Hindsight would be a wonderful gift to trade with. You could make Warren Buffett look like a novice if you could use it for investing.
Unfortunately none of us can, or else every single one of us would have take our cash off the table at 24c...
Foresight on the other hand is nearly just as rare yet a small number of people allow themselves to break away from flock mentality and use it incredibly well to their advantage.
If a stock or commodity was at the bottom of its cycle do you think there would be over hype and excitement after many had lost money and faith over an extended period?
Hell no!!! People would be hating it hard and the negativity surrounding it would be toxic.
Yet through all the crashes, how many valuable commodities that are needed by society have stayed down forever?
Pretty hard pressed to find one right?
This is the ebb and flow of the markets. Always has been and always will.
You can either go with the flock and wait for confirmation for all the stars to align and either make a little profit or grab some right at the peak only to find out the majority of the flock jumped in at the same time, missed the run and only got on board when hype and excitement was at an all time high.
We all know how that ends...
Or you could use a little foresight and cut through the noise and negativity and back your judgement to find profits you only ever thought were urban myths.
Commodities fluctuate we all know this. They drop and when they do it seems as if theres so much doom and gloom they will never get back. But they always turn around.
Cobalt has been hammered over the past year and theres plenty of doom and gloom around. But you need to ask yourself if you believe our use of cobalt is declining or is it going to keep increasing? I'd say with the current trends and investments it's going to increase substantially and keep doing so for a long time. So thats a massive tick...
Another thing to ask is where is the main supply coming from? The DRC, right?!? It's pretty easy to see it's not the most stable country and with companies now putting a lot of focus on ethically sourced cobalt, the DRC is one place that is known for its poor treatment of workers, child labour and government rorts, so it's not really a country the do-good companies want to be associated with.
So who has the most cobalt outside the DRC?
With a resource upgrade imminent (and numbers getting better with each one) CLA will take this honour to become the biggest cobalt resource in a politically stable and ethical nation.
So while theres been doom and gloom spread for the past year are you going to listen to the flock and believe the DRC has reformed overnight, cobalt pricing is down cause of fundamentals (not a concerted manipulation) and the battery age is just a myth?
I know what my thoughts on the matter are and how right I am is something only time will tell. But I'm happy to buy them cheap now cause the potential upside is enormous with the current technological developments and investments across the globe.
As John Lennon once said "Would the people in the cheap seats please clap? And the rest of you just rattle your jewellery!"
I might be buying the cheap seats now but I've got a feeling those same seats will be front and centre soon enough...
GLTAH and bring on the resource upgrade
CLA Price at posting:
5.2¢ Sentiment: Buy Disclosure: Held
(20min delay)
