Post by
Countrygent on Aug 16, 2021 12:45pm
You Guys (and Gals) and misc. ...
I am a pretty solid reader of several BB’s so I grit my teeth and grind through all posts (except the few lunatics I have iggy’d) for TUD among some others.
July and August ... the drillers are up drilling, the brokers are off with the family wherever they can escape the normal treadmill, but most importantly, the punters go fishing or golfing or just unplug as well in large numbers, and volumes tend to sink, especially sectoral inflows, ie. it’s a seasonal cold and dull market. Trade such a market at your own risk ... although it is a great time to build or bulk up a position based on valuation metrics from prior drill seasons and old news.
Judging by the termper and content of dozens of petty and meatless posts, some people maybe need a summer hobby, or should like some (Doug?) do some hard reviews of old data and number crunch to set their trading metrics for future moves. Not naming names, it’s the equivalent of a bunch of tired, hungry kids in the backseat poking each other in the ribs and driving Mom amd Dad slightly batty by repeatedly asking “are we there yet.” We love you but please, behave.
As always, as people drift back to computer screens towards the end of this month, and first core of the season NR’s in the northern hemisphere start to tell the tale of who is drilling in hot camps, things will get relevant and interesting as we get past Labor Day.
My own opinion is the first element for being in the market in the junior PM’s is well established. A positive long term secular trend, and rising financial risks associated with overvaluations of perceived risk-off investments, rising anxiety over potential inflation, and most important, low to negative real rates on US dollar long bonds. A long chart showing dollar weakness doesn’t hurt either.
The prospects of positive news out of Treaty Creek infill, expansion and exploratory drilling are pretty positive too. As is the SEA roadblock across TC as the potentially economic deposits appear to be spreading across the potential tunnelling routes. More than ever the KSM-TC toehold would seem to be through the Amigoes. So I’ve been a buy and hold accumulator at what i’m betting are depressed valuations for the two amigos I favor - TUD and TUO.
POG will reassert I believe, then watch the inflows followed by price-up revaluations.
There is always a big volatility risk in this neck of the woods, but I’m liking the set-up for the few quarters ahead.
It has has been a weird and fractious time though ... from the day DT came down the escalator in NYC, to watching this pestilence recharge itself through the Delta variant in the Southern states, to skies full of smoke and crazy heat waves in my neck of the woods ... it’s a season of discontent I can’t wait to end.
Things will improve kiddies.
CG
Comment by
CobraShelby on Aug 19, 2021 10:20am
Really enjoy your post. Thumbs up. Habs Fan