10 Cents Placement
Finally the expected placement came, but it is not as dilutive as I thought it would be as there don't appear to be any free attached options associated. Indeed it is not that long ago that Management were touting how well capitalised they were and yet the writing was on the wall.
I also see a Thorney representative was added to the board recently, they are obviously not satisfied with past performance of their investment and so will be looking to turn the boat around, perhaps by shaking up the Board.
With tax-loss selling still ahead of us any stink bids below 10 cents may get hit, but it looks like QFE may be heading for some short term weakness, a sideways consolidation and then increasing share price.
The dust needs to settle before I jump in, so will look at the next quarterly report and re evaluate.
I have no doubt that there are people on Strawman who held this through the downtrend, but setting a price level to exit when your thesis is shown to be wrong will help save capital.
My Rule 1. Don't buy shares that are going down and sell any held shares when the investment thesis is shown to be wrong. (Shares can always be bought back)