Don Durrett: Profit from Gold & Silver Mining Stocks // precious metals investing miners 2017 2018 david moadel welcome to looking at the markets with David Modell today we have a special guest his name as mr. Don Durrett he is an author he is an investor he owns an amazing website we’re gonna talk about he does many things you can see right behind him there it is that’s his book how to invest in gold and silver a complete guide with focus on mining stocks he is a contributing author to Seeking Alpha comm and his website is gold stock data dot-com and there’s so much on this website you know even if you just look at the free resources that are right there it’s incredible and then you can get a premium subscription as well so mr. Durrett thank you so much for joining me today on looking at the markets yeah I really appreciate your time today there’s so much to talk about in the precious metals and mining space but first I wanted to learn a little bit more about you how did you first get into finance and investing and why did you choose to focus on the metals and mining sectors well this actually goes back to the 80s I wasn’t a big fan of Ronald Reagan’s Keynesian economics I was diving in the George Bush School where he called it voodoo economics I remember back in the 80s I used to talk to my dad about and say this isn’t going to work you just can’t you just keep adding debt eventually that catches up with you so then I read read a book in 1989 the forecasted tide of the end of the United States era if you will so I was kind of ahead of the curve but the book resonated with me so I started investing in gold mutual funds in the early 1990s and became a big gold bar sure and you know it’s a fascinating area to get into it’s it’s a very exciting niche right now I wanted to ask what miners and junior miners are peaking your interest right now if you’re looking at a long position well my portfolio is pretty much completed because I’ve been investing for a long time and I’ve been buying a lot of stocks as the prices have been dropping so I don’t have a long list personal list of buy stocks I always have one or two in case one of my stocks gets taken out however on mine in my newsletter and on the website I have a top 25 my top 25 list is our the best risk reward stocks in heaven have at least $5 potential see there’s a high upside my philosophy is that if you’re gonna invest in gold mine stocks and silver line stock you might as well go after the big returns otherwise why are you why are you in this space I also have another list of my newsletter I have 5 to 20 baggers 2 to 3 baggers dividend stocks and exploration stocks so I have a whole gamut list but instead of a listing individual stocks at this time I’ll just kind of leave it at that sure and you know of course nothing we say in this video is any rate is a recommendation to buy or sell anything we are not providing any financial advise meant please do your own due diligence and do your own research make your own decisions you know because it’s it’s still an amazing time to get in though I mean the US dollar for example I like to use UUP which is the US dollar ETF I like to trade that one it’s down this year in 2017 is the I don’t know I look at these things as an opportunity is this a value play or is it a value trap well it’s a pretty important inflection point that’s for sure I mean if you look at the dollar index I actually do the DXY USD and it’s down right at its two-year kind of where it started up so it’s at a really important support level 93 it’s trading below ninth year right now and no way is it value players at a trap I think right now you got you have to be neutral because we don’t know which way it’s gonna go where I think that the 200 week moving average is 90 to 30 I think that’s a real important point I think it gets under 90 to 30 it’ll probably drop down pretty quickly down to 90 150 and that might be your opportunity to play the short side but know there’s a lot of smart people that think it’s gonna go higher I’ve heard people talk about 110 120 I’m on the DXY which would be quite a move upward I personally don’t see that coming because I just think I what I’m seeing the economy is weakness overall weakness no.1 strength I’m really seeing as the stock market per se I mean there’s a few other ones the PMI is haven’t rolled over of course but by and large I’m I personally see weakness so I’m thinking the dollar might break down here but I have my fingers crossed I’m not sure which way it’s gonna go it’s gonna have a huge impact on the miners so the miners have been trapped we had a low in 2015 of the dollar I mean in gold and in 2016 and 2017 we’ve seen this up-and-down action it’ll go up basically to cause a rinse and repeat you know you know make a run and it’ll go back down make a run and go back down it’s been doing this for two years and I think it’s kind of indicative of a breakout more than a break down I think that is probably going to hold and I think at some point we’re gonna break out and so yeah I think this is an opportunity to get into the miners and once it breaks above 1309 i’ve been saying this once it breaks about 1309 i think you might not go back to low I think that might be when it really starts going and then once it gets about 1450 really it’s gonna be there’s a good chance that these stocks in a lot I’m going to be cheap they’re not a lot of the strong producers right now are not cheap they were last January but not so much now not this set 2017 January 2016 January they’re incredibly cheap we might not see those cheap prices again and we make a run once we get over 1309 we make a run 1,400 then you know you’re not gonna get these opportunities again so right now it’s kind of it’s a tough call I mean a lot of people you know are we gonna go lower because we haven’t broken out I call it neutral territory until we get above 1309 I think you have to be on the defensive to a certain extent you just can’t you know buy expect it to go higher it could stick could go lower it’s not if I grab this huge wedge it’s building right now in the gold in the wedge it’s starting 2011 we in are topped in August 2011 if you look at the chart from that 2011 going down creating this this triangle the triangle is completing right now so the triangle had it’s kind of a double-edged sword it’s completing and it’s probably gonna complete in the next 1 to 6 months and it’s either gonna complete to the upside of the downside and of it and it doesn’t seem to match this is such a big triangle I mean this goes on back to 2011 whatever it decides which ever way decides to break is probably gonna be pretty significant so if you’re buying stocks right now brakes the downside you’re probably gonna catch following knife the other side of the coin if it breaks at the upside you know it’s perfect iron body but it’s hard to call sure now I wanted to get back to US equities yeah it is it seems a little choppy we’re getting new all-time highs in the spiders and the queues in the diamonds on a regular basis lately it just this year and and since the election it’s either gone sideways or up it’s stair-stepping should investors be hedging against what might be considered considered an overdue market crash this year what do you think well probably they’re not right person to ask that question because I’m gonna talk my book of course I’ve been calling I thought we were gonna have a crash in 2050 and 2016 so here we are 2017 kind of expecting it again because earnings have been flat since 2012 if you look at him we really haven’t had a strong recovery and this recovery has been going on since 2009 I mean at some point it’s going to end and also if you if you look at the debt situation I mean all we’ve done is accumulate debt debt add leverage its precarious situation I mean you have a lot of people that are nervous a lot of people that are nervous and rightfully so so I hedgy and I think hedging you know gold and silver makes sense although it has to feel right I mean a lot of people just don’t feel comfortable with gold and silver no I’m gonna niche I’m kind of you know I really like the physical but from the investment side of things I like the miners which are really risky people aren’t comfortable going in that so it’s definitely a risk area I mean it’s a niche area that in some respects it’s kind of a kind of a once-in-a-lifetime deal I mean if things do break down in the stock market in the economy rolls over I mean we haven’t had mass layoffs since 2009 so everybody doesn’t you know we don’t know how that feels anymore it feels like we’re never gonna get him again I heard Janet Yellen said in her lifetime we might not get another crash that’s kind of a tough call I think we will and so if we do get another crash you know these miners have unbelievable leverage and so a lot of people like to chase the trend and so if it does happen you’re gonna see a lot of people go into the miners and they’re gonna move unbelievably quickly I mean you’re gonna have stocks that go up 100 percent in one month and that’s what’s gonna happen if we do get you know this breakout breakdown in the stock market breakout and the stock and the minor stocks so it’s a you have to decide if you want to get involved in that area or not it’s not for everybody right now I wanted to talk about gold stock data you do have a couple websites you have Don direct.com and I’m looking at that right now and that might be a little bit less finance oriented but still a worthwhile you know definitely worthwhile to read and look at but today I wanted to talk about gold stock data comm there’s so much on here I mean the the database of information if you want to look at miners in the precious metals sector the you know can you tell us a little bit about this website and what people will see when they visit it yeah sure um so I got into mine I wanted to invest in silver miners and there was no II there was no ETF so there’s no mutual fund so I had to start buying individual stocks this is in 2004 and I went in and I tried to find some books on how to invest in you know juniors silver miner stocks and I couldn’t find a good book I couldn’t find really anything was decent so I wrote my own well I couldn’t write my own because I didn’t know anything this is doc in 2004 so then 2010 I think I wrote it in 20 2009 book came out first version came out in 2010 so after I learned how to do this I said I’m gonna write a book is there isn’t anything out there right and I wrote it kind of for people like me that wanted to do this wanted to have a source material so I have to wrote the book I created the website in 2010 and so no I create the web looking out in 2010 the website came out in 2012 so five years this website has been being expanding over five years so now we’re up to 725 gold and silver mining stocks a trade in North America Australia and London the only exchange I don’t cover his journey so the database is fairly large now I created this database for people like me that wanted really good information so the database is very expansive the search engine is pretty robust if you well you can search for anything you can narrow your focus down by all the factors that you can think of you know great cash flow etc I’m not gonna answer the phone so um so so the database is kind of a hard part of the website but I also analyze each stock so you get the data and analysis combined and then you also get the the newsletter that comes out once a month plus of the forum so it’s um it adds it creates a lot of value for people that are involved and these are for people that are you know avid kind of gold and silver mine stock people so I mean if you have one or two hundred golden silver mining stocks you know it’s not the website view but if you have three or more and you want to buy some yeah it’s pretty pretty nice sure it’s it’s such a robust website even the free version of it but if you do choose to become a member I’m seeing here that member with membership you get to search all 748 stocks instead of just a sampling of them you get to take advantage of the preset searches save and load up your own searches including shortlisted stocks you can save and reload your column view views you can autoload default views automatic searches so much here you’ve got shirts on here and you got the best and worst performing stocks on multiple mining stocks on multiple timeframes it’s it’s really amazing so I suggest people check that out as well as the book you know on available on amazon.com how to invest in gold and silver and links to all of these will be in the description of this video so people should certainly take advantage of that and we’ll talk more about that but I’m just curious right now and again this is not investment advice but do you have any tips that you can provide for valuing mining stocks in the in the precious metal 6 sector how do you value them well this is actually free the public on the website there’s something on the main menu called mining 101 which is a chapter for my book it’s about 20 pages and it actually goes through all the steps that I do to value to value a company I’m also my seeking output articles I always list the three P’s and some other additional data points of how to value the companies so I’m also I’m always kind of teaching people if you will how to do this but and so that’s what I do and then of course you could read my book so you want to learn now what the one thing about mining stocks I found that is it takes about two years to learn how to do it so most people will you know that kind of I have been doing this for a while but it takes some time to get an understanding there’s just so many data points different various things and you have to look for the one tip that I would give people and these are people that are probably already involved in it is I would be really leery of chasing drill results I’m on the other side of the coin on this and a lot of people because a lot of people really like exploration stocks but I personally have learned that exploration stocks just have they don’t have a good risk reward because you generally when you go after an exploration stock you’re investing in a company this very doesn’t have a lot of value and the reason why it doesn’t have a lot of values because I haven’t found anything yet you’re betting that they are gonna find something but it’s really difficult to find an economic mind so what I recommend is you chase what I call cash flow and that’s when you find a company that already has what I call the goods so you go and you look for companies that have the goods they have they’ve already found them on their either building it or they’re producing it those are that’s really that’s how you kind of lower your risk if you will but then I like to cover and do everything I do own some exploration stocks but I lower my investment right because then the risk is higher so I but I don’t know a whole lot of expertise but I will Dell in the summer you know you know sometimes the girls those are kind of very first I’m very strong so you go ahead and take the chance but you definitely are taking the chance that it’s going to turn into something economic but chasing drill results is very very risky and a lot of people talking like trends they like to doing that because it’s a quick return you know producing companies or exploration or development companies a lot of those are long-term investments you have to wait it can take three five seven years to build on but that’s what I like to like to focus on is I like to go after the cash flow yeah so you buff gold in the ground or so in the ground cheaply and then you wait and wait for that to get revalued or and then that company turns into a growth company so they buy another company or they find another mine and that’s when you make your money I always say you make your money on the second line not the first line that makes a lot of sense to me rather than chasing and hoping you’re just looking at you’re looking at many things but you’re looking at the cash flow I’m looking at mining 101 on gold stock data right now it’s all right there several videos and then followed by a very detailed explanation and formulas here it’s it’s really impressive so people should check that out as well as your book and the whole website which is available right now now again we’re not calling tops here we’re not giving advice but I like to ask people this what do you think is going to come first in the equities markets Dow 40,000 or Dow 10,000 well it all depends on if we get inflation or deflation we don’t know you know it depends on what the central bank’s decide to do is how much money they’re gonna print but I will say this we’re not going to get to 40,000 on real growth now that’s my belief if we do get to 40,000 on real growth goals going to going to under a thousand the whole premise of gold is what I call it fair trade it’s a hedge trade so the only people that really get real excited but really move the gold market are people that are buying gold as hedge and they’re chasing the future and so that’s that’s really what I’m expecting so the ten thousand forty thousand again we don’t know we don’t know if we’re gonna get inflation or deflation now I personally think we’re probably gonna get deflation visions that guess because I think that the gold silver ratio is probably gonna go or the Dow gold ratio is gonna go all the way down to two to one do you pretty good at that right not ten to one and see I got twelve hundred twenty thousand so it’s not quite yeah it’s more than ten to one right now so that’s quite a shrinkage so if we go down to 22,000 all the way to five thousand squat crash or to 10,000 and then gold goes up to five thousand that’s kind of my expectation there’s two to one it actually went one to one in 1981 where you had 850 gold in 850 go 1 to 1 so I’m expecting two to one interesting okay and finally I’m looking right now on your website you’ve got the best and worst performers I really like this page it’s fascinating to me like for example you’ve got extract resources PLC is up about 4,000 percent on the year so far and then on the other side of things you’ve got canned star resources which is down 99 percent on the year would you be and this is just a you know personal philosophy type of question would you be more likely to invest in a mining stock that’s down a lot or up a lot or neither definitely down line the one thing about mining stocks is you really don’t want to chase a stock it’s taken off because you want to get a good entry price so the one you have one thing you have to have is a lot of discipline and the miners it’s for instance I waited I think seven years before I bought endeavor silver and McEwen mining I will I wouldn’t buy them high I waited until I got a good entry price and that’s what you have to do with the miners you have to be patient and wait for the cycles and and buy them low and get a good entry price otherwise you’re not going to get a good return um now because there’s too much risk in the mining area to be chasing chasing these stocks but we do get a mania then you know a lot of people will be chasing them of course they will be buying their stocks that are trending higher and are taking off and I see that a lot I see companies that are up no two three four hundred percent of people are buying them just chasing that trend but I don’t do that I I’m much more patient because my I read I wrote this in my book back in 2010 that my goal is five hundred percent return so if I’m inhaling 507 turn I’d better get a good entry price but I do buy stocks and have 300 have 307 would I expect three numbers of returns the reason why I buy those they’re producers is to deleverage D risk my portfolio but even though stocks I try not to buy them you know if they’ve made it had a big run recently you know company has a big run recent wave and you have to wait you have to look at his chart and say oh wow that stock has just had a big run it’s not the time to buy it so those stocks are you know and that’s one of the reason why they’re like oh gosh these are the stocks I missed you know that’s the way that I look at it I miss those and just just took off I’m you know I’m in contact with a lot of members of my website and some people are kind of kicking themselves because they didn’t invest in Neuville resources because I like noble resources when it was under 100 million market cap now I jumped from 100 million of three hundred and thirty million people are kicking themselves going why didn’t I buy it then and they’re like I’m not going to buy it now it’s too valuable and so it’s kind of a you know it’s it’s a tough call you know how much higher is its company gonna go and so and you don’t want to miss those a lot of times you don’t want to miss those stocks I call it the phone or stocks fear miss you now right listed because they’re trending it looks like they’re gonna continue trending and so yeah so that’s the tough thing about this this investment sector is you gotta get these stocks cheap and you don’t want to miss out you want to make sure you’re getting you get a position in the really good companies for sure if you’re going for the triple baggers as you like to do then you got it you have to know what you’re doing you have to be patient and you have to time your entry very well and no chasing allowed I tell that people all the time um so I you know what I’m going to do now is I’m gonna read mining 101 I’m gonna read it over a few times because there’s a lot of information there yeah it might take me a while I’m gonna read over your book how to invest in gold and silver available now on amazon.com people need to go to gold stock.com check out the free resources and then check out the subscription rates which are quite affordable I should say I’m very affordable because just you know if it helps you to understand the mining sector and how to value a company in print precious metals and mining it’ll it’ll be worthwhile for sure so mr.

De read I’ve learned a lot today give me a lot to think about if people want to contact you other than going to your website how can they do that well actually the best way to contact me is through the websites just go to gold silver us gold stock datacom and then there’s a contact that’s the best one one thing you know I’m sure people are wondering how much it cost so so the membership is 149 a year and we don’t have monthly Aaron is there’s no recurring so you have to resign uh Peachy each year and 149 is it’s a lot of value and that’s the one thing that we try to provide this value and so that’s kind of a goal of ours sure three months for 99 dollars or better yet one year for less than $150 that’ll pay for itself many times over just from the education just the knowledge so I don’t see why people wouldn’t want to sign up for the mr.

Guerette you are also I’m gonna tell everybody even if you won’t that you’re on Twitter yeah at Don Durrett do you are our ett you’re also on YouTube you have a youtube channel so type in Don Durrett into YouTube and you’ll find that but most importantly go to his website goldstock datacom thank you so much I really appreciate this and you’re welcome back anytime sir on looking at the markets Oh excellent one last thing I actually released the seeking house for article today too so there you go to seek an alpha and check out mark your article day was how to create your own GDX portfolio and I gave three groups of stocks two ingredients over there well I want to know what they are right now so I’m going to check that out hey you piqued my curiosity okay mr.

giraffe thank you so much for your wisdom and insight today I really appreciate it today hey I’m your own David thank you for watching please like comment and subscribe and I’ll see you next time.