Precious Metals & Alternative Currencies

Sell First Majestic Silver Corp – Stopped Out

May 4, 2017 by StingingAdmin

We got stopped out of $AG – First Majestic Silver Corp. I originally recommended a 25% trailing stop. By the stop loss program we used opted for 18% based off of the stocks beta.

We are going to use the stop loss program I wrote in google sheets to and close out of the position today for a 17.8% loss.

The markets have turned against both precious metals and the miners. The signals I use for both pm’s and miners flipped to red.

I strongly believe that we will see another massive bull market in miners and in the metals however that might not form until later this year or even possible later in 2018.

The purpose of the stop loss is to take the human emotion out of the sell so we do not occur massive losses, and on the flip side it will allow our winners to run.

If you are following our tracking please sell today. We will likely re-visit First Majestic Silver Corp at another time.

You can see our booking here: http://taoeconomics.com/tao-stock-tracker/

We will no longer be tracking the stock in our open positions.

Time To Get Into this Stock Miner Play

April 7, 2017 by Cor Bader

As Trump launched Tomahawk missiles into Syria to the neocon’s delight, gold and silver are continuing to creep up.

First Majestic Silver Corp. ($AG) is trending up past it’s 50 moving average after making a double bottom.

First Majestic Silver Corp.

As you can see $AG is down over 50% from it’s 2016 Aug high.

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The company also has been managing it’s business much better than it’s peers. Noted from the 3rd quarter of 2016 they exceed at keeping their costs down:

All-in sustaining costs: down 27%

As if the dual fuels of rising production and prices were not enough, First Majestic also pushed its all-in sustaining costs down by 27% year over year to just $10.52 per silver ounce. Three factors contributed to this decline: the company’s recently renegotiated smelting and refining agreements, the continued weakness in the Mexican peso, and its record silver production. Those new arrangements alone resulted in a 34% decrease in smelting and refining costs, helping the company to more than offset a 10% increase in electric costs from the national power grid.

https://www.fool.com/investing/2016/11/22/2-remarkable-numbers-first-majestic-silver-corp-in.aspx

Recommendation: BUY (First Majestic Silver Corp. ($AG). Sell if you reach a 25% trailing stop or if the stock closes below it’s March low of $7.23.

This is a good time to play off of uncertainty, while the rest of the market appears expensive.

How Much Do you Rely on ATM’s?

July 14, 2015 by Cor Bader

Greek pensioners attempt to withdraw their money from one of the country’s national banks Louisa Gouliamaki / AFP – Getty Images

“How much do you rely on ATM’s?” that was the question I was asked last week by a work colleague during the Greek crisis. The answer? Not at all! It was a strange to realize how little I rely on getting cash out of the ATM machine. I use cards for most purchases as it is easier to track my spending. I do like having a little cash on hand though just in case. What if credit was suddenly cut off and limits were imposed on how much cash you could access from the ATM? That is what happened in Greece last week and their future is still uncertain. My brother-in-law was in Greece over the last couple of weeks. Citizens were only allowed to withdraw $60 Euro’s a day, that is if you were willing to wait in line. He told me that the wait time to access an ATM machine was 30 minutes. He went on to say, “It is strange. Some people act as if nothing is wrong, while at the same time everyone is trying to get their money out of the banks”. It is foolish to think that something similar could never happen where you live.

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I do not say such a thing to scare anyone, but to inform so that one can prepare just like you would prepare for a hurricane or an earthquake.

According the Federal Reserve there is about $1.3 trillion of U.S. currency in circulation. It sounds like a lot, but remember other countries like Ecuador use U.S currency as well. Total outstanding consumer credit is $3.4 trillion. Credit out numbers cash 3 to 1 and if you start to add State and Federal debt it gets much worse. My head would spin if I added the government’s future liabilities on top of that.

Just look at the current and projected debt to GDP ratio by the non-partisan Congressional Budget Office:

The U.S. will certainly hit another crisis over the next 10 to 20 years barring some major unforeseen positive disruptions. So what to do? Have some physical cash as part of a “Just in case scenario”. The cash should be able to cover food and gas for at least a month. This cash should be in addition to your any precious metals you should have.