A Fresh 33-month closing low in the TSX-Venture yesterday and this post by @Vaughan on CEO.ca got me thinking. Why be invested in this sector at all?
TSX-V (Daily – 1 Year)
I’ve seen some pretty remarkable things over the last couple of months, whether it be the percentage losses in certain names like GTT, or the Bridgemark Scandal, or people calling for the end of the TSX-V. This is the sort of stuff that one tends to see near major bottoms. But after a year like this how can anyone have any confidence in being invested in any junior resource stock?
And then a post by @luctenhave reminded me of why we’re all here (even if we don’t know it yet):
10-baggers are nice don’t get me wrong, but it’s the 30 and 40 baggers like Virginia (chart at left above) that really make it worth sifting through all the bullshit in this sector.
Moreover, even in this awful year of 2018 there have been plenty of opportunities for big trading gains if you played your cards extremely well. This isn’t a buy and hold sector and stocks like Virginia (that you can literally hold all the way to a takeout at its all-time high) are 1 in 1000. But man if you are in one Virginia you’ll be hooked forever (my father owned Virginia shares from mid-2004 through to its takeout by Goldcorp and he was indeed hooked after that).
Call me crazy or whatever other names you’d like to call me but i’m an optimist. Not a blind foolish optimist, but an optimist nonetheless. I am optimistic on the precious metals and junior mining sectors heading into 2019. From the ashes of 2018 we can generate the fertile soil for a great year ahead.
Which stock will be the next Virginia?
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