The Base Metal Breakout – Industrial Commodities Threaten Their Decade-Long Downtrend By Sam Broom Summary: * Base metals are showing signs of real strength, with prices across the complex breaking out, or threatening to do so. * Copper and zinc have looked the strongest of the bunch and both have recently broke out of multi-month consolidation patterns. * The moves we are seeing have the hallmarks of a supply (destruction) driven rally, which tend to be sharp and ferocious in nature. * An industry-wide decline in reserve quantity (depletion) and quality (grade), accompanied with a complete lack of new discoveries means we believe we’re likely to see an increase in M&A as prices begin to rise, which is why we’re interested in quality exploration and development stage plays. Every now and then you get a feeling that the market is sending a message. Last week was one of those weeks as we witnessed a whole host of commodities either breaking out of multi-month consolidation patterns, or seriously threatening to do so. The topside moves were generally spread across the commodity complex, but by far the most significant moves were seen in the base metals where we witnessed breakouts across the board, some in rather spectacular fashion. From a higher level, this is best shown in a chart of the Bloomberg Industrial Metal Index, which has now broken out above a down trend that has been in place since the index peaked way back in 2007, over a decade ago. … Continue reading
BY COLLIN KETTELL ON SEPTEMBER 10, 2017 David is excited about the future of silver, “I have a lot tied to this sector. I’ve always felt that the highest calling you can have is to live your passion. You can be self-serving and serve others at the same time.” David discusses the gold-silver ratio and why it is very favorable for silver. He is convinced that the bottom is in for precious metals. Silver and gold were strong in 2016, and then we had the sell-off. The leading sector for 2016 was the gold mining sector. This year has been spotty, but we are at 12-month highs as we have retraced all of the earlier losses this year. If you look at the Junior space stocks are not up that far overall there is still lots of value. However, some of the ETF held companies had larger price gains. David discusses what the true price of gold should be in comparison to the M1 money supply and how it has changed over the years. By 2020 he expects we could see $100 for silver and $7500 for gold and why it will likely go beyond fair value. Silver should outperform in the long term once the big money has entered the gold sector. David tells the story about how Warren Buffett purchased 28% of the worlds silver in 2004. This story demonstrates just how tiny the silver market truly is. Talking Points From This Week’s Episode • We will likely … Continue reading
by: Dudley Pierce Baker Founder-Editor http://CommonStockWarrants.com http://JuniorMiningNews.com Believe it or not, this rally in gold and silver, copper, etc is for real and we look for the junior mining companies to have their day in the sun over the next few years. Today gold is closing over $1320 and silver over $17.50. So, I must ask you a personal question. Are you invested in the junior mining companies shares and/or long-term stock warrants? I sure hope so, if not, I encourage you to get invested soon, very soon. This rally is not going to wait on you and the longer you wait you will be coming in at higher prices. We all know that the resource sector has basically been a bad place to be over the last 5 or 6 years with few exceptions. I have found many of those exceptions for my gold and Lifetime subscribers, and some of those have been 1,000% gains or more. However, in my opinion, the next few years will produce many more 1,000% gains and I want you to be with me on this great journey. Whether you decide to invest in the shares of the junior miners or stock warrants trading on those companies, I will leave that to your personal discretion. However, I encourage you to at least explore and investigate which companies have stock warrants trading. This is what I do for you at http://CommonStockWarrants.com, I provide you with the list, a database of all stock warrants trading in … Continue reading
Gold Breaks $1300 but………. Breaking new ground is never easy as gold found out in early trading on Friday. Gold was up strong early up to $1306 before heading back down and closing at $1291. The $1300 area has been upside resistance for quite some time and this was the 3rd time to test and yes while we broke $1300, I think we need to close strongly above before we will see any kind of a sustained up move in shares. It is coming but it did not happen today. Patience has been the name of the game for many months for resource investors and we must continue to be patient. ‘Our’ day will come as probably sooner than we all think. For me, there is only one way to play this ‘game’ by investing in quality junior mining companies and/or long-term stock warrants trading on those companies. If you are not familiar with stock warrants, you can receive The Stock Warrant Handbook for FREE by visiting, http://CommonStockWarrants.com along with more freebies. However, many investors are finding great opportunities with warrants on the U.S. stocks in other sectors, biotechs, pharmaceuticals, banking, etc. Remember that only 25% or so of my personal portfolio is in stock warrants, the balance are common shares in the junior mining companies and I am on the hunt for new additions to my portfolio. There are many interesting opportunities in stocks as well as the stock warrants available today, so if you not a current … Continue reading
Stock Warrants Leverage Indicator This is a very simple calculation being the price of the common shares divided by the price of the stock warrants. For example, one of my current positions is stock warrants on a gold company, complete details of which are available for subscribers in our databases. The warrants will expire on October 6, 2021, yes a remaining life of over 4 years. The current price of the common shares is C$1.05 and the current price of the stock warrants is C$0.25. Thus, the leverage factor in this example would be 4.2 (C$1.05 divided by C$0.25), which is great. The higher the Leverage Indicator the better, but there is a reason that I do not use this calculation as the holy grail. Using a pure but simple formula is easy but it does not take into consideration the remaining life of the stock warrants. If the stock warrants are nearing expiration and ‘out of the money’ it is common for the Leverage Indicator to be very high, which can be greatly deceiving. If you use this Leverage Indicator, I suggest you make sure the stock warrants have a remaining life of 2 years or more. All the best of investing and I invite you to visit me at http://CommonStockWarrants.com and receive your free copy of my recent publication, “The Stock Warrant Handbook“, Your Personal Guide To Trading Stock Warrants. … Continue reading
Is It ‘Game On’ For Gold and Silver? In my opinion, YES!!!! We’ve just completed two good weeks for gold and silver but there is still very little appetite in the resource community to buy the shares of the junior mining companies. Lift off is going to require some special situation or excitement to get those shares going, but, that is coming and probably sooner than later. I frequently share this monthly Gold chart with my subscribers. This is the long-term view of Gold and using a 20 Month moving average. You can see that this moving average was very good support for many years. We currently are showing a nice upslope to this average and we have been trading above this 20 month moving average for several months. It is only a matter of time until we break out big time to the upside. For me, there is only one way to play this ‘game’ by investing in quality junior mining companies and/or long-term stock warrants trading on those companies. If you are not familiar with stock warrants, you can receive The Stock Warrant Handbook for FREE by visiting, http://CommonStockWarrants.com along with more freebies. However, many investors are finding great opportunities with warrants on the U.S. stocks in other sectors, biotechs, pharmaceuticals, banking, etc. Remember that only 25% or so of my personal portfolio is in stock warrants, the balance are common shares in the junior mining companies and I am on the hunt for new additions to my … Continue reading
Published by Resource World on July 5, 2017 Interview by Ellsworth Dickson As attendees of resource investor conferences know, Rick Rule, President and CEO of Sprott U.S. Holdings Inc., often speaks to standing room only crowds. His dynamic presentations usually go against the grain of the usual ways of looking at mining stocks. Resource World was fortunate to catch him for this interview as he is often on the road. RESOURCE WORLD: When you were attending the University of British Columbia, did you have a plan laid out for your career? RICK RULE: Yes – but I didn’t follow it. I wanted to become a taxation lawyer focused on natural resources. RW: Weren’t you studying mineral economics there? RR: My interest was natural resource finance in mineral economics but I was in the faculty of commerce. My view was that UBC had a compound degree that gave you a Bachelor of Commerce and a law degree and so my initial idea was to become a lawyer specializing in international natural resource taxation. RW: What was your first job related to the resource sector? RR: I had substantial success as a speculator. Owning a bar in the financial district of down-town Vancouver gave me unparalleled access to information. Building on that success, I became securities licensed. RW: I’ve heard you say to your audiences at presentations: “Be a contrarian or a victim.” Can you outline your contrarian philosophy and how investors can make it work for them? RR: Absolutely! There’s no … Continue reading
Editors Note from Dudley Pierce Baker http://CommonStockWarrants.com “Trek Mining is currently one of my favorite companies and we are glad to see more great drill results.” Trek Mining Inc. (“Trek Mining” or “the Company”) is pleased to announce that ongoing drilling continues to intersect significant gold mineralization below the shallow, westernmost reserve pit and beyond the current pit limit along the western strike at the Company’s 100%-owned Aurizona Gold Mine (“Aurizona”) in Brazil. Further to the May 17, 2017 news release, an additional 13 shallow step-out and infill drill holes totalling 1,486 metres from the exploration program at Piaba West have encountered multiple broad intersections of gold mineralization with grades typical of the Piaba gold deposit. In addition, drill hole BRAZP587, which was collared just beyond the westernmost edge of the existing Piaba pit, encountered two narrow, high-grade intercepts that returned gold values of 19.65 grams per tonne gold (“g/t Au”) over 1.0 metre (“m”) and 67.09 g/t Au over 5.0 m including 329.00 g/t Au over 1.0 m. Drilling highlights include: 1.90 g/t Au over 25.0 m in BRAZD529 1.11 g/t Au over 11.0 m in BRAZD530 0.73 g/t Au over 19.0 m BRAZD531 1.64 g/t Au over 18.5 m including 3.69 g/t Au over 5.0 m in BRAZD532 1.53 g/t Au over 43.0 m including 6.05 g/t Au over 6.0 m BRAZP584 19.65 g/t Au over 1.0 m and 67.09 g/t Au over 5.0 m including 329.00 g/t Au over 1.0 m BRAZP587 1.10 g/t Au over … Continue reading
For those resource investors, I present below the video links to the recent Cambridge House Writers Conference in Vancouver. See some of your favorite analyst and get their views of the markets. As a contrarian, this is obviously the time to be investing in the resource sector and the Dow and S&P 500 continue to trade near highs. My preference is to ‘play this game’ with the junior mining shares and/or stock warrants. However, many investors are finding great opportunities with warrants on the U.S. stocks in other sectors, biotechs, pharmaceuticals, banking, etc. Remember that only 25% or so of my personal portfolio is in stock warrants, the balance are common shares in the junior mining companies and I am on the hunt for new additions to my portfolio. There are many interesting opportunities in stocks as well as the stock warrants available today, so if you not a current subscriber, LET’S GET YOU STARTED NOW. The next several years, 2017 – 2020 will see some exciting times in the PM sector and I am looking to make a fortune. Do you want to follow me? Let’s have some fun and make money together. Recent Articles On Our Websites: International Metal Writers Conference – Video Of Conference Doug Casey on Crisis Investing in Brazil New Areas of High-Grade Uranium Mineralization Drilled in Athabasca Basin Stepout Drilling Reveals Uranium Expansion Opportunity in Athabasca Basin Deposit Gold & Gold Stocks Nearing a Big Move The Forgotten Depression of 1920–1921 When the “Fix” … Continue reading
Cambridge House has provided us with a audio of the complete recent conference. This is a great opportunity for you to see and listen to the experts in action. I attended and participated in the show and got to visit with many including Frank Holmes, Rick Rule, David Morgan, Nick Hodge, Mickey Fulp and many others….. Enjoy, International Metal Writers Conference – Video Of Conference … Continue reading