Comments on the precious metals correction, Inflection Resources, and District Metals

September 24, 2020

Erik Wetterling joins me today to share his thoughts on the correction in gold and silver. We look mostly at the underlying metals stocks and how much some are moving down. In terms of individual stocks we touch on Infection Resources (CSE:AUCU) and District Metals (TSX.V:DMX).

Click here to visit Erik’s site – The Hedgeless Horseman.

    Sep 24, 2020 24:31 PM

    Nice to get an update from the The Hedgeless Horseman…. Good interview guys!

      Sep 25, 2020 25:04 AM

      Thanks Ex! ๐Ÿ˜€

      I agree with all the people praising you. I remember you as one of the very first guides to me personally in this space. You have brought a lot of value to a lot of people sir!

      Best regards

        Sep 25, 2020 25:16 PM

        Thanks buddy. Erik you’ve done a great job with your in-depth research over at your site and have really grown into a fantastic expert in the Junior resource market (even though you always think Silver miners are overvalued… Haha! only kidding).

        I think back fondly to some of our initial chats over at in the #mbgtrends room back in 2016 and 2017 with @MiningBookGuy, @FundamentalAnalysis, @Jayfire, @Alan, @Zentrarian, and all the other characters that would come on for resource stock discussions or general horsing around and comedic rants.

        Keep up the great work amigo, and I’m finally back in Novo, and have been in Lion One with you, so looking forward to the long game and gradual wealth creation.


    Sep 24, 2020 24:01 PM

    Excelsior, yes the Hedgeless Horseman is always worth a listen. I reflect that he’s been a pro for a few short years. He’s earns whatever he gets.

    So why don’t you go pro? Because you are better. Day in day out you deliver the goods for free. Seriously, if your day job ever gets old…


      Sep 24, 2020 24:39 PM

      Thanks for the kind words blazesb. I genuinely appreciate that feedback.

      Personally, my day job was terminated back in May (along with about 1,000 others), due to a company-wide Covid-19 reduction in force. Yep, I’m one of stats of those that lost their jobs due to the pandemic and business shutdowns.

      I’ve been living off my severance package (which just ended) and trading full time since then, and considering what I want to do with the next chapter of my life. I did consider transitioning over to a content generator for youtube, focused around investing in resource stocks, but don’t feel I can add much more than all the others already in the space, and don’t want the heat of a fired up subscriber base at this point.

      For now, I just plan on sharing my thoughts here for free, but maybe not as much as in the past, as a few of the longer time contributors here let me know they skip most of my posts, and only a few people respond to most of them, so I get the sense I’m just spinning my wheels. It takes a lot of my time to research and post what I do each day, and we are getting ready to sell our house and do a big move, so I’ll be distracted from the markets over the next few months.

      Ever Upward!

        Sep 24, 2020 24:02 PM

        Start a GO FUND ME,,,,,,,if, the time arrives , that you think you might need some help…
        I am sure people would be more than willing to contribute…..JMO

          Sep 24, 2020 24:17 PM

          Thanks OOTB. I’ve also considered just sitting out by the side of the road with a cup full of pencils for sale and my hat out as another option.

        Sep 24, 2020 24:27 PM

        Ex, I think you would be wasting your life working for anyone else, your wisdom has been invaluable to everyone here. If you do, a number of us, me included, would want to know how we can stay in touch, especially if you decide to go professional. DT

          Sep 24, 2020 24:29 PM

          ditto……and heck, I promise not to heckle you,,,,,,,,,, ๐Ÿ™‚

            Sep 24, 2020 24:40 PM

            Haha! Thanks OOTB, although a little heckling is fine if it’s all in good fun.

          Sep 24, 2020 24:38 PM

          Thanks for saying so DT. I’ve run my own businesses in the past for over a decade, but just spent the last 2 decades after that working for corporate America. I’m in a state of flux at present, but have considered going back to work running my own business again at one point, and have considered just becoming a full time trader. There were many times over the last few months I was making more in a week than I used to make in a month, but the markets are so sporadic that I like have the main stream of income coming in from some vocation. Right now I don’t feel very professional though.

          Luckily, I’ve squirreled away savings for a rainy day, and we’ve almost doubled the value of our equity in the home, so that will give us a springboard to get started with the next chapter of life.

          I’ll stay in touch, and will still pop on here to post occassionally, but my lady wants me to focus over the next few weeks on the getting the house on the market. We’ve already filled up 2 storage units of stuff, and the trick now is going to be getting everything into 1 truck. Haha!

            Sep 24, 2020 24:57 PM

            Ex, I’m at a stage in my life where I find possessions to be a real drag, everything you own requires your time, and time is the most important commodity on this planet. Moving is very stressful because it takes years to get your possessions positioned where you have time to enjoy them. You are probably looking forward to moving but I don’t envy the process. DT

            Sep 24, 2020 24:00 PM

            DT………..You can say that again,,,,,,Moving is a pain
            And I agree,,,,,,possessions can be a drag,

            Sep 24, 2020 24:04 PM

            Agreed 100%. Time is the most valuable commodity, followed by health, followed by love from family and friends, followed by great memories and great travels, and then further down the batting order is wealth and tangible items.

            Yes, I also dread moving (which is why I’ve spent so much time here on the blog posting to shirk my packing duties… haha!), and we’ve been trying to purge a lot of the “stuff” we’ve accumulated over the years. Most people, us included, have too much stuff and it takes up too much space. For example, last night I burned 24 years of business papers in a fire pit, and released the past, to make way for a new future, and it felt good.

            Sep 24, 2020 24:11 PM

            A good rule of thumb is, “if you have something and you haven’t moved it for five years, you probably don’t need it.” DT

            Sep 24, 2020 24:14 PM


            Sep 24, 2020 24:33 PM

            Donโ€™t tell my wife about the 5 year rule.

            Sep 24, 2020 24:11 PM

            Hi Ex. I downsized last year after my last kid graduated from high school. I wanted to get lean and mean to minimize my monthly budget. It was sad getting rid of the homestead, but wanted to be prepared if the SHTF and I was out of a job. I still have a job for now, but as I am in apartment finance, I am under no illusion that it is forever. I wish you the best and I will miss all your commentaries and posts. I didnโ€™t always comment, but more often than not I admired you work and wealth of knowledge. Please donโ€™t completely vanish. We all need each other here at KER.

            Sep 24, 2020 24:52 PM

            Good comments Charles and thanks for the encouragement. We were used to a good income, and that is part of the reason my position was eliminated, as they could keep newer employees that made less. We’ve been blessed, and luckily saved for a rainy day, we have some good home equity, and luckily I’ve had my best investing year on record despite the market volatility, so I have that as a cushion. Yes, we’re likely going to rent for a year and feel things out, and get new careers going, but we know we’ll be downsizing in space and lifestyle for a while. We still have a lot to be thankful for.

            I’ll still pop on the KER from time to time, but it will be sparse for the next few months, and there are plenty of other great commentators on here offering great insights and reflections. Wishing everyone prosperity in their investing and hope folks have an excellent rest of the year.

            Sep 24, 2020 24:25 PM

            Ex: I think there is no other commentator like you when it comes to mining junior insights. I am always surprised what juniors you are all invested and what juniors you all know in detail.

            I am not a trader (you are much better in this) and I am not a technician, but I am a value investor – so I really appreciate your insights on juniors and markets (gold, silver, copper, lithium, …).

            I often skip Docโ€˜s comments, because I am not a technician and only read yours ๐Ÿ˜Š

            Sep 25, 2020 25:21 AM

            Thomas thanks for those comments. Wishing you the best, you are smart investor, and your analysis and raising potential red flags had me rethink a number of my assumptions on the companies we’ve discussed and was very helpful to me, and I’m sure educational to many. Keep sharing the great ideas.

            Gotta run… but much appreciated!

        Sep 24, 2020 24:29 PM

        Craig Hemke started about 10 years ago and was on a couple of sites as a member and because of his contributions, other members encouraged him to start his own site. He started at $10 a month and most of the issues were getting the mechanics of the site ironed out. I think he has a pretty good following. I would be willing to join your site as my interest is all the stuff you do for free. You have a lot to offer and maybe could pull in some followers from many other areas for reinforcement of ideas. I donโ€™t skip your posts but look for them.

          Sep 24, 2020 24:47 PM

          Much appreciated David. That’s a good point regarding Craig’s journey from Turd Ferguson on a blog, to starting his own site, to now hosting the Sprott Weekly Wraps with Eric. Quite a journey.

          Personally, I still have a lot more to prove to myself that I have something worthwhile to share before I’d go that direction, and ultimately feel, I should be able to maintain being a full-time investor 24/7 before doing something like that. I’ve been investing part time for 2 decades (but only 1 decade in the resource sector), and I realize every day how much I don’t know and still need to learn. Until I feel grounded that I can truly be financially independent off strictly my investing, then I don’t have any business starting a business that shows others how to invest. Maybe one day…

          Thanks again David.

            Sep 24, 2020 24:08 PM

            By the way, I greatly appreciate your input as well David, as well as all the regular contributors here at the KER. We’ve all shared a lot of great ideas and insights, and have learned and grown from all the great interviews we get here day after day, week after week. It means a lot to me to have received such nice comments today, and to have learned so much from the KER crew over the years.

        Sep 24, 2020 24:34 PM

        Sorry to hear how this pandemic impacted you Ex. I love all your comments. You do more than anyone or any site to keep me up to date! Please keep the comments coming.

        If you ever want to chat about starting your own thing or doing something more on hear I would love to help you out buddy ๐Ÿ™‚

          Sep 24, 2020 24:51 PM

          Thanks Cory, you’re a good man, and I really appreciate what you and Big Al have built here, and will keep commenting here at the KER; but likely just a little less moving forward, as my life is about to go through a big change into the unknown.

          On the plus side I’ll be moving a bit closer to your side of the continent, and we love visiting Vancouver, so maybe we’ll meet up at one point down the road for lunch and a few cool refreshing craft beers. Cheers!

            Sep 24, 2020 24:28 PM

            I look around at all my stuff and think I need to get rid most of it. But then I tell myself… the market is still open….

            Sep 24, 2020 24:47 PM

            Same here David. Although, my lady just got home and noted I hadn’t finished packing. When I told her I was busy in the markets most of the day, she gave me the look. ๐Ÿ™‚

            Sep 24, 2020 24:09 PM

            Same here, trading the volatility all day & freeing up some margin cushion. I’ve learned a boatload from Ex and trade a good number of his recommendations. Volatility is something now I (almost) look forward to. Thx Ex, & don’t wander too far

            Sep 25, 2020 25:18 AM

            Much appreciated Buzz. Yes embrace the volatility and best wishes to you in your trading.

            Sep 25, 2020 25:00 PM

            Yes please send me an email when you are going to visit Vancouver again. Would love to meet up for a few beers ๐Ÿ™‚

            Sep 25, 2020 25:19 PM

            Will do Cory. Maybe a 2021 trip to Vancouver will be in the cards. Until then keep up the great interviews and great site for investors. I’ll check in once in a while to post as time allows.

        Sep 24, 2020 24:38 PM

        Hey Ex, you have been such an active and valuable contributor to this site. You have relentlessly offered information updates and insights without asking much, if anything, in return. A few times I wondered to myself if you are getting kickbacks from the Ker site, or were one of the Ker Cabal. I cannot say that I click on every link you offer on your postings, but I do read everything you put down in words. Thank you.

          Sep 24, 2020 24:57 PM

          Thanks Canuckski. That is nice feedback and very much appreciated.

          Ha! No KER kickbacks here, I just really like this forum, the people on it, and am generally enthused about investing in the resource space and sharing ideas with likeminded investors. Thanks for sharing your insights as well, and I’ll try and check in once in a while, or at least read what others are posting to try and stay in the loop.


            Sep 24, 2020 24:11 PM

            Well, I’m wrapping it up for the night, and thanks again everyone for the nice remarks today from the KER family. Sorry if I miss any comments after this and it has been a pleasure chatting with you merrymakers and rascals. Hopefully you all make a fortune as this bull market is not over and despite the current corrective move, there are still big gains to be had.

            Hopefully I can get everything sorted out for the next chapter of life over the next 2-3 months and still check in once in a while, but I’ve wanted to take a breather from posting for a while anyway, and this seems like as good as time as any for a break.

            It has been a pleasure gentleman… Keep up the great site, and good luck to Cory and Big Al and all the KER crew.

            Ever Upward!

            >> Oh, and “Good Afternoon, Good Evening and Good Night”


            Sep 24, 2020 24:32 PM

            Excelsior: Ever Upward! …and thank you.

        Sep 25, 2020 25:29 AM


          Sep 25, 2020 25:02 PM

          Many thanks GrowingTrees. Blessings to you and your family as well.

        Sep 27, 2020 27:34 AM

        I am very sorry to hear about the job and your decision to wind things down here a bit. Incidentally, I have lost quite a few gigs since this pandemic rolled in and tore apart marketing budgets across the globe!!
        Anyway, taking time to Refocus, Reload and Rejuvenate is always a good thing in my books. This is the time we learn the most about ourselves and grow.

        Finally, I feel your deep research and insights into the hundreds of resource companies over the years has been a gift to myself and I imagine several others on this site. Although your daily posts will surely be missed, I hope to see the occasional “EX-deep-dive” work up here in the future! Again thank you for your amazing contributions to this blog.

          Sep 28, 2020 28:43 PM

          Thanks Confused, and yes great point on ” taking time to Refocus, Reload and Rejuvenate is always a good thing.” I’m glad that the research & insights was helpful, and likewise your insights and research was also appreciated. After the new chapter begins, and we get settled in our new lives my goal is to get more active after a few months of rest, but sure, maybe the occasional deep dive if an opportunity springs up. Cheers!

      Sep 24, 2020 24:09 PM

      Like FULL RETARD…..She was OUT SIDE…….400 Pounder, takes on 98 pound Girl,,,,,

    Sep 24, 2020 24:26 PM

    Ex ….Please dont go , at least not for good. You give so much of yourself to everyone here at the KER, for FREE , ( which is very rare in this world we live in today ).
    As you know , i dont own any stocks…just the real thing , but i read everything you post. Plus you have a Gread Sense Of Humour…..
    But having said that….you must DO what you believe is BEST FOR YOU & YOUR FAMILY.
    And always remember……………….NEVER LET THE BASTARDS GET TO YOU….X

      Sep 24, 2020 24:53 PM

      Thanks IrishT. I’m not going for good, just going to take a breather for a while as we sell our house, as I make my rounds to visit folks to say our goodbyes to an area we lived in a for a few decades, as we move across country, find a new place to live, and I find a new place to work. We reached the end of the line here, and I won’t have the time to follow the markets as close or post as often, as we are in “crunch time.”

      I’ll try to pop on the KER though from time to time, and throw in my 2 cents and humorous banter, and will do my best to not let the bastards get to me.

      Cheers mate!

        Sep 24, 2020 24:01 PM

        IF, and When, ,,,,I get kicked off again,.,,,,Who, is going to rescue me,,,,,,,, ๐Ÿ™‚

          Sep 24, 2020 24:16 PM

          I’ve always got your back OOTB, but I’m pretty sure Glenfidish has your back now too. I nominate Glen to take over on breaking you and Frank From Moscow out of KER jail, if the Owl carries you off…

          Regardless, Big Al stated he isn’t going to kick anyone else off the blog moving forward, and they just let Franky out of KER jail recently, so it’s a brave new world.

            Sep 24, 2020 24:18 PM

            Blessings to you and yours…..have safe travels,,,,,Best….Thank for everything….

            Sep 24, 2020 24:24 PM

            Hi EX….WOW…Does that mean we are going to get..( BIRDMAN ) back..I miss him….

            Sep 24, 2020 24:32 PM

            Thanks Jerry.

            IrishT – you never know… Birdman, Crazy Mark, and Heavy Hitter were kicked out but Owl fired all his ICE agents at the border, and is letting anyone into the country now. ๐Ÿ™‚

            Sep 24, 2020 24:32 PM

            Being the new guy on the block …suddenly I donโ€™t feel safe. Wait…I donโ€™t feel safe anyway…

          Sep 24, 2020 24:20 PM

          Jerry…..Me & the rest of the gang , here at the…

    Sep 25, 2020 25:51 AM
    Sep 25, 2020 25:00 PM

    Ex ,,,,,,,,,Has been a great blessing to all those associated with the Ker, for over a decade.
    Early from the beginning, he has contributed more than his FAR SHARE,,,,,
    He has been a HERO, to the cause, ,,,,,,,bailing my ass out more than I care to mention.
    We may not have agreed upon all topics,,,,,,,,But, 99 % we have agreed.
    Ex /Shad….Thank you very much for ALL you have done, because you have made the KER a daily ENJOYMENT, BAR NON,,,,,,Irish and I , have enjoyed your refreshing take on our BS session during the lull ……for many years,,,,,,,,,,,,KER OWES YOU A LOT,,,,,,,and the is NO BS,,,,,Respectfully Submitted
    Frank, O^OTB, J the Long,

      Sep 25, 2020 25:03 PM

      the to that,,,,,,,sorry for that distraction of usual typos

      Sep 25, 2020 25:10 PM

      Thanks Jerry the Long, OOTB, Frank from Moscow, Contrarian’s Contrarian Frank (CCF), The Claw, The BOOT, and friends.

      You and Irish have been good mates, and you were the first 2 guys I started reading here on the KER blog, and were the welcome wagon for new contributors and for me personally. I enjoyed your comical antics and informative posts back then and over the years, and I appreciate all your contributions and info shared for all to learn and be better informed. The only other folks I remember posting from back when you guys did, that are still around, are CFS, Matthew, and Ebolan, all part of the original KER crew. Much appreciated and keep up the great work man.

        Sep 26, 2020 26:19 AM

        +1 ๐Ÿ‘
        Somebody wrote a KER history script last winter. I think it was you, Ex?

        BTW: it doesnโ€™t need that much money to retire and enjoy the rest of your life
        Chuck Feeney just gave away all his money (I think he kept $2 million for living)

          Sep 28, 2020 28:45 PM

          Thomas – good memory. Yeah, I had done a “History of KER” post with chapters (mostly in jest, but also looking back on the blog history), and then OOTB added twice as many chapters of the book. I saved it all on a different computer, but will break the combined chapters again one day for a laugh.

        Sep 26, 2020 26:37 AM

        Ex…thanks and have a great weekend ๐Ÿ™‚
        Chapter 99……..EX Goes to Washington,,,,For Mountain Relief,,,

          Sep 28, 2020 28:43 PM

          Haha! Good one OOTB.

    Sep 29, 2020 29:48 AM

    Hope we get to add some more chapters……….. ๐Ÿ™‚

    Oct 05, 2020 05:38 PM

    Great interview and good points from Erik. Inflection Resources seems like an interesting company to look into. The technical team looks to be really strong on this one.