EXS 0.00% 26.0¢ exco resources limited

Jako, just going back to your last post, I was hoping to get...

  1. 1,082 Posts.
    Jako, just going back to your last post, I was hoping to get some follow up thoughts from yourself.

    If we assume for the moment that the SM has tested the market at the 61c or so level and has come to the conclusion that there is a lack of supply, I guess it then follows that they will also come to the conclusion that only a world event will bring on that supply.

    As a trader that follows this theory, would today's low volume be a strong indicator that EXS will now resume its uptrend (because I guess the SM will start buying it back)? or is the assumption that the SM will let the share price drift for a while to give the chance of a world event to occur?

    I guess it depends on whether the SM feel they have enough stock right now, but as a trader how do you determine whether to buy more at current levels or wait? For instance, if you had the cash, would it be a wise move to take out the seller at 62c?
 
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