ZFX - Zinifex Limited

[imajica]

If Zinifex can achieve a 2 billion profit in 2007 - with a P/E of about 5 that would price the company over $20 a share

 

[alankew]

Possible announcement from ZFX according to IG markets-said it was an announcement re an agreement and will be back at 1:10

 

[MiningGuru]

ZFX has traded at over $13 so it may only need one day to recover the loss of the dividend payout.

Man this share is hot!!!!!

Someone must be amassing a holding or something!

It is really powering ahead and will probably push $16 before the end of the month!

 

[nizar]

ZFX has traded at over $13 so it may only need one day to recover the loss of the dividend payout.

Man this share is hot!!!!!

Someone must be amassing a holding or something!

It is really powering ahead and will probably push $16 before the end of the month!

This share has been hot since last year bro its nothing new or out of the ordinary

 

[bowser]

Rare for a company to close above the previous day when its gone ex-dividend. Promising sign...

 

[swingstar]

Here's a count. Am interested to see others. Basically, it's very bullish.

 

[bowser]

I had to quote this call from rederob back in July this year. It stuck in my mind at the time and helped make some cash out of ZFX. Thanks!

The TA "suggests" a downtrend.
TA types will therefore pre-empt market movements by taking short positions or quitting long positions.
Unfortunately they really do not know what is happening in the real world with lead/zinc, and this is where I take advantage of their capacity to bring down the stock's price to my buying range: About $9.
The tightness of the zinc market almost assures this stock of attaining and surpassing its previous high ($13.50) which means that a buy-in at near $9 will give about a 50% return in the medium term (I would say before year's end).
A smart trader would now be sh!tcanning this stock in every forum they could post on, and buy the big dips.
Nickel is about to capitulate its base metal dominance and I reckon it will be quickly replaced by zinc: So buy Zinifex, or buy more if you already have some!

 

[swingstar]

rederob clearly has a very narrow view of TA and its purpose. My analysis suggested bullish activity in July for instance. I don't wish to go into this discussion with fundies not only in this thread, but ever again.

 

[wayneL]

rederob clearly has a very narrow view of TA and its purpose. My analysis suggested bullish activity in July for instance. I don't wish to go into this discussion with fundies not only in this thread, but ever again.

Agree,

Certain people here seem intent on creating acrimony between t/a-ists and f/a-ists.

I would encourage them to concentrate on developing and discussing their own methods rather than constantly bagging the methods of others.

I think there is ample evidence that both methods have their advantages... both work- end of story!

Cheers

 

[swingstar]

Agree,

Certain people here seem intent on creating acrimony between t/a-ists and f/a-ists.

I would encourage them to concentrate on developing and discussing their own methods rather than constantly bagging the methods of others.

I think there is ample evidence that both methods have their advantages... both work- end of story!

Cheers

Maybe we should have two ASX Stock Chat forums--one for techies and one for fundies. That way we can keep out of each others' way.

 

[bowser]

Sorry for the confusion, my post has been taken totally out of context. All I was trying to do is thank someone for pointing out a different opinion to which I held at the time. I was in no was directing my comments toward swingstar(or techies vs fundametals).

 

[wayneL]

Sorry for the confusion, my post has been taken totally out of context. All I was trying to do is thank someone for pointing out a different opinion to which I held at the time. I was in no was directing my comments toward swingstar(or techies vs fundametals).

Ohh....sorry then Bowser.

Present company excluded then

 

[swingstar]

Sorry for the confusion, my post has been taken totally out of context. All I was trying to do is thank someone for pointing out a different opinion to which I held at the time. I was in no was directing my comments toward swingstar(or techies vs fundametals).

No worries... sorry.

 

[wayneL]

Group hug time?

 

[pacer]

Nice to see it gained back the divvy today....blue sky above 13.50....buying more.

Good luck

 

[michael_selway]

Rare for a company to close above the previous day when its gone ex-dividend. Promising sign...

omg your right, 70c ex-dividend and still went up today!

Btw Nizar do you hold ZFX?

thx

MS

 

[rederob]

rederob clearly has a very narrow view of TA and its purpose. My analysis suggested bullish activity in July for instance. I don't wish to go into this discussion with fundies not only in this thread, but ever again.

I simply invest when opportunities are best presented.
If techies are selling down an equity I perceive as having excellent value, I will be tempted to buy it.
The chances are that technical signals will weigh that stock down further, improving, in my eyes, its value.
Techies perform a valuable market function.
No disrespect swingstar, but I think you do yourself a disservice in commenting on my views of ta.
I like to try and keep my market comments market focussed.
For me that means looking for value.
What does that presently mean for ZFX, which some folk are now suggesting is overpriced?
Technically, It's a bit irrelevant in my view as the technicals are not looking at what the company has the potential to earn in the next 8 months. Indeed, the price to earnings ratio of ZFX is at the very low range of its sector peers.
More importantly, the profit drivers of ZFX - lead and zinc - are at or near record prices, and the trend for each suggests more upside to come.
In another thread, someone asked if MRE holders would "today" buy more.
I suspect that anyone looking at a chart of MRE would say "no", very quickly.
Is MRE fundamentally different from ZFX, I would ask.
And my answer is "yes", there is an incredible difference, despite overwhelming similarities.
The key difference relates to the potential of each metal to move higher.
Nickel has a day's stock available in LME warehouses, so is very tight and already near a price peak.
Zinc has several weeks LME inventory left, and the rate of drawdown remains robust - typically in excess of 1000 tonnes per day.
For zinc to reach on fundamental grounds the level that nickel has, would require that metal to more than double in price. Importantly, the time frame for that is actually over a year away, although an intermediate price peak should occur in the first quarter of 2007.
So my view is that ZFX is still very cheap if you adopt a long term view.
Nevertheless, I prefer the prospectivity of KZL as a zinc play.

 

[swingstar]

rederob, your view that technical analysts would have been selling ZFX suggests to me that you haven't done much study on TA. Within TA, there are quite a few different schools of thought, not to mention not all practitioners trade within the same time frames. Maybe a swing trader who uses TA might have sold around July. Conversely a position trader using EW may have counted the beginning of a wave 5 and bought. It's just not so black and white as you suggest. Techies have differing methods and goals just as fundies do.

That is all I was getting at--nothing personal and nothing to do with the stock in question.

Cheers

 

[wayneL]

rederob, your view that technical analysts would have been selling ZFX suggests to me that you haven't done much study on TA. Within TA, there are quite a few different schools of thought, not to mention not all practitioners trade within the same time frames. Maybe a swing trader who uses TA might have sold around July. Conversely a position trader using EW may have counted the beginning of a wave 5 and bought. It's just not so black and white as you suggest. Techies have differing methods and goals just as fundies do.

That is all I was getting at--nothing personal and nothing to do with the stock in question.

Cheers

Just had a look at this chart. Agree on a EW basis it looked a bit bullish.

As far as the rest of your post... I couldn't agree more. From my own perspective, this chart does not even qualify as a trading prospect at the moment, nor would it have been in July.

There are much better charts for my method than this. (That is not a critisism of ZFX or its holders, it's just not my sort of stock as it stands at the minute)

 

[Kipp]

This share has been hot since last year bro its nothing new or out of the ordinary

If you'd bought in at $13 in May you mightn't be so amazed!!! You can't overlook the commodites pain that ZFX has endured in the last 4 months or so....
Anyhow- I'm judging you've got a longer term view Nizar (you prob bought in at $2.50 for all I know...) I'm the first to say this, but I can't believe that it GAINED going ex-div. I thought I got the div day wrong all day when it was at 12.80... lol

Hope you're all making a squillion...