Joel Elconin – Have The Markets Simply Run Out Of Buyers?

December 6, 2022

Joel Elconin, Co-Host of the Benzinga PreMarket Prep Show and Editor of the PreMarket Prep website joins us to discuss the weak start to the week for markets. After Jerome Powell’s comments last week, that the markets rallied hard on the back of, we have seen markets correct back to those levels in just a couple days. It looks like the markets simply ran out of buyers. We discuss what data could move markets this month and even if the markets close off the lows of the year what it means for investor mentality heading into next year.




Click here to visit Joel’s PreMarket Prep website.

    Dec 06, 2022 06:03 AM

    Overall, the markets have run out of buyers. I was murmuring as much this morning. We should get a bit of a Santa rally starting the beginning of ? My two favorite stocks are getting some bids, Santacruz is up right now and I’m hoping for more by the end of the day, unless it gets bushwhacked again by the sellers; and Brixton is consolidating from its surprise move at the end of the markets yesterday. I believe Brixton will close in the green again today. LOL! DT😉

      Dec 06, 2022 06:04 PM

      Brixton is looking so strong. 😎

        Dec 06, 2022 06:59 PM

        Yes, SYL-BBB or Brixton Metals Corporation has a bit of a fan club here at The Korelin Report, it has been long in the making, but we must give Matthew the Kudo’s on Brixton. He brought it to the board’s attention a long time ago and furthermore he has remained steadfast in his endorsement of this stock from many, many, years ago. I’m sure Matthew remembers when he first began following Brixton. Well done, Matthew! DT

          Dec 06, 2022 06:33 PM

          Thanks DT, I’ve liked Brixton for many years now but was not the first here to talk about it. It sure has a lot going for it from several angles and that’s not including the great technical picture. There’s no telling how high it (and many others) will go this cycle because the big picture conditions haven’t been better for decades.
          And watch out for Kootenay Silver. It’s up 77% in 6 weeks and is barely getting started…

          Dec 06, 2022 06:34 PM

          DT – Brixton has been on an absolute tear lately for sure.

          I remember being invested in it and discussing BBB here on the KE Report back in the big run higher in 2016, and then trading around the position in 2017, 2018, 2019, 2020, and a little bit in 2021. I cycled thought the cost basis many times over but most of my larger position I sold in August of 2020 at much higher prices than where it is trading today, and then the balance in December of 2020 at prices that are pretty close to where things closed today (but significantly lower than where they were at peak PMs, so I regretted not blowing out the whole position in August in hindsight). Now, I did get back in Brixton again in late January & early February of 2021 and sold that in March of 2021 for a nice swing-trade, but then I made a bad trade getting back in during July of 2021 and selling that trade for a loss in August of 2021 negating much of the good trade from earlier in the year. Still overall, I made many more profitable trades in Brixton than losses and had a good run in the stock from 2016-2021.

          It’s been a while since I’ve been in Brixton personally, but am happy there are a number of people here on the KE Report, that have traded the stock well and made really nice gains in it lately.

          Kudos and congrats on the great trade folks!

    Dec 06, 2022 06:45 PM

    Here is some volume that no one cares about because managed money doesn’t profit from trading:

    Magna mining: 506,591 avg daily
    Surge Battery: 2.04 million avg
    Nine Mile: 634, 373 today
    i-80: 683,359 avg, 1.04 mil today
    BBB: 1.36 Mil today

    See…some of us have a market going on.

    Dec 06, 2022 06:10 PM

    Hi Ex, Santacruz has started to show some inner strength from that partial shellacking it took yesterday. Just a reminder, you notice I didn’t say I told you so. LOL! DT😉

      Dec 06, 2022 06:19 PM

      DT – That’s nice to see in Santacruz for sure. I’m a big fan of the company, and sold it because it has done so well compared to most of the pack and I wanted to book the gains this calendar year, while I have plenty of tax losses for the year to wash out the gains with. The other positions I sold that were up nicely in the green on the year (or for longer term gains 1+ years) were also some of my favorite positions.

      To be clear, I wasn’t selling them because I thought their moves were over… far from that. I want to book the gains I have now, and then start new trades in early January with a cost basis closer to where things are at today. Over the next 2 years, I hope Santacruz Silver, and the other stocks I sold blow the doors off things to the upside, and I’ll be back in them soon enough for the longer term picture.

      Wishing you great prosperity in your trading as always.

    Dec 06, 2022 06:27 PM

    A little note on HighGold Mining, when they raised almost $19 million in August last summer there were no warrants included in that package. That is worthy of note, a) the fact that they were able to raise all that capital without Crescat and/or Sprott,(and the warrants that attract them) should make the small investor think HMMMMM! b) that much money quickly in a time when it was difficult to get a large financing completed like now, surely says something about the management and the project. DT

    Dec 06, 2022 06:34 PM

    AGX is another one, nearly tripled this past year. Owned it earlier but sold for a much smaller gain.

      Dec 06, 2022 06:40 PM

      Hi Terry, I don’t like the fact their properties are in Peru and Ecuador, just too much risk in those jurisdictions from resource nationalism, especially when they have no qualms about publicly saying so. DT

      Dec 06, 2022 06:40 PM

      Terry – Synchronistically, we released an interview with Sebastion, the VP of Corporate Development for Silver X mining (AGX) just today, if you are still interested. It was a pretty good update, and they have a nice growth profile for production, development, and lots of exploration upside. To DT’s point, I’m not a big fan of the direction Peru is going politically or with regards to mining, but Silver X seems to be navigating that climate well and is doing a solid job as a company. I was considering a position in it a while back, and snoozed on it, and then noticed recently it’s really been on a tear higher the last few months. You snooze you lose as the saying goes…. 🙁

      If we see a nice pullback in the stock in the near-term, I may take a stab at a starter position in it.

    Dec 07, 2022 07:48 AM

    Information overload….well done gents. If it were golf season I won’t get up to date on all the interviews til the weekend. Kodiak should be mentioned for its run as well since bottoming out at .50

      Dec 07, 2022 07:40 AM

      Yes, indeed Wolfster. We posted a good update with Claudia from Kodiak on Tuesday as well, where she was excited about that new gold/silver Beyer Zone that they trenched, on trend from Man, and then they still have 2/3 of their drill holes still to report back over the next few months, so lots of newsflow on tap…

    Dec 07, 2022 07:37 AM

    This is my Darkhorse for the coming precious metal boom, Orea Mining Corp. TSX-OREA, a 5- million- ounce high grade proven gold deposit in French Guiana called Montagne d’OR, waiting approval of The French Government. Now selling for 8 cents CDN. DT

      Dec 07, 2022 07:23 PM

      I’m making no judgment on OREA the company but as soon as you introduce the word French into the location name, that introduces an unnecessary level of complications into the mix.

        Dec 08, 2022 08:39 AM

        Hi Brumple, fair enough, but if it hadn’t been for France’s stupidity this project would have been developed. The French are close to figuring out that their fiat currency The Euro is worth-less, and they will need to back some new currency of their own making with Gold. That is why this stock is my “Darkhorse”. The mine will be approved and Orea will get the mining rights which they will sell to another bidder. If you don’t understand what I am saying just read a few of their last news releases, you will see how the shift is happening. DT

    Dec 07, 2022 07:13 AM

    SLV looks great its gap-fill and backtest of recently broken resistance…

      Dec 07, 2022 07:23 AM

      Nice. Thanks for the chart. See Kootenay volume with nice bid @ .145 so that’s great to see as well…. Brixton seems to have a buyer coming in during last hr during this surprising strength upwards. Could almost sell at end of day and buy back in each morning. Lol