Good Morning,
The first two charts attached below are visuals that September tends to be the strongest month annually for Gold stocks. I expect them to firm up as this week goes on then perhaps see some real rips in the second half of the month. Gold is sitting on 2 year lows with low volume and a great risk/reward entry level. Why? If it it breaks down below $1,675-$1,680 (2% lower than now), stop out and limit your loss to a tiny one. However, gold likes to jump from this area too and has seen numerous rebounds of 10-20% over the past 2 years. So, it's lined up nicely for a September rally that kicks gold stocks up. The juniors that have been have been completely coughed up with no volume or sellers left can recover 40-70% on a 10-20% rebound in gold prices with producers seeing 20-40% moves.
Third chart is Phenom Resources (PHNM/PHNMF), amazingly touching its ideal buy point again at/near .35-.40 CDN or .28-31 USD. Look at the chart, the exceptional support at .35 CDN and the repeated 50-100% gains over and over for those adding under .40 CDN and flipping a bit above .70. I personally believe the next test of the .70-.85 area will set up a base in which to explode well over $1 and not look back. There are too many substantive catalysts coming and this is a great chance to add if you do not have a meaningful or any position. I have well over $1M USD invested in Phenom and believe there is potential here to become a $20-$40 stock in 2024.
Lastly, Giga Metals (GIGA/HNCKF) ripped over 50% on news that Mitsubishi Corp has invested $8M for a 15% ownership in a new entity that 100% owns the Turnagain Nickel project. A swing trade flip was nice if you got 30-50% but it was brief. Now however, you can see on the last chart that the gap .34 has been closed and the stock is a long term strong buy, unlikely to fade back into the mid .20's in my view. I see another major institution needed to lock up nickel/cobalt/etc for their electric vehicle demand after 2025/2030 taking a stake alongside of Mitsubushi and likely for double the $53M valuation Mitsu received for being first to move.
Giga Metals has a pathetic $34M CDN market cap. When this market environment for junior exploration stocks turns, Giga will be a rock star that I see getting back to $1.50-$2 in 2023. I have a LOT of my personal wealth in these two stocks and they are my 2 largest individual stock positions. I have zero marketing or digital advertising arrangements with either of them, just LOTS of cash at stake! I'm extremely confident in many of my investments, particularly in these two which I consider Strong Buys at their current prices.
Get positioned in Phenom during this quiet and bad bear market for juniors then just wait. Could take 2 months or 2 years but if we're talking 10-20-30-50X, I love the Vanadium asset as defense protecting my downside while I bet huge on Dave Matthewson doing what he does best. Find huge new gold systems, new districts, and new mines around Nevada because that is what he does! And, they're getting close my friends, at both Smoke and South Carlin deep. Feeder zones......just a matter of time and my confidence is exceptionally high due to what Dave is seeing vs what he has seen in the past that turned into Monster deposits!
The key here is simple. Those who buy around current prices in the face of low liquidity and bad market for juniors are the ones that have very solid risk/reward in PHNMF/GIGA. If you wait until they start running, it's a problem. I'm licking my chops all summer since I'm not afraid to be most of the pathetically low volume in a stock I like. I made so much in crypto by nibbling away in the bear market and on big pukes.....that's how I literally took partial profits on 8 tokens in 2021 between 125X-650 times my money! Have to buy when down/quiet for biggest wins and junior miners have been beaten up too long/badly. Low downside left and very huge upside!
Eric