Some Takeaways from Macrovoices Live and the Vancouver Resource Investment Conference 2019

I had an amazing time at the conferences, and I am incredibly appreciative of the work that was put in by the hosts and administrators. Looking forward to whats next!

Must Read – Reminiscences of a Stock Operator

When a yield curve is flattening, a “bull steepener” is when the 2 year strengthens, and a “bear steepener” is when the 10 year weakens.

The idea of “voting with money”

The stock market is a “behavioral exercise.”

Liquidity drives markets in the short to intermediate term.

The market is an aggregation of agreements and disagreements

Holding losers is not just negative due to opportunity costs, but emotional capital as well.

Rolling protective options is good risk management.

It is likely a good idea to always hedge yourself using options. Keep in mind this may burn around of 30-40% of your profits.

Lose small win big

Volume profiling allows one to see where price interest is greatest in a market.

Vega risk is when you buy an option during a high volatility time, and volatility returns to normal.

Abusing the wealth effect lever has caused the FED to become subservient to risk assets.

Demand changes slower than supply in the oil market.

The dynamite fishing analogy. When liquidity tightens, many small fish die and start to present themselves. The whale is dead. In time, the whale will reach the surface as well.

There are more fools than money.

With the yuan oil contract, to an extent, one could say that oil can be traded for gold for the first time since World War 2.

The renminbi is like the Bundesbank of Asia. US central banks have the equity market at heart, and the Germans have the bond market at heart.

Debt default probabilities should be deemed higher when debt is held by foreigners.

Do not forget that China and India make up approximately 40% of the world’s population.

Gold price per ounce correlates with total debt.

Fun chart in below link showing periodic table of commodity returns.

http://www.usfunds.com/interactive/the-periodic-table-of-commodity-returns-2018/?utm_source=home&utm_medium=insights

China makes up about 50% of commodity demand.

GDP is like looking out the back window of your car, and PMI is like looking out the front window.

About 70% of day trading is made up of high frequency research.

The US imports about 98% of its uranium.

Saudis have been known to drive out high cost US shale producers and OPEC competition by increasing supply.

A good option strategy may be to buy up in the money calls up an IPO.

There is no cap on gold because there is no floor on the dollar.

Do private placements when management needs you, not the other way around.

You want management with skin in the game.

An easy gold strategy to follow would be to decide x% that you want gold in your portfolio and rebalance accordingly.

The fact that many bonds pay a negative real yield may make up for gold storage costs.

Stop losses do not guarantee your risk management.

Term structure is like the yield curve for commodities.

The immediate contango in the WTI futures is to incentivize the storage farmers to store/deliver. There is plenty of oil in the future, which means you need storage, so you need contango.

The shape of the curve is by no means a price prediction.

Producing your own commodities is key to domestic geopolitical risk.

2 pounds of vanadium added to 1 tonne of steel will make the steel twice as strong.