Category Archives: Precious Metals

Post Stock Market Crash, Will Investors Look To Junior Gold Miners as a Hedge?

Post Stock Market Crash, Will Investors Look To Junior Gold Miners as a Hedge?
Despite equity markets hitting new highs many of the sectors were already in decline. This historic crash over the past week has been fueled by one of the most overbought markets that I can remember since the dot com bust. After the dot com bust investors sought out value in the deeply discounted commodity sector and junior miners. I expect history may not repeat but it should mimic. After the dot com bust junior mining was the place to be.
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Jeb Handwerger: “Picking the top 2 Stocks on OTCQX® in 2014 is a Great Blessing”

Jeb Handwerger: “Picking the top 2 Stocks on OTCQX® in 2014 is a Great Blessing”
In 2014, something very interesting happened. Despite the bear market in the junior sector, two mining companies, which I'm a shareholder of and which I spoke about numerous times in 2014, led the entire OTCQX. No. 1 was Western Lithium USA Corp. (WLC:TSX; WLCDF:OTCQX). No. 2 was NioCorp Developments Ltd. (NB:TSX). Western Lithium had a 2,566% increase in daily trading volume in 2014. NioCorp gained 394% in market cap. They were the top two of the best 50 OTCQX® companies. Picking the top 2 out of 10,000 public companies from all over the world during the worst bear market in mining history and an unprecedented stock market bubble has been a great blessing. This is why investors are attracted to the junior mining sector. If you do your homework and pick the stories that have exceptional fundamentals, you can realize exceptional gains. Two gains like that can offset a lot of losses.
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Six Junior Gold Miners Ready To Outperform In 2nd Quarter

Six Junior Gold Miners Ready To Outperform In 2nd Quarter
For weeks I have been telling subscribers that I have been waiting for a bullish reversal on volume to enter the precious metals market. That time may have come on March 18th when I sent out a report to my premium subscribers that gold turned bullish as The Fed was much more cautious about raising interest rates than the market expected due to the weakening of the overall global economy. This is the chart I sent them indicating gold was due for a major bounce and strong follow through accumulation.
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M&A in Junior Gold Miners Forecasting Sector Turnaround?

M&A in Junior Gold Miners Forecasting Sector Turnaround?
Gold stocks have been trading at huge discounts for years, but even rock-bottom prices couldn't entice takeover bids until the market hit bottom. The bottom is now here, says Jeb Handwerger, founder ofGoldStockTrades.com, and M&As are off to a roaring start this year.
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The 2 Junior Gold Miners Breaking Out Higher Despite Gold Correction

The 2 Junior Gold Miners Breaking Out Higher Despite Gold Correction
Only two weeks ago I published two reports on two junior gold miners on the verge of huge breakouts and bullish reversals. Despite the gold price consolidating over the past few weeks after a breathtaking January, these two miners are making great breakouts on huge volume on major fundamental and technical advancements.
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Junior Gold Mining M&A Increasing in Ontario, Quebec and Mexico

Junior Gold Mining M&A Increasing in Ontario, Quebec and Mexico
Gold and silver are possibly just starting the next leg of a move higher that may eventually move into record high territory. It is my opinion that $1900 gold and $50 silver will eventually be broken over the next 12-18 months as other markets such as equites, real estate, fiat currencies and treasuries deflate in value. The junior miners could move to the upside with greater leverage than bullion from these discounted levels as the majors search for replaceable reserves in the form of acquisitions. Open your eyes to the recent takeovers and large premiums paid in Mexico, Ontario and Quebec of Osisko, Probe, Rainy River, Cayden and Paramount by producers such as Yamana, Agnico Eagle, Coeur, Goldcorp and New Gold. This may be just the beginning of large premiums paid for quality gold mining assets in stable mining jurisdictions. (I forecasted Paramount and Probe as takeout targets in this interview from December of 2013)
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Fiat Currencies Are Crashing, Precious Metals Are Breaking Out

Fiat Currencies Are Crashing, Precious Metals Are Breaking Out
In late 2014, I expected gold to bottom and that there would be a massive January effect that would lift gold, silver and the junior miners in 2015. Currently, gold is breaking above the critical 200 day moving average and the critical $1300 psychological barrier on a breathtaking move of almost $200 an ounce in less than two months. The period of lower highs appears to have ended. However, it is reaching a short term overbought condition, so a correction or consolidation is warranted and quite healthy. Investors should expect a stabilization and look for a pullback to add to positions. The long term downtrend appears to have ended so the 50 and 200 day moving averages should act as magnets of support not resistance.
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GDXJ Breaks 50 Day Moving Average For First Time in Four Months

GDXJ Breaks 50 Day Moving Average For First Time in Four Months
Investors should specifically watch out for breaks of critical moving averages such as the fifty day moving average (50 DMA). A break above the line indicates a potential change in trend. The junior gold miners (GDXJ) have broken above the 50 DMA for the first time in four months. This means the probability of a change of trend has increased. Confirmation of a major bottom would be a break of November highs at $30.
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How To Find The Junior Mining Winners During a Historic Bear Market in Natural Resources

How To Find The Junior Mining Winners During a Historic Bear Market in Natural Resources
Despite the TSX Venture being down over 25% this year, three of our featured stocks had great gains. Niocorp (NB.V or NIOBF) is up 387% on the year, Western Lithium (WLC.TO or WLCDF) soars 127% in 2014 and Canamex (CSQ.V or CNMXF) rose 108% this year. In a historic bear market, 9 out of 10 stocks fail. As the old adage states, "When they raid the house, they get them all." However, I have been blessed in that most of our featured companies are hanging in there and two of them more than doubled and one almost quadrupled in one of the worst years in resource history. This indicates to me that our system of research and due diligence is improving and should show outsized gains once the 200 day moving average begins sloping higher.
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Swiss Vote Could Be Catalyst For Gold To Break Above 5 Month Downtrend

Swiss Vote Could Be Catalyst For Gold To Break Above 5 Month Downtrend
Its not just me that sees the value in gold, but entire nations. The Swiss voters on November 30th will decide to back the Franc with a 20% gold reserve with a pledge never to sell its gold again. If the Swiss approve this they would have to purchase 1,500 tons of the yellow metal. This is a significant amount considering the Russians bought close to 19 tons in October. Demand in China and India is still strong as evidenced by record coin sales and numismatic premiums rising. If the Swiss decide to back their currency it could be a shot heard around the world and could spark a global rush to buy physical gold and silver by other nations. Eventually, that change in psychology could affect our junior mining positions trading at pennies on the dollar to see explosive gains. Many Central Banks around the world have a zero or negative interest policy. This expansion of fiat currency on the market has never occurred before yet investors are flocking to the US dollar in record proportions. However, smart investors are already positioning ahead of the masses. When the US dollar bubble pops and follows other currencies lower, then gold and silver may appear as the new safe haven. It is at this time where our junior miners which are trading at pennies could be trading for dollars.
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