A look back to the best metals investments in 2020 and what’s exciting into 2021
I hope you all had a very Merry Christmas!
On this special Holiday Weekend Show I let my guests share some of their best stock performers this year and what they are excited about for 2021.
Please keep emailing me at Fleck@kereport.com. I thank you all for the emails this year.
- Segment 1 – Dave Erfle, Founder of the Junior Miner Junky kicks off the show by recapping a couple of his best performing stocks this year, Discovery Metals and Aftermath Silver. As for next year Dave outlines why he is excited about Silver.
- Segment 2 – Brien Lundin, Editor of the Gold Newsletter also mentions Aftermath Silver as well as a couple other silver stocks that did well this year. In terms of next year we discuss how he views optionality plays and different stage explorers.
- Segment 3 – John Kaiser, Editor of Kaiser Research recaps the year form Eskay Mining, Galway Metals, and FPX Nickel. He then shares some other resource sectors that he sees as attractive investments next year.
- Segment 4 – Simon Dykakowski, President and CEO of Aztec Minerals (TSX.V:AZT – OTCQB:AZZTF) wraps up the show with a recap of the drill results from the Tombstone Property. These drill results were the last of the Phase 1 program and were the best to date.
Exclusive Company Interviews This Week
- O3 Mining – Updating high grade results from the Alpha Property and the Garrison PEA
- GR Silver Mining – Recapping the Bulk Sample and drill results at the Polmosas Project
- Newcore Gold – Exploration Drill results from new targets on the the Enchi Gold Project
- Kuya Silver – A discussion on the 2021 work plans at the Bethania Property and more information on new Kerr Property acquisition
- Awale Resources – Drill results from the Empire Discovery Zone and 3 new targets all on the Odienne Property
- Allegiant Gold – Insights in the 15,000 meter drill program at the Eastside Property
Merry Christmas to the KER crew and to all, and to all a good night.
And Happy Boxing Day for those that celebrate.
Merry Christmas to everyone here in the Ker family! I appreciate everyone’s contribution to the site.
I wish everyone the best of health, happiness and peace!… and wealth too!!! 🙂
Joe Mazumdar on 2020 M&A activities
EB Tucker: Gold Price Train Will Come Once, Why You Need to Get On Board Now
Stansberry Research – Dec 22, 2020
“As part of the Outlook 2021 series, Daniela Cambone speaks with EB Tucker, author of “Why Gold, Why Now,” about the best trades for 2021. “Biden will be a low dollar president and there are certain trades that will perform better,” Tucker says.
David Stockman – Stock Market Is Massively Overvalued With Mother of All Bubbles Waiting to Collapse
Stansberry Research – Dec 24, 2020
As part of our Outlook Series 2021, David Stockman of Contra Corner warns Daniela Cambone that the new year will not be any better than 2020. Pointing to an overvalued market and government that has been led astray, he predicts 2021 will be “the year after the joy ride with a massive accident waiting to happen.” Stockman asserts that America is treading uncharted waters, and “the longer it takes to correct, the more disastrous the crash.”
Ed and Ash’s Holiday Send-Off: Looking Ahead to 2021
Real Vision Finance – Dec 23, 2020
“They will answer audience questions, provide an update on what they’re seeing in markets this holiday season, and look ahead to the opportunities and macro risks for 2021.”
Kevin O’Leary’s Top 2021 Investments And Why He Is Bullish Gold
Kitco News – Dec 23, 2020
Kevin O’Leary, chairman of O’Shares ETFs and star of Shark Tank, said that the digitization of America is here to stay, even if the economy opens up again.
0:00 – Outlook on economy
2:30 – Digitization of economy
3:48 – Monetary policy and best sectors
5:13 – Tech sector valuations
6:59 – Gold and bitcoin
9:42 – Gold mining stocks
Gold price to breach new all-time highs by Q2, 2021 – Gary Wagner
Kitco News – Dec 22, 2020
“Gary Wagner, editor of TheGoldForecast.com, said that gold may see some more pressure in the short-term, but will rebound to new highs towards the second quarter of 2021.”
“Wagner is also constructive on silver, seeing the gold-silver ratio dropping to 65, while being bearish on the U.S. dollar.”
Jeff Clark: Last Great Buying Opportunity For Gold
Palisades Gold Radio – Dec 21, 2020
I agree with Oleary about gold mine managment.
Bob Moriarty: We’ve Seen The Bottom For Gold And Silver, Junior Miners Will Be Up Substantially A Month Or Two From Now
by Ceo Technician (aka Goldfinger)
> Goldfinger: “There’s been a few points I made in my morning emails in the last week or so. The first one is that according to Goldman Sachs Prime Brokerage, which is definitely a very good source of getting a good grasp of the market landscape, hedge fund net exposure is at or near record levels. Hedge funds are very, very bullish on the stock market right now. Another key point is cash balances are down to an average of 4%. Potentially even lower than 4% because all of this data that we get is usually a week or two old. Cash is trash, nobody wants to hold cash, and everybody wants to be bullish on tech stocks, the stock market, long Bitcoin, betting on a reflation trade. The call/put ratio is now at January 2018 levels, and we know what happened next.”
“Now, can they all be right? Is it really that easy?”
>> Bob Moriarty: We’re at an extreme of emotion and the next major move is down, and down in a” serious way. That would be true of Tesla, that would be true of Bitcoin, that would be true of Robinhood, and absolutely NASDAQ. The S&P, and the Dow are not as extreme but yeah. We are beyond 1929. We are beyond 1966. We’re beyond the year 2000. We’re absolutely in never never land. Now I don’t know that the dollar is going to continue to crash. I’m not very good at forecasting currencies. But if you think 2020 was bad, I think 2021’s going to be worse.”
> Goldfinger: “Let’s turn to the junior mining sector. We’ve had tax-loss silly season for the last few weeks. We’ve seen a lot of different companies, their shares tumble. I can say that I have used these last couple weeks to accumulate some of my favorite names. What have you been buying and what would you be buying here today in the junior mining sector?”
>> Bob Moriarty: “I have been buying for the last month, and they’re stocks that I’ve talked about for months. I’m going to give you a perfect example. NuLegacy (TSX-V:NUG) just came out with so-so results yesterday and the stock went down to $.11. It was down more than 30%. Today it opened and went up to $.155, $.14 now. There are a lot of bargains now. When the Federal Reserve comes out and says we want inflation, when a new President comes in who says he’s going to be accommodating, we’re going to light a bonfire under gold, and silver, and platinum, and the junior markets. Tax-loss silly season is ending right now, and I expect almost all of juniors to be up substantially in the next month or two. I think we’ve seen the bottom for gold and silver.”
Dec 27 Gold – The bull market continues Florian Grummes MidasTouch
321 gold
Sounds like this fellow agrees with Bob.
I agree with Bob and I think Adam Hamilton does too. It’s bullish that the silver juniors bottomed way ahead of everything else. It seems those with the greatest leverage to silver bottomed first and I can see why considering where silver is going. IPT bottomed in August, SILJ bottomed in September, HL bottomed in October and PAAS and SIL bottomed in November like the gold stocks. I can’t remember ever seeing such an obvious bullish disconnect before. At the bottom of the bear market 5 years ago (Jan/16), SILJ, SIL, GDXJ and GDX all bottomed at the same time while IPT bottomed a week later.
Priced in GLD, SILJ made new 30 month highs last week and the week before while also achieving back-to-back weekly closes above the 233 week MA for the first time in 30 months. The last 6 months of action has provided a good looking base to launch from:
https://stockcharts.com/h-sc/ui?s=SILJ%3AGLD&p=W&yr=5&mn=0&dy=0&id=p54344465365&a=862287736
Agreed Matthew. It is very bullish that the Silver stocks bottomed first (in order of their exposure to silver versus more gold in the mix that bottomed later with the gold miners), and that they have taken off first. This is bullish for the whole PM sector.
I also agree with Bob & Goldfinger’s point that after tax loss silly season, that we seasonally see a strong run in the PMs, led by the silver stocks, for the Q1 Run in Jan & Feb & early March. Looking forward to that same kind of seasonal pattern playing out in Q1 2021.
This chart from the LBMA on the “Historic Probability That Silver Rises In A Month” was embedded in the article linked further down in this thread titled “Why The Silver Rally Will Continue.”
According to their research there is a seasonal tendency for Silver to rise 65% of the time in January and 63% of the time in February, and those are the 2 strongest months of the year for the metal. Obviously this is bullish for miners with exposure to Silver.
https://static.seekingalpha.com/uploads/2020/12/22/489376-16086451575170295.png
Thanks Matt and Ex for your dialogue.
2020 Finally Draws to a Close
December 22, 2020 – Craig Hemke
https://www.sprottmoney.com/blog/2020-Finally-Draws-to-a-Close-Craig-Hemke-Dec-22-2020
Gold Price Update – December 24, 2020
iGold Advisor – Christopher Aaron #TechnicalAnalysis
WHAT TO EXPECT IN 2021 PART II – GOLD, SILVER, AND SPY
December 24, 2020 – The Technical Traders – Chris Vermeulen #TechnicalAnalysis
“We will start out focusing on the Gold Futures Weekly Chart. Overall, the ADL Predictive Modeling system is suggesting a moderate melt-up in Gold prices – targeting the $2200 to $2400 level throughout the first 6+ months of the year.”
https://www.thetechnicaltraders.com/what-to-expect-in-2021-part-ii-gold-silver-and-spy/
Why The Silver Rally Will Continue
Dec. 22, 2020 – QuandaryFX – Seeking Alpha
https://seekingalpha.com/article/4395837-why-silver-rally-will-continue
Silver Junior Mining Stocks Telegraphing a Move Higher says David Erfle
MiningStockEducation – Dec 22, 2020
0:45 Bullish on silver & silver miners
4:20 What genre of miner within sector is positively bifurcating?
5:20 Gold optionality plays
6:52 Non-precious metals commodity you are paying attention to?
8:35 Non-top-tier management running a decent junior miner
10:25 What you learned in 2020?
12:34 How would a Biden admin effect your approach to U.S. mining investing?
15:03 Final advice
Investing In Commodities, Uranium & How To Make Money In The Stock Market In 2021 – Ferg
I Love Prosperity – Dec 24, 2020
Ferg has got the market figured out, BUY COAL, I never that I would say that but it makes me laugh! DT
DT – I’m considering some exposure to coal royalties as one of the asset classes held in the royalty portfolios of both (ALS) Altius Minerals and (APY) Anglo Pacific Group.
Anglo Pacific Group Royalty holdings:
Altius Minerals royalty holdings:
…speaking of royalty portfolios… I just picked up a position in (SAND) Sandstorm Gold last week, and was quite impressed with their production, pre-production, development, and exploration royalties.
Funny Ex, recently I was thinking of taking a position in Anglo Pacific Group, about three months ago I started noticing how many share buy backs they were doing and I started some research. They looked really interesting at the time, thanks for mentioning them again. DT
Yeah Anglo Pacific, Altius, and Nova Royalty look good for base metals and commodities royalty plays.
Personally, I’m up to 9 precious metals royalty companies and have found those more compelling investments to date and in the short to medium term. I just added Sandstorm, Elemental, Vox, and Ely recently.
(ELE) (ELEMF)Elemental Royalties Reports Strengthening of Counterparties On Key Royalties and Provides Exploration Update
21 Dec 2020
– Equinox Gold Corp. (EQX) announced the acquisition of Premier Gold Mines Limited (PG). Elemental owns a 1% Net Smelter Returns (“NSR”) royalty on Premier’s Mercedes Mines, a key asset in the Premier portfolio, which becomes payable to Elemental from July 28, 2022 following a time hurdle
– Endeavour Mining Corp. (EDV) announced the acquisition of Teranga Gold Corp. (TGZ). Elemental owns a 1% NSR royalty on Teranga’s Wahgnion Mine
– Panoramic Resources Limited (PAN.AX) announced the sale of 80% of its Panton project to Great Northern Palladium Pty Ltd for A$12 million. Elemental owns a 0.5% NSR royalty on the Panton project
https://ceo.ca/@newswire/elemental-royalties-reports-strengthening-of-counterparties
Four Aussie companies have plans to mine metallurgical coal in Southern Alberta, Canada. The Provincial gov’t is all for it, but land owners and enviros are not; probably the Feds won’t like it either, if for no other reason than it is not in Quebec.
“Meet the Australians”:
RIVERSDALE RESOURCES
MONTEM RESOURCES
ATRUM COAL
CABIN RIDGE
https://thetyee.ca/News/2020/10/09/Australian-Invasion-Big-Coal-Plans-Alberta/
In particular, it was Ferg’s comments on Uranium that resonated most with my investment outlook. The Uranium stocks have been on a good run the Spring, and they may still have more spring in their step in the year to come.
I hold positions in only 5 Uranium companies at present, but I will likely double the holdings up to about 10 positions over the next year.
The other stealth bull market in the energy sector this year has been in Lithium production and preproduction stocks, but it is rare to hear anyone discussing this on most resource platforms or forums. I’ve got a handful of positions that have done well overall, and am debating just letting them keep running and possibly adding a few more.
I already had positions in Metalla, Maverix, Nomad, Sailfish, and Golden Valley for a longer period.
That comment was supposed to go up above under the royalty companies discussion.
SQM might be a save bet. They plan to more than double lithium production
Thanks Thomas. Good point on SQM growing it’s production.
I’ve done well lately in Orocobre, Pilbara Minerals, Galaxy Resources, and Lithium Americas Corp.
Some others I’m considering are Bacanora and Critical Elements.
I recently accumulated some Galleon Gold and like the way it is now technically set up…
https://stockcharts.com/h-sc/ui?s=GGO.V&p=D&yr=1&mn=1&dy=0&id=p38372941292&a=849930859
Hi Matthew,
I’ve been holding Galleon for the past 1.5 years, so am glad you’re joining in. 🙂 About 3 months ago, I was thinking it was time to move on but have been trying to practice patience with my investment decisions because I felt there was something there. So, really glad you shared. Thanks.
Hi Canuckski, thanks, that’s good to know. I definitely think it has something but couldn’t buy it when it spiked in June and wasn’t following it before that. So I’m glad it came back the way it has and in a measured and low volume (bullish) fashion. For what it is, it looks like a low risk setup now and it doesn’t hurt that it is cashed up with over C$8M and Sprott owns 23% of it.
https://stockcharts.com/h-sc/ui?s=GGO.V&p=D&yr=0&mn=8&dy=0&id=p61081588335
The next area of big-picture resistance for silver is above $38 and I bet it will be challenged in the first half of 2021.
Monthly:
https://stockcharts.com/h-sc/ui?s=%24SILVER&p=M&yr=20&mn=0&dy=0&id=p09608934556&a=805572923
Interesting Matthew as $38 is still a fair way off. Im not suggesting your wrong but that would be a major boon for silver if it were to challenge this price range in the next few months.
I agree that it will be a big deal. I called it a “big-picture” resistance because there are other less significant resistances between here and there. Of those, the one near $35 should be the most formidable.
Corrections such as the 5 month one we’ve had so far are great at resetting sentiment because they cause the majority to doubt the bullish case. What the majority doesn’t know is that such corrections are needed to keep the bullish case viable.
Silver moved up 25% in the last month but you wouldn’t know it based on investor fear levels right now, and that’s how it should be. The “wall of worry” has been rebuilt and the whole sector can now resume what it started in the spring. The coming advance is likely to be more powerful than what we’ve seen so far.
https://stockcharts.com/h-sc/ui?s=%24SILVER&p=W&yr=5&mn=0&dy=0&id=p96495422225&a=862056438
I agree wholeheartedly with pretty much everything in that last statement and hopefully it all comes to fruition. However with covid continuing to hover throughout the vernacular, I remain somewhat cautious.
Bitcoin is hitting all time highs again, currently at $27,500+ Crazy action.
The link above has many altcoins and cryptos, but this link is just honed in on Bitcoin:
Bitcoin got up to $28,387 in overnight trading, but has pulled back down to the $26,600’s at this time. That was quite a surge yesterday into last night.
I’m hoping for the sake of my position in GBTC that it surges again into tomorrow’s trading session.
Ha! I’m doing my best to HODL my (GBTC) Grayscale Bitcoin Trust position. I acquired the position at $11.20 -$13.60 range from August – October in 4 tranches, and sold 1 tranche on Dec 21st at $30.48. for a 240% gain. I’m not going to complain about gains… 😉
[However, those gains pale in comparison to the returns of 1,000% – 2,000% gains that folks have been peeling off from the crypto mining companies since the beginning of the spring. If only I had added a few of them during the mid-March sector lows, they would have dwarfed the 300% gains I got from the mining stocks, but that is the way the cookie crumbles.
It will be interesting to see how much of this move that Bitcoin, Ethereum, Ripple, Litecoin, etc… will be able to hang onto, if it blast higher, or we just saw the holiday top.
Honestly, it’s so bubbly that the froth may just keep rising in the cup… lol. Cheers!
Who would have thought…..Sorry, we gave John K. so much grief….Bobby M. , sure was lost on the other run up…..”nobody knows anything”…lol
Glad you are riding the wave….
Thanks for sharing.
Thanks OOTB. (GBTC) up 13%-15% today in the $30 – 32 range most of the day.
Buzzed On Crypto
by @Goldfinger on 28 Dec 2020
“It never ceases to amaze me how markets so often rhyme, but not quite repeat. If I didn’t know it is December 28th, 2020 I might have guessed that it is December 28th, 2017. The current crypto euphoria is of course only rivaled by the blow-off top the sector experienced exactly three years ago.”
“While crypto is clearly here to stay, in one form or another. We are seeing incredible levels of greed displayed by relative newbie investors who suddenly believe that Bitcoin can only go up. Many of these same characters also believe that their short term TSLA call options can also only go up.”
“A textbook bubble occurs when a combination of extreme euphoria among investors mixes with the suspension of disbelief and a healthy dose of leverage. While we may not be there yet, we are well on our way there.”
“We might not be drunk just yet, but we certainly have a good buzz working.”
“Gold, in all its forms (ETFs, futures, physical), is now old hat for the novice stock market/crypto gamblers who prefer the ability to double one’s money in a single trading session. Remember, prices can only go up. ”
“While gold can’t shake a stick at Bitcoin or TSLA’s performances in 2020, it was never meant to compete with either of them. Gold is a tried and true store of value, and it has been exactly that in 2020. Gold will continue to be a store of tangible value, even if we are increasingly living in an intangible world.”
“In recent weeks, many people have asked me for advice on cryptocurrencies and stock market plays on crypto. I have been reticent to offer such advice due to the innumerable pitfalls and frauds that are out there. Bitcoin and Ethereum are the best and simplest ways to own cryptocurrency and while they may not produce 200% overnight gains, they also won’t fall 95%, or got to zero.”
“Keep it simple stupid.”
Yes…………..KISS……………. 🙂
Thanks for the mention Jerry.
I totally nailed the first run in Bitcoin, but didn’t buy back in.
Here’s a flashback. Remember when I use to put them in the Dinosaur parade?
https://www.rockwell-center.org/wp-content/uploads/2010/04/dinosaur_parade.jpg
Our buddy Rick A also ate some serious crow.
Ditto JOHN K……….I remember, ……and that is a good memory,…….
Well, we could all use that to our advantage going forward….
At least we know who has done their homework and certain issues…..
Appreciate you reading the post, ….
On certain issues……continued…..
And who to respect their work later.
Nothing has changed about BC. It is still the same extremely speculative no-thing that it was 3 years ago and remains impossible to value.
Those who compare it to gold don’t know what they are talking about.
Matthew……..I certainly agree, with you, concerning Bitcon…..
I have none, and will most likely never buy any.
I will just stick to the … KISS…GOLD MODEL….. 🙂
I am currently in Antioch, TN and choose not to make comments other than post URLs.
I lived in (L.A. – Lower Antioch) in 1998-2000; until I was robbed, and my neighbor was robbed, and my friends co-worker was stabbed in the kidney at Hickory Hollow Mall.
CFS – get the heck out of Antioch, and go 20 minutes in any direction, and then Nashville is a great a city.
Turkish fertilizer producer claims found $6 billion gold deposit
@ kitco for anyone interested in investing in Turkey
KInd of important……
Bill Still ….concerning the vote……folded ballot scanner….
https://www.youtube.com/watch?v=C-hKRZF1x-8
A solid day again in the markets, with most assets classes up nicely on the day on the news of the monstrosity of the stimulus bill being signed. Most miners with US tickers or US OTC tickers are up quite nicely today. It’s a shame the Canadian markets are closed today.
Merry Christmas to Everybody