time off there.

There is not buyers to sell into if you hold a good stake so either way iIthink I am a bit stuffed if SRZ does drop below 24 cents.

I am going to set my sell order at 60 cents, turn the computer off and come back in 12 months.

lol

 

[Ken]

Well I sit looking at the chart right now, and I must say, I am shattered.

SRZ has basically broken all support lines for me.

I got this one completely wrong.

The stock has been traded down on bascially no volume, but none the less that is what we have when a stock is bearish.

The trend will continue untill we get some news.

I think best case is that we have a cracker of an announcement and the share price spikes.

I think 20 cents is most likely. There is absolutley no support for this stock at the moment.

Question.

How would the traders out here play it.

I have 100,000 SRZ shares they owe me 29.5 cents. What has been the Should I wait for this one to bottom, and then try and pick some up when its in an uptrend?

That way I lower my entry level.
If SRZ goes through 20 cents, 11 or 12 cents is possible.

Question for people with more experience than me.

When there is no buyers out there the stock has no liquidity, so when the buyers come back into the market lets say 2-3 months, will this mean the rise will be faster, cause the stock will appear over sold??

How have traders dealt with stock with low liquidty?

I am thinking pick some shares up at 18 cents, and then 15 cents. Try to get an average entry price of say 22 cents.

I am okay to hold long on this. But figure if it drops I might as well take advantage of the tough times.

SRZ, AXT, VMS, TOE, all south australian companies well off their all time highs of the year....

 

[Gurgler]

Question for people with more experience than me.

When there is no buyers out there the stock has no liquidity, so when the buyers come back into the market lets say 2-3 months, will this mean the rise will be faster, cause the stock will appear over sold??

How have traders dealt with stock with low liquidty?

I am thinking pick some shares up at 18 cents, and then 15 cents. Try to get an average entry price of say 22 cents.

Ken

I am certain I don't have more experience than you but over the past year I have begun trading smaller parcels of stock - particularly after reading Van Tharp, who argues strongly for the use of position sizing.

Like you I bought in at 30 initially but picked up more yesterday at 24. If it continues a downward trend, I may have to reconsider. I'm considering a stop-loss at 21 or 21.5 - unless some news persuades me otherwise.

 

[Woody]

Ken, I don't know whether you got my PM.

Many explorers and even producers are taking a bath at the moment. SRZ has held up well compared to many.

All one can do if one doesn't need the cash is ride it out. If you think the fundamentals on which you brought the stock haven't changed then in time you will be rewarded. If you need the cash, then that's another matter.

I wouldn't personally be putting all my eggs in one basket. I'd be holding my cash and then when the market is back on track make a decision about which bargain stocks offer the best reward - SRZ, you may decide, may be one.

I don't know anyone that's not carrying paper losses (some big) on explorers in their portfolio at the moment.

I am not a financial adviser, but I don't think there are any magic wands. This is the beast market at work. But what goes down more than often goes up. If this wasn't the case, SRZ etc etc might as well pack up and we'd be heading for the dole que.

 

[Ken]

Understand woody.

I have noticed in all the explorers the market depth has dried up on the sell side. People with big stakes have nothing to sell into and its the small holders driving a lot of the price down.

I hold a substantial amount of SRZ. Roughly 40% of my portfolio. I am going to chip away, and just top up when I see a base forming. If I can get a rough entry price of around 20-22 cents, I think at some point in the future, SRZ will produce the goods.

The sell down presents the opportunity for the brave and sometimes stupid....

I am not buying anymore SRZ untill chart wise, I think It's a right buy.

I am not selling because I would be dragging the price below 20 cents... so wil have to suck it in and stick it out.

Maybe a real learning experience. Could be costly, or very rewarding.

Time will tell.

Ken has balls of steel!

Lap stop turned off sell price 60 cents...







I

 

[Kipp]

Understand woody.

I am not buying anymore SRZ untill chart wise, I think It's a right buy.

Ken, I don't understand how it could be a buy at 20-22 from a T/A point of view, unless you are assuming that SRZ will drop to 18 or so, then 22 would probably represent a reversal of a downtrend? But I would of thought that anyone getting in now is doing on the basis of bottom-picking (or FA) because as you have mentioned- it has breached all support.
Anyway...I hope they come up with the goods for you.

 

[Ken]

I am saying the lower it goes, I could attempt to average out the price to be 20-22 cents. Instead of 29 cents.

At the moment, I am in the ****.

Probly like a lot of others.

 

[Ken]

Someone is accumulating at 22 cents.

100,000 lots are being sold and 100,000 pops up.


There have been a few of these trades go through.

 

[Woody]

Ken announced on the ASX that a Director brought nearly $100,000 worth at 22 cents. Good sign. Lets hope the market settles.

 

[Gurgler]

For 40 days and nights SRZ has been banging its head against a 20cent ceiling and then it 'shoots up' to the dizzy heights of 21.5 - only to be drawn back to 20 again.

Is this Bollinger squeeze going to result in further upward movement - or was that it!

Ken and Woody, are you still in (like me)? What do you think? Something pending with the tin in Tassie still??

 

[Ken]

I sold out, due to funding some big blue chip trades on the financials.

My only speculative stock I hold now is VMS, and my holdings are minimal.

I have found I am making a profit on every single trade, but going into blue chip shares.

The liquidity is better due to the volume, and because I dont see myself as a great trader, it is has been easier to make a profit.

I wanted to catch the rebound in the All Ords, and I knew SRZ didn't follow the All Ords, hence my decision to buy what the super funds were going to buy.

Best of luck to SRZ holders.

My concern is that they may struggle to get the tin float off the ground.


I am probably wrong though.

 

[Woody]

Ken, something is brewing. Very strong again today. I still hold and still have confidence in Stellar and its management.

 

[Ken]

Yeah I got flushed out I guess!

Well done woody for holding.

My strategy has changed since august 10.

 

[noirua]

A report on Boardroom Radio by Mr Peter Bright, CEO, of Stellar Resources, about the Tarcoola Iron Ore Project: http://www.brr.com.au/event/42048
http://www.stellarresources.com.au

The company has an investment in UraniumSA Limited: http://www.uraniumSA.com.au

 

[Woody]

I thought the interview was fine as far as it went. But the interviewer asked no serious questions, like time lines etc etc etc. Waste of space really ... not the company's fault, Boardroom radio's. Could have been so much better. Interviewer sounded like he still doesn't shave ...

 

[Dona Ferentes]

Barry FitzGerald - Garimpeiro ; 12 stocks in 12 different commodities to stuff in the Xmas stocking ... The focus has been finding those with leverage to exploration success and/or enhanced development prospects because of some of spectacular commodity price gains in 2021, and what 2022 [may have] in store.

TIN : Trading at 2.3c for a market cap of $19m. Another case where a bumper commodity price has yet to be reflected in a company’s valuation.

Tin has doubled this year to 10-year highs. It stands to reason then that the development prospects of Stellar’s Heemskirk project in Tassie have also improved dramatically. A 2019 study pointed to all-in sustaining costs of $US13,100/t. Tin last traded at $39,500/t.