Time for another Sector Analysis. Tonight I’ll go through a few select Lithium Mining stocks. My original Lithium sector overview chart on my public list reflects the changes I observe over time. The reason my interest for the Lithium sector became more pronounced was LI.V – Lithium One. Way before that stock popped up in my scans WLC.V – Western Lithium Canada kept popping up. Times have changed. WLC.V is still a leader LI.V made it onto my list but recently I got rid of it and replaced it with RM.V – Rodinia Minerals. That’s the name of the game. You replace weak stocks with strong stocks. You’re not only supposed to do that within a sector but with your overall portfolio. Keep your winners and get rid of your losers. No hard feelings.
On to the charts. Lithium stocks haven’t kept moving up like the Rare Earth stocks. Relatively speaking this sector is weaker but the consolidation patterns could be setting the stocks up for another push to the upside. I am closely monitoring WLC.V – Western Lithium Canada (now: WLC.TO – Western Lithium USA) which I consider to be the leader within the sector as it has the highest market cap (that of course doesn’t take into account SQM – Sociedad Quimica y Minera de Chile). The recent private placement is now closed. The stage is set for a potential move to the upside. Let’s see what happens.
Up until last week my favourite was RM.V – Rodinia Minerals. Somehow the stock lost its immediate pressure over the course of the last few days. So for now I will stick to watching WLC.V for clues.
CLQ.V – Canada Lithium has been one of the best movers from a percentage perspective. The stock has now retraced 50% from its recent all time highs. So far the retracement / consolidation looks rather orderly. We’ll see what happens and if the stock can start to move up again.
For up-to-date charts visit my sector overview chart below or check my Global X Lithium Stocks ETF article for additional trading ideas in the Lithium realm.
- Lithium – Sector Overview Chart
- Stock components: SQM – Sociedad Quimica y Minera, TLH.TO – Talison Lithium, LIT – Lithium ETF, LAC.TO – Lithium Americas, WLC.TO – Western Lithium USA, RM.V – Rodinia Minerals
My public list with all my charts can be viewed here:
http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID2791469
Have a great evening!
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