I like the way that the CAP chart is starting to shape up and the way that there is a slow, gradual increase in the share price from what seems to be steady and sustained buying demand (better the tortoise than the hare!).
Given it has been a little quiet on here (and I'm curious), I thought I'd ask "Who is buying and Why?"
To kick the discussion off, I'm a long term shareholder who used to have an average cost per share way above current share prices. In 2016, I decided to buy some more shares. Mainly to bring down my average cost per share but also because of the direction the company was going and progress I anticipated.
In recent months I have bought some more shares in anticipation of the results of the prefeasibility study - which did not disappoint.
I continue to hold (and am tempted to buy more) because there appears to be strong and growing demand for high grade ore. Therefore, CAP has the right product at the right time and there appears to be few obstacles to overcome to get into production - port, power and water all available. The only obstacle might be finance, but I think that hurdle will become smaller as demand for high grade ore increases. I'm also curious to see if there will be any interest from Gupta family who recently bought Arrium's Whyalla steel works (which I understand also has a pallet plant that could process CAP's Hawson's Supergrade).
I'd be interested to hear why any one else has recently bought - or sold for that matter.
CAP Price at posting:
8.2¢ Sentiment: Buy Disclosure: Held
