$American Tungsten & Antimony Ltd(AT4.AU)$ When the stocks all around are flashing red, we need those winners to keep up our spirits...
AT4, probably not your typical go-to winner at times of volatility, has its strengths. A typical winner for downturns especially in tech, which I had shared previously, is an ETF such as $Direxion Daily Semiconductors Bear 3x Shares(SOXS)$ . It's not one that we normally hold in a portfolio with its time decay component for such leverage ETFs, which I had shared too. But, these are not normal times. Many retail traders or "investors" might disagree. I have gone through too many major market crashes to act any cool 😎 that party 🎉 🥳 is here to stay forever.
I have digressed.
$American Tungsten & Antimony Ltd(AT4.AU)$ as the new name implies is all about Tungsten and antimony. Although the price of antimony, which was white hot not that long ago, has corrected, tungsten price is still holding up very well. Following historic surges sparked by Chinese export limits and tight global supplies, prices have entered a firm consolidation phase. The market remains structurally tight due to concentrated global production controls, keeping downside price movements heavily cushioned by strong production cost floors.
This is where AT4 benefitted. While waiting for the price of antimony to recover, it can go full stream ahead to progress its tungsten mine to production. Looking at the charts, it appears that the recent correction has slowed and a rebound is imminent. 5.4 cents looks like a good support line. Secondary charts are mostly supportive of this observation, with RSI and KDJ signalling a likely upturn. MACD might turn lower but it is hugely positive. The spikes in volume is further indicator of comeback interest from the community.
Just sharing something different... It's early days for this mining company. The mines are still being developed, but with history on its side and US government's funding support, it's not your typical exploratory wannabe.
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- bouncee·08-19 15:22Funding support is the bigger edge here than the chart setup. It cuts some of that pure explorer risk, and tungsten staying firm gives AT4 a cleaner path while antimony cools offLikeReport
- riffy·08-19 15:22Cost support is the part I care about here. Around 5.4 cents, downside looks pretty limited and scaling in starts to make sense 👀LikeReport