Early Stage Exploration is Risky (What an Understatement)

When it comes to mining stocks, getting involved and dabbling in early stage exploration companies is extremely risky business. Unless you’re a skilled geo, got geo buddies who know their shit and can help you better gauge risk vs. reward (to see if it’s favorable at all), really, as a retail speculator you’re going to not only have to commit a tonne of time/bandwidth/energy towards conducting proper (concentrated) research, but also masterfully time your entry and exit points (good luck, you’ll need lots of it!).

As someone who previously had relatively good success in the past messing around in this niche part of the mining sector fraught with landmines, I can now say with the benefit of hindsight, most (if not all) my wins were due entirely to pure dumb luck…

To be perfectly frank and honest, these days I have very little interest (risk appetite) to try my luck yet again, especially NOT while we’re ensnared in a bear/neutral market for commodities…

It’s just too bloody challenging for someone like me to get right on a regular basis…

And the reality is this for most speculators, anyway — More times than not, it’s gonna be a swing and a miss…

I mean, c’mon, even if you think you know what you’re doing, the reality is, human beings are still going up against Mother Nature (who is quite a formidable adversary and oftentimes an especially cruel/ruthless entity who seems to want to get in the way of our lambo/moon dreams).

Most recently, the following shellacking took place in the junior sector, as Miramont Resources (MONT.C/MRRMF) saw its share price decline from ~C$0.50/share all the way back down to C$0.12/share.

Now, I’m most definitely NOT writing this post to give anyone a hard time or anything of that nature… If anything, I really feel quite terrible for any speculator who got their ass handed to them after the company most recently announced very disappointing drill results for the first 6 holes in a 9 hole drill program.

And really, I’ve got no agenda against this company at all; I am merely using it as a latest datapoint, nothing more.

I mean, these type of whiffs are all part of the game (that’s why you most definitely need to take a shotgun approach!), but the problem I have is that so frequently on social media/forums, the next flavor of the week “hot pick” gets hyped up like crazy, and as such, it’s really easy for retail speculators (who really don’t know what they’re doing and are just blindly following herd mentality, more than anything else) to get roasted on a hot skewer playing this game…

I’ve dabbled in early stage specs before, in the past, go check my history, and I’m telling you straight up — It’s a fucking tough and ruthless game.

In a way, I almost feel like I need to write something like this, so whoever reading this at least knows that there’s someone else out there who actively follows the mining sector, but still refuses to get caught up in PUMP mania!

If anything, I’m arguably the most boring speculator on earth, these days, electing to focus instead on much more “proven” mining companies that have been abandoned by the masses because they’re NOT at all exciting. And even then, the more “conservative” game that I’m playing still isn’t easy, at all!

Go figure.

Seriously, there’s many ways to make $$$ in this game, so you just gotta find the “formula” that works best for you.

By no means am I suggesting/implying that anyone else needs to follow my own lead, since as usual, I’ll freely admit that I don’t know jack shit about anything, especially as it pertains to mining stocks. With that said, you must realize there’s a tonne of shady operators in this business, many of whom don’t give two fucks about you and would like nothing more than for you and your money to part ways.

In other words, you better watch out for PUMP ARTISTS who talk the good talk, pretend to be your buddy, sensationalize the hell out of everything (it’s all blue sky potential, nothing to fear, hah!), urge you on to buy at any price (after all, this stock is only gonna fly so much higher!), all the meanwhile they’re most likely dumping and offloading their own shares onto YOU, the unsuspecting NEWB!

These type of games happen all the time, every freekin day on these venture vulture market exchanges, so let’s not mince words about it, folks.

With the way social media/marketing/promo works, the shit that eventually blows up and decays to worthless will simply get tossed aside erased from history (the “pros” will cover it up and pretend like it never happened, especially not under their “expert” watch), and the “pros” will then proceed to swiftly move on to the next shiny object to entice the sheep with (always another train arriving at the station and a sucker born every minute, baby). Worst part, if there’s even a single success story out of a hundred for these douchebags to write home about, you best believe it will be touted to you on a non-stop basis, by these same “pros” and their lackeys, with someone(s) shouting from the rooftops, telling you how fucking easy this game is!!

 

That’s total fucking bullshit reality!

 

Nevertheless, If you somehow possess the knowledge/skill/stones/etc. to attempt winning at the early stage spec casino, more power to you, certainly, I do believe there are certain individuals out there talented enough to succeed in this space of the mining sector.

 

For others who are more risk-adverse and know they can’t win enough times to justify the means of attempting to gamble in the early stage exploration casino (like me), there are certainly other alternatives that one can look into in the world of mining stocks.

 

“Buy low and sell high (proven companies with strong fundamentals).”

 

That’s my preferred strategy, and I’m sticking to it.

 

Give me the boring (HIGH QUALITY) reject stuff, all day, baby.

 

That’s my bag.

 

Not the insane rollercoaster rides; no thank you. Yes, early stage specs can be exciting as hell, but man, I must repeat, it’s NOT easy at all to succeed in this arena as a retail speculator.

 

So, ignore all the noise out there if you must… I mean, there are so many mining forums/threads that I simply ignore these days b/c they are just filled with bullshit artists, more than anything else.

 

Just my $0.02 (which is worth more than what many of these early stage spec pump n dump tickers will be worth, when all is said and done).

 

Fight On!

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