Investing

Gold/silver and miners...time to buy?

  • Last Updated:
  • Mar 28th, 2024 4:08 pm
Tags:
None
Deal Addict
User avatar
Oct 14, 2015
2116 posts
2515 upvotes
October 10, 2020 - By Jack Chan
Our proprietary cycle indicator turns up this week.

To public readers of our updates, our cycle indicator is one of the most effective timing tool for traders and investors. It is not perfect, because periodically the market can be more volatile and can result in short term whipsaws. But overall, the cycle indicator provides us with a clear direction how we should be speculating.
Due to recent strength in CAD, TSX Global Gold Index (XGD) is the only instrument that hasn't given a short-term buy signal.

https://www.gold-eagle.com/article/gold ... update-102
Newbie
Aug 16, 2016
97 posts
72 upvotes
Might want to take a look at wallbridge mining. I think it's a great longer term hold. Under $1 per share currently. Big gold exploration in Quebec and in Sudbury for nickel.
Deal Guru
Aug 17, 2008
10990 posts
13540 upvotes
Yamana Gold Expands Its Footprint in the Abitibi Region With Friendly Acquisition of Monarch
TORONTO, Nov. 02, 2020 (GLOBE NEWSWIRE)

https://www.yamana.com/English/investor ... fault.aspx
Answer not a fool according to his folly, lest thou also be like unto him = Never argue with an idiot, they'll only bring you down to their level & beat you with experience
Deal Guru
Aug 17, 2008
10990 posts
13540 upvotes


Or ...

Peak in gold price? Precious metal to drop below $1,650 in next two years, says Westpac

https://www.kitco.com/news/2020-11-23/P ... stpac.html
Answer not a fool according to his folly, lest thou also be like unto him = Never argue with an idiot, they'll only bring you down to their level & beat you with experience
Deal Addict
User avatar
Oct 14, 2015
2116 posts
2515 upvotes
The best newsletter writers have a gift for prognosticating in such a way that no matter what happens, they can say, 'See? I told ya'.

So I won't say that I know what The Rabbit means by the following short blogpost, but I think he is saying that the Black Friday Massacre was good for gold, and that he's short silver.

https://nftrh.com/2020/11/27/a-black-fr ... nd-silver/

I'll be adding to my miners today (Nov 30) if XGD is down 2% or more at market close.
Deal Addict
User avatar
Jul 5, 2008
2178 posts
2040 upvotes
By the Large Bay
bougie_44 wrote: So no one thinks the US economy is doomed except me, considering how much money they are printing, how much they consume, how little they produce and there national debt?
MMT economists say that printing money and balanced budgets aren't required, a balanced economy is.
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
shadowsteve wrote: MMT economists say that printing money and balanced budgets aren't required, a balanced economy is.
What about the money supply?
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
shadowsteve wrote: I'm not saying I understand how it works. Seems that as long as you don't have inflation you can print all you like. Lots of articles about the theory.

https://www.cbc.ca/radio/sunday/the-sun ... -1.5594636
It doesn’t work, hence the difficulty in understanding it. A fabricated economic theory devoid of logic designed to push an ideological agenda.
Newbie
Aug 16, 2016
97 posts
72 upvotes
Blue Thunder Mining Inc. $Blue is another one I'm in. I've had it for most of the year yet it looks like its trending to break out. Very impressed with the pdf document explaining their plan on website if interested for a read. More risk here though since its a penny stock at 0.12.
Deal Fanatic
User avatar
Jun 19, 2009
6135 posts
1981 upvotes
Scarborough
The op's name is one that I haven't heard in a long time... Anyone remember his big short on the Canadian banks? Funny how that one turned out
Deal Guru
Aug 17, 2008
10990 posts
13540 upvotes
GOVERNMENT OF CANADA REJECTS TMAC SALE TO SHANDONG GOLD MINING CO., LTD.
12/21/2020

https://www.tmacresources.com/investors ... fault.aspx

H/t Forexlive.com "Canada has rejected Shandong's bid for TMAC gold mining"
https://www.forexlive.com/news/!/canada ... g-20201222
Answer not a fool according to his folly, lest thou also be like unto him = Never argue with an idiot, they'll only bring you down to their level & beat you with experience
Deal Addict
Feb 15, 2013
1125 posts
540 upvotes
Toronto
anyone hold $PG (PREMIER GOLD MINES LTD). I am trying to figure out what will be the impact to $PG shareholders with recent "friendly" actuation by $EQX (EQUINOX GOLD CORP).. any know?
Deal Addict
User avatar
Oct 14, 2015
2116 posts
2515 upvotes
@gskn4u
Transaction Details

Pursuant to the Transaction, Premier shareholders will receive:

0.1967 of an Equinox Gold share for each Premier share held (the “Exchange Ratio”), representing an at-market acquisition based on the 10-day volume-weighted average closing prices for both Equinox Gold and Premier shares on the Toronto Stock Exchange; and

0.4 of a share of i-80 Gold for each Premier share held, providing a meaningful opportunity to participate in a new high-growth, US-focused gold company
https://www.premiergoldmines.com/
Deal Addict
User avatar
Aug 4, 2014
3963 posts
4723 upvotes
Toronto, ON
Anybody researched/invested/still holds HORIZONS ENHANCED INCOME GOLD PRODUCERS ETF (HEP) ? The performance was scary some years (-44% in 2013!) and it has a slightly negative total return since inception. But surprisingly it kept up with iShares S&P/TSX Global Gold Index ETF (XGD) and even outperformed at times:

8403FE14-47FC-4B09-BD11-6A671C440DE1.jpeg

For background, I used to hold gold bullion ETF, but decided against buying it (or gold producers) last year since I believed I missed the run up and didn’t have enough conviction that they’ll stay up. The reason I’m considering HEP now is because covered call strategy actually seems to produce better results with gold miners than the usual banks, telcos and alike due to higher option premiums I believe. And I’m willing to pay higher MER to test-drive it for higher yield (6.23% ATM) And yep, I’m aware that covered calls strategies underperform on the quick upside and don’t really protect from the downside. But a year or two of sideways action would be favourable, and those can’t believe I’m saying it “juicy distributions” should make its volatility more tolerable. Anything else to consider?

TIA! :)
Member
Aug 15, 2016
213 posts
378 upvotes
That's quite a unique fund, given that the majority of its yield is coming from the call options and not the underlying dividends which are more like 1 - 2%. Not sure if I understand it well enough to add much but the 8 years of relative consistent performance with XGD (including distributions) seems like a decent track record. I wonder if some of the gold miners will start rapidly increasing dividends over the next year with the high FCF yields and low leverage across the sector.

On another note, do gold miners generally perform well in periods of modest inflation? It feels like we are entering an inflationary environment and I'm thinking of different ways to hedge or protect against it.
Deal Addict
Dec 3, 2014
2348 posts
1840 upvotes
Ontario
Brewmaster7 wrote: On another note, do gold miners generally perform well in periods of modest inflation? It feels like we are entering an inflationary environment and I'm thinking of different ways to hedge or protect against it.
I think the answer is yes. Gold is essentially a leveraged play on the price of gold. Gold performs well in an inflationary environment, so should gold miners. Gold has actually held up pretty well while the miners have continued to slump. Next quarterly earnings gold miners should report another great quarter and hopefully momentum in gold names will turn.
Deal Guru
Aug 17, 2008
10990 posts
13540 upvotes
MrMom wrote: GOVERNMENT OF CANADA REJECTS TMAC SALE TO SHANDONG GOLD MINING CO., LTD.
12/21/2020

https://www.tmacresources.com/investors ... fault.aspx

H/t Forexlive.com "Canada has rejected Shandong's bid for TMAC gold mining"
https://www.forexlive.com/news/!/canada ... g-20201222
TMAC Resources Inc. to be Acquired by Agnico Eagle
January 05, 2021

https://www.agnicoeagle.com/English/inv ... fault.aspx

"... at a price of C$2.20 per share (the "Offer Price") in cash, which represents an increase of C$0.45 per share as compared to the offer price of C$1.75 offered by Shandong..."
Answer not a fool according to his folly, lest thou also be like unto him = Never argue with an idiot, they'll only bring you down to their level & beat you with experience

Top

Thread Information

There are currently 2 users viewing this thread. (0 members and 2 guests)