Stocks / Share & Daytrader

[rsot]

Mining has been ripping it up

[123]

Originally Posted by vogeltron

To be honest I spend lots of time listening to as many people I deem to be smart as I can find on YouTube and reading lots of great articles. Also understanding that they have may certain bias, etc and keep that in mind. Still they have much knowledge to offer. You get that from a variety of sources and on top of your own research you can establish a very informed opinion.

My focus is the resource sector but from time to time I find things I believe are highly undervalued. As to why I have invested in places like Russia who got crushed and are now coming out of economic sanctions a place that everyone hated. Right now I am looking at different opportunities in Brazil because they are basically in a depression.

With regards to commodities and resources they are highly cyclical. They go often times through 3-5 year boom and bust periods. Where capital gets mis-allocated. Like right now in Oil due to the lower Crude prices many large firms have cut back on exploration and development. Exxon is the prime example their credit rating cut and cutting back on CAPEX. Meaning in the future there will become a shortage several years down the line. This does not necessarily mean the lows have passed for Oil but it gives you an idea of of an area to keep and eye on learn about the sector. This is how my view of Uranium is at the moment.

I am a cycles person more than anything. Trading stuff in mature markets is not for me. I like be a contrarian investor in things that I have an understanding of. In the resource sector a stock might drop 70% from its highs not because the business has changed but because the price of the commodity has fallen dramatically.

As mentioned I look for industries and also places in the world that have been crushed. Do as much research as I can making sure that business is still sound. I don't invest in things like Sears that are on deaths door-nail just because they are cheap or PeabBody coal because of pollution its a dead industry.

I invest in things I find where the price can go up and will go up. It is peoples negative sentiment or emotions that are killing it. Resources are very similar to tech in the sense that there is a development stage and a peak stage. They are no heirlooms to children, as good as they may be you may need to walk away at some point. Blackburry, Myspace, Aol, Netscape, Yahoo, Dell, all had days when they were king and are now fractions of what they use to be. Even eBay one near and dear to many of us.

You really are finding a Jockey (CEO) who can pick a good horse (Company/Project) in a depressed market and riding that thing as far as it can go before it looks tired and need to dump it not emotions attached. You must be willing to ride it out though. Like with Gold and Silver mining stocks I thought the bottom was in in early 2014. I rode many down significantly before the turn, constantly adding to my positions. Now it looks like a new bull market has broke out and its been nuts!!! Things I bought that had been down since 2013 are now positive. Positions I added to in November 2015 and Jan 2016 are up 100% or 200% respectively. There easily could be a pull back we will see. Nothing goes up in a linear fashion.

I can not stress enough truly digging into what you invest in and understand the sector. I take high risk high leverage positions knowing I could lose it all. But I am very comfortable with it.

Great write up, thanks for the interesting perspective! I feel like I rarely have time to do research nowadays and base a lot of my investing decisions on companies I personally believe in. Sometimes it goes well like amzn and others not so well, etc

But in the coming months I'm going to make an effort to really start researching stocks etc

[ak_am]

For UK FTSE would recommend iii.co.uk if that helps some1
not an advert just my own preference..very hot discussion board with Tons of UptoDate info's

[vogeltron]

Well my Gold/Silver mining stocks are up 300-500% in most cases. We will see what future holds. Looking to take profits soon and go hard on Uranium Mining/Exploration stocks.

[rsot]

I have been looking at a few of the other stock markets....Australia and Japan as a research thing right now - I didn't use software but I did get some Nintendo stock for the h*ll of it through a bank contact with HSBC

[vogeltron]

Originally Posted by rsot

I have been looking at a few of the other stock markets....Australia and Japan as a research thing right now - I didn't use software but I did get some Nintendo stock for the h*ll of it through a bank contact with HSBC

Haha, I saw Nintendo was the most traded stock ever in a day for Japanese company because of Pokemon.

[GreenBean]

Originally Posted by vogeltron

Well my Gold/Silver mining stocks are up 300-500% in most cases. We will see what future holds. Looking to take profits soon and go hard on Uranium Mining/Exploration stocks.

We always seem to be waiting for what the future holds in our family.

I concentrate on silver. I drive them nuts. LOL.

Older brother is in a similar place to you. Going to depend on what happens in Turkey, at the moment, though.

[vogeltron]

Originally Posted by GreenBean

We always seem to be waiting for what the future holds in our family.

I concentrate on silver. I drive them nuts. LOL.

Older brother is in a similar place to you. Going to depend on what happens in Turkey, at the moment, though.

Yea, I think Metals should continue do well. The mining stocks are getting a bit crazy. Some complete garbage companies are going up like 500%. Anything that is on a US exchange is catching a bid.

There is nothing like investing in resource stocks. When you learn how to find good companies at the bottom of a market and are willing to wait it out and add your position. The returns can be surreal. On the flip-side if you buy at top you can lose 70-90%. It is extremely cyclical.

[elmo]

Been trading for about 9 years now.

The only sector I'm currently trading is oil. It's the only sector currently undervalued.

Small cap oil stocks will have the best returns but the highest risk. If you can find undervalued small cap companies with solid financials (low chance of BR) you'll make a lot of money in 1-3 years

[vogeltron]

Originally Posted by elmo

Been trading for about 9 years now.

The only sector I'm currently trading is oil. It's the only sector currently undervalued.

Small cap oil stocks will have the best returns but the highest risk. If you can find undervalued small cap companies with solid financials (low chance of BR) you'll make a lot of money in 1-3 years

I would disagree that its undervalued. In my opinion its still over valued. American shale is still producing at major losses because no Banker wants to go out and environmentally reclaim a well so they extend and pretend. Same with Canadian producers who get lower prices than Brent or WTI. Not to mention large low cost producers like Iran aren't even fully on online yet. There is a major supply glut and nobody will cut production.

In my personal opinion oil is headed lower. I think there are bunch of horrible energy loans that people purchased indiscriminately looking for yield the past 5 years. When the sector blows up I expect they will sell indiscriminately. I can't wait to shift through the carnage.

[rsot]

CIBC sells negative-yield bonds for 1st time - Business - CBC News

[vogeltron]

Looking for about $30 USD Oil and several Shale oil bankruptcies before I deploy my cash in the Oil sector. When this happens there will be great opportunities for people who buy with a 5 year time frame.

Those individuals will have to do their due diligence but the Deep Sea Drillers which are already down 90% will be even more of a bargain. Even some of the large caps will be good buys. Personally I plan on skimming through the Junk bonds and will enjoy the wreckage.

Natural Resources are highly cyclical!!! High prices cause over production, low prices cause under investment in resource development. The boom creates the bust and the bust creates the boom.

Uranium right now is trading at $25ish spot price per pound. Any new production costs $60 or more to come online. The cure for low prices is low prices!!! You have more reactors coming online than pre-Fukushima. In the land of the free everyone hates Uranium but they expect the lights to come on when they flick the switch. In places like China the air is so bad the governments are doing everything possible to get rid of Thermal Coal power plants. Nuclear energy is zero emission fuel. One Barrel of yellow cake equates to thousands of barrels of oil or natural gas.

Uranium producers are bargains. Cameco is the one invest grade company. If you dare to venture in the the small caps UEC, UUUU, as well as some of the exploration companies in the Athabasca basin are dirt cheap. You can thank me in 5 years when your investments go up 5-10x or more. Do you due diligence.

[agent-x]

Originally Posted by elmo

Been trading for about 9 years now.

The only sector I'm currently trading is oil. It's the only sector currently undervalued.

Small cap oil stocks will have the best returns but the highest risk. If you can find undervalued small cap companies with solid financials (low chance of BR) you'll make a lot of money in 1-3 years

What oil shares are you currently holding?

COPL seems to the oil share this year HUUUGE potential

[oompaloompa]

did you see the mylan stocks go down and the controversy due to them hiking their epipen prices??

I was sooo surprised to see the cost, even if it is just the deductable you guys pay in USA.......we are subsidised over here and pay between 0 and £8.50, this literally means I have $1200 worth of epipens in my handbags! If you guys want my nearly expired ones, you'd be welcome!!!!

[ak_am]

Originally Posted by vogeltron

I can not stress enough truly digging into what you invest in and understand the sector. I take high risk high leverage positions knowing I could lose it all. But I am very comfortable with it.

that's the way!!
as long as using that Rider with his crazy Horse (CEO/Company) only as a Taxi cab to your Own Destination

[vogeltron]

Originally Posted by ak_am

that's the way!!
as long as using that Rider with his crazy Horse (CEO/Company) only as a Taxi cab to your Own Destination

In the Junior Natural Resource sector which I am primarily in. People are more important than anything. Just got back from the two Gold and Silver Summit in San Francisco. It was awesome to meet with legendary investors like Rick Rule and Marin Katusa, Doug Casey, David Morgan, etc. As well as about 40 different companies.

The thing about this sector and I said it from the beginning is it isn't for the faint hardhearted. Those who make money over the cycle really are the contrarian investors/speculators.

Understand when things are overbought and oversold.

YouTube

YouTube

[rsot]

How long have you been into it vogeltron - very interesting youtube video

[vogeltron]

Originally Posted by rsot

How long have you been into it vogeltron - very interesting youtube video

I caught the end of the last bull market. About 7 years in the Resource market. It is extremely cyclical. Buy when blood is in the streets as John D Rockefeller said. The last 4-5 years have been harsh for almost all resources.

YouTube

YouTube

[vogeltron]

Picked up some shares of RYU Apparel. This story is beginning to develop nicely.

Also picked up KIV.v & FUU.v

[pannagirl]

One time I did some trades on a website.
But now a lot of companies are calling me. PFF I hate that and it is still going on.
It is nothing for me. And I don't like that my phonenumber is on a list.

[vogeltron]

Looking into GoviEx, Dennison and a few other companies. Uranium is my largest acquisition right now. Blood is in the streets. If Gold and Silver keeps falling do to the Trump trade I will look to add to shares from the Juniors of the high quality management teams.

Looking at the SEDI Lucas Lundin and Frank Giuestra appear to be very active creating new entities. I like to invest with the best!

[vogeltron]

Originally Posted by vogeltron

Picked up some shares of RYU Apparel. This story is beginning to develop nicely.

Also picked up KIV.v & FUU.v

Selling KIV almost a 100% gain in two months. The Uranium Micro Caps are getting crazy. I will buy some back when they go back down. Don't chase trends.