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Win us with honest trifles

Making three purchases next week

A lesson learned* over the years: When mining stocks have been sliding for a few days and your value antennae have started twitching, then the sector suddenly takes a big drop, live market prices are getting discounted before your eyes, the personal treasury has spare cash and your simian brain is screaming “Buy those cheapies now!“, it’s the exact and correct moment to…wait another day before buying.

A lot of things are coming into place at the right time, including gold at the lower end of its recent range, metals futures in the rollover period and a set of numbers from Newmont that are sinking the bigcaps from the top down (thank you Wall St, please keep selling all day). Suddenly, cheap stocks look really cheap…so I’ll wait until Monday to do three things. These get called on Sunday, in IKN675:

  • Adding to a tiny position in a gold exploreco that’s been sold down on low volume today, making tiny into small and scratching the itch. Subscribers probably know which one.
  • Adding to a medium-sized position in a gold producer that’s come back to a nice, buyable level. It may be the last time these prices are available. Subbers will probably know which one, too.
  • Opening a small position in a silver exploreco and putting a little of my money where my mouth is on the recent bullish silver call. A modest starter trade that will take my silver stock portfolio from one company to two.

The IKN Weekly: When writing 10,000 words on mining stocks is your idea of a great Saturday night.

*the hard way

3 Comments

    A Beaten Down Prospectors Cabin In The Woods A Beaten Down Prospectors Cabin In The Woods 23/04/22 12:41 pm

    No need to rush in imo … everything might get taken down over the coming few weeks

    Reply

      Yeah…but…shiny things. Want shiny things.

      More seriously, the gold takedown Friday was all about market liquidity. When the Dow drops a thousand, desks have to cover margin and use what’s cheapest to do so. So unless you expect the Fed to be fought, PM stocks are at a temporary discount.

      Reply
    A Beaten Down Prospectors Cabin In The Woods The Deep Dark Woods of British Columbia 24/04/22 2:06 pm

    They say; ignore the dilution and cheap options/warrants, and just buy mining stocks and you can be rich to, like Carson ….

    https://www.youtube.com/watch?v=6j331lF0Wmw

    Reply

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