Dow 20000, Gold 1400, Lithium, and Zinc

Money Talks reported a statistic this weekend stating that Duetsche Bank's derivative book is estimated to be at $75 trillion. Their derivative exposure is 20 times bigger than Germany's GDP. The stock is down 74% from its peak.

The DOJ is considering imposing a $14 billion fine on the bank for selling faulty mortgage backed securities, which is about what the entire company is worth ($17.9B) based on their market cap.

Friday's rumor that the DOJ was willing to drop the fine ($5.4B) by more than half was offset by Merkel stating that a bailout will not happen. Too big to save?

The Last time we heard derivative numbers like this was back in 2008 when the Dow was under 8000, or over 10,000 points ago. If the market is supposed to factor in bad news six months in advance, why was it up last week?

Making bullish calls like this in early October, during the most unpredictable election cycle in a long time may be considered foolish by many. Truly historical, and a fascinating time to be alive.

Gold

I think that range bound gold will shoot through 1400 with ease no matter who wins the election.

Lithium

A few top mining experts that specialize in juniors were slamming lithium stocks again this week in Toronto. We made our case clear (September 3rd, 2015) over 150 stocks ago.

The focus on some of the smartest and richest men in the world, the leading lithium analysts, and certain aggressive governments have rewarded us greatly.

My call for a select few companies to trade above $5 by February still stands.

https://ceo.ca/@50yearbeckfan/how-elon-found-us

If "action is eloquence" then thank you Tianqi Lithium.

The Chinese company taking a 2.6% stake in SQM was a great way to start the week.

By paying $38 per share for a company that had a 52 week low of $14.25 against 263.197 million shares, one has to wonder what Tianqi plans to do when they complete their non-binding offer to own 23% of SQM.

As of now, SQM has more than doubled their market cap from just under $4 billion to close the month at USD$ 7.08 billion. At $38 a share, it's possible that SQM may be worth $10 billion in the future.

Zinc

$TV Trevali's market performance off their November lows has been remarkable. It took over 1/3 of a billion dollars (579.345 mil shares) to close September up 345%.

Dundee led the way again with almost 79 million shares purchased, including large institutional crosses to hold a net position of 15.9 million shares over the 11 month period.

We stubbornly called the bottom a couple of times last year here at CEO.CA, and eventually got it right.

Talking Our Books

Total BergDex exposure was 106% average (even from last month) over 27 stocks. The index held up well considering the volatility from all the recent junior private placements that matured in September.

The March stocks were mostly up higher, and helped the newer picks that were under considerably more selling pressure.

October will continue to be challenging. It's worth mentioning that some of the cashed up early investors will most likely redeploy profits into other juniors, which typically leads to a more buoyant market as we head further into Q4.

As stated earlier, the BergDex 27 should be closer to 200% average by mid February, prior to the PDAC curse.

These are not just random picks. They have over 100 years experience between the three gentlemen, 11 discoveries, and 7 mines that went into production.

This is how the BergDex performed for the month, starting with his initial 3 Globe and Mail picks from March 4:

$LIX up 162%

$PGM 212%

$NGZ 233%

That's an average of 202% in 30 weeks public exposure to the entire Globe and Mail subscriber base that read Robert Hirschberg's interview.

Check out the realtime returns on Robert's other picks from his first tweet (plus 16 recent public additions) on March 24th:

$BOL Up 40% $CAP Up 125% EAM 135% GSH 237% NFR 162% $NX 0% WML 456% $WPQ 33%

Recent Additions

* April 18: $XMG Up 45%

* April 29: $MAY Down 44% IDM Up 46%

* May 05: $AVA Up 77% $CWM Up 100% $EMO Down 17%

* May 13: $ASE Up 144% $GPY 146% $SSV 108%

* May 25: $KNT Up 48%

* June 1: $QBA (KWC) Down 40%

* June 9: $AMU Up 30% AWE 375% TYE Down 14%

* July 4: $CBG 37%

* July 25 RJX.A 44%

March 24th stocks up average 148% over 8 picks

Recent additions are up 94% over 24 picks

Total BergDex public exposure is 106% average over 27 stocks

The BeckDex 60 percentage gains at month end from 2014/15 Lows:

$LIX 537% $SBB 400% $IDM 215% $NXE 789% $PTM 168% $SKE 173% $JEM 150% $HPL 150% $IDI 50% $NCA 483% (Was CCY) $MCC 166% $BOL 133% $EAM 783% $CAP 800% $CRH 683% $GSH 540% $NFR 525% $NDR 185% $NGZ 650% $NX 114% $PGM 971% $WML 4533% $WPQ 220% $KES 1000% $BAR 200% $DMA 139% $MAG 128% $WKM 214% $RLG 2700% $CXO 420% $RST 750% $BAY 412% $WLF 140% $LAG 187% $GGS 2100% $GPH 21% $NEV 250% $IN 71% $TV 345% $BTH 56% $GLH 248% $KRN 98% $PE 3700% $KOR 164% $SSP 500% $RMX 267% $XMG 100% $PRS 362% $MAY 27% $AVA 680% $CWM 243% $EMO 150% $ASE 340% $GPY 1114% $SSV 1217% $KNT 70% $QBA 9% (Was KWC) $ABN 136% $AMU 160% $AWE 850% $TYE 200% $CT 4400% $CBG 267% $GFK 380% $RJX.A 260% $RCU 767% $KGL 243%

Over 1000% Exposure

* CT 4400%

* GGS 2100%

* GPY 1114%

* KES 1000%

* PE 3700%

* RLG 2700%

* SSV 1217%

* WML 4533%

Recent Reports (Scroll down left column)

https://ceo.ca/@50yearbeckfan

This article discusses highly speculative penny stocks. Nothing in this article should be construed as investment or professional advice of any kind. From time to time, the author may transact in securities mentioned. All facts are to be verified by the reader and all readers to do their own due diligence before investing including talking to a licensed financial advisor.