#trends 0002 : Precious Metals

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Hi All,

First off, if you did not get a chance to read last week’s newsletter, please do. Almost everything I journaled actually played out, oddly enough. Secondly, Water is now trading in the Futures Market. I don’t know what sort of turbulent times lay ahead of us, but it’s better to be informed and aware, rather than ignorant, in order to be well prepared.

Now let’s talk Precious Metals as an Insurance Policy during uncertain times. We are definitely living in uncertain times at the moment. I’ve been looking more into how to diversify some of my portfolio into Precious Metals. There are various ways to gain exposure to precious metals. (1) Buy physical coins/bars (2) Buy Commodities in the Futures market (3) Buy mining stocks in the Equities market.

For me, #1 is inconvenient and #2, I don’t know how to trade Futures. By process of elimination, #3 wins. Here are the stocks on my radar.

Gold / Silver

  • Barrick Gold Corp (GOLD) - I use this more as a health-check indicator on the Gold mining industry. I’m not planning to buy this stock.

  • AngloGold Ashanti Limited (AU) - I just opened a position here because I feel this stock is close to its bottom and has more upside than downside from here.

  • First Majestic Silver Corp. (AG) - I’m more bullish on Silver than Gold. So last month I started accumulating a position here.

  • Blue Lagoon Resources Inc (BLAGF) - I just opened a position here as well, this stock seems undervalued at its current trading price.

  • New Found Gold Corp (NFGFF) - Just watching this incase it gets beaten down.

  • Winston Gold Corp (WGMCF) - About 2 months ago, this was the first junior miner I bought while researching small cap miners. By pure luck, it went up like 58% the day after I bought it. I sold it, but decided to keep this on my radar if it ever goes back to my entry point which was $0.09 or lower.

  • Eskay Mining Corp. (ESKYF) - Another junior miner I would love to get into on a pullback, just to have diversity.

Copper

Copper has been on a rip since the March dip. I have no positions in Copper miners because I don’t like buying anything on the high, but I have added these 2 miners to my watchlist if we get any pullback in Copper.

  • BHP Group Ltd (BHP)

  • Rio Tinto plc (RIO)


🔥 IPO Hotlist

IPO’s I’m monitoring this week:

  • Upstart Holdings, Inc. (UPST)

  • ContextLogic Inc. (WISH)


⚖️ Watchlist

Here are the stocks I’m monitoring this week for swing trade opportunities:

  • First Majestic Silver Corp. (AG) - Like I said, I’m more bullish on Silver, so keeping an eye on this.

  • NextEra Energy Inc (NEE) - The Energy Sector has been lagging for a little bit. But with all the uncertainty, Energy is an area I think is due for a reversal and has some upside. The only Energy stock I play is NEE.

  • Rocket Companies Inc (RKT) and Can Fite Biopharma (CANF) - These were in last wee'k’s newsletter, but may have additional upside this week again.


🍯 Bitcoin

Bitcoin has been wobbling between the $17,000 - $19,000 range so far, will continue to monitor the trend. I’m thinking of creating a Bitcoin section where I will curate and share more content around Bitcoin and Crypto, more to come.


🔗 Links

  1. Why Silver Is Your Best Trade Right Now - Stansberry Research

  2. All-in gold doesn’t make sense; silver, crude oil are the real winners - Kitco News

  3. Copper Rockets On Economic Recovery - Seeking Alpha

  4. Goldman says copper bull fully underway, sees all-time high in 2022 - Seeking Alpha

  5. Water Begins Trading on Wall Street in the Futures Market for Fear of Shortages - Entrepreneur.com


As always, this is not financial advice. I use this as a way to journal my thoughts and share with anyone else interested enough to want to read this.