Short Term Trading Week Starting: 18 Mar, page-33

STTCOMP AVZ, TA LONG
SP - 4.4 cents
MC 93m

Sort of a combined technical, fundamental combined tip. SPP went well, we found out yesterday that some of the substantial buying of late came from Hauyou Cobalt who increased their shares from 3ish% to 9.5%. We all know this is a demon sized reserve, but its location, certain social media idiots, a guy with a weird German name and other factors have seen its SP plummet from 35c over the past 12 months. Global lithium prices haven't helped either. The size of the reserve means AVZ are in over their heads - excellent results continued to flow while the SP plummeted. Their only real hope was further interest by the Chinese (in some form) and not capitulating to a low ball offer while the bears piled in on the MC.

We've predicted it before, but I think the bottom was 3.7c (I bought in at 3.9 because I didn't take up the SPP but saw value anyway at those prices). The SPP, recent churn (sophs dumping their SPP shares at 4.5 - totally expected a short term hold from these highway robbers) and inability to break past the SPP price of 3.8 leads me to bet we might finally begin stepping up again.

Below are the random scribblings of a mad man. Make of them what you will. But a couple of nice daily trends finally broke yesterday - 25sma on good volume. Heaps of resistance above. I've gram charted Fibs from 28 Nov high (8.5c) to 8 Feb low (3.7c). From that it appears the break above 5c will be the most difficult. I've only charted 6 weeks out. But I fully believe AVZ can get back to 8c and above in that time. The uncertainty just needed to lift a bit. But as always with AVZ - don't mortgage your house on it