Liberty Star Uranium & Metals Corp.

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Message: Re: Is this becoming a competition?

I watch trading in LBSR (and other stocks I follow) throughout the day on Etrade Pro.  I don't get extra there or at other places for recorded details.  My general observations are somewhat nonsensical beyond what is obvious: the sales price has been trending downward for two-and-a-half years.  And adjusted for reverse splits, the value per share has never been so low.  

Yes, tiny trades on low-volume days sometimes push the price higher, but tiny trades on high-volume days will also sometimes push the price lower.  But in one respect, all days since the last reverse split are tiny volume days compared to the outstanding numbers of shares.  We have 10k-20k share days and 100k-200k share days with an outstanding of around 22M.  That means a good day in volume recently has seen about 1/2 to 1 percent of shares traded.  In effect, and in my opinion, any recent trading day has been meaningless regarding volume unless accompanied by an evident trend in the price.  But we've not seen that.  What surprises me, though, is that the price has been able to avoid drifting into the 3s, though it came close to that three time in the last three months.   

The curiosities, however, are the periodic after-hours single trades, which look to me to be from 30-100 percent of regular hours total shares.  And there are the occasional trades outside of published bid/ask ranges (always or mostly after hours), something I understand is only available to licensed brokers.  While they look nefarious, I can't say that they are.  Sometimes brokers have to do funny-looking things for bookkeeping purposes, but I see this more often with LBSR than I've seen with any other stock in my 4.7 decades as an investor in stocks.  

I suppose the lesson here is that low-volume stocks can be subject to broad swings in value and that it's hard to get a handle on "value" without an evident trend. 

I don't know that you will find any of this helpful, but it's about all I can offer, not having subscriptions to more detailed information. 

Cheers,

VP

 

 

 

 

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