In March 2017 Hawke’s Point bought into Capricorn Metals @ 15 cps
Today, CMM shares are $11.48
Hold tight onto RXL
The Greatest Wealth-Contributed Opinion
Every cycle leaves scars. After more than a decade of false starts, the instinct to sell early is understandable. But that instinct may be the single biggest risk investors face today. With gold trading north of $3,500, cash flows improving across the mining sector, and the tape signaling the early innings of a secular rerating, the opportunity is clear.
The real question is whether investors will hold through the inevitable shakeouts or trade themselves out of what could be the greatest wealth-building window in two generations.
Bull markets always try to buck investors off. That is why they call it a bull. The job now is to cinch in.
Why This Time is Different
For years, metal prices marched higher while equities lagged, starving mining companies of capital and leaving investors frustrated. That disconnect is now closing. Several forces make this cycle different:
Improved profit margins. Cost inflation from the Covid era has eased while metal prices surged. Producers are generating stronger cash flow, and weaker operators are being filtered out.
Capital rotation. Large caps moved first, then mid caps, and now attention is shifting to juniors. This progression is how durable bull markets breathe.
Stronger balance sheets. Major producers have paid down debt, bought back stock, and returned capital to shareholders. That discipline lowers the sector's cost of capital and supports higher valuations.
Limited supply. A decade of underinvestment means fewer new mines are coming online. Even if projects are sanctioned today, the supply response is years away. That scarcity boosts the value of existing assets.
Policy momentum. Canada and the U.S. are leaning back into mining, especially for critical minerals and gold. Permitting is still rigorous, but the policy backdrop is far more constructive than in years past.
The Technical Case: Long Bases Resolve in Long Trends
The Technical backdrop confirms the fundamental story.
Look at GDM (NYSE Gold Miners Index).
Broke out of a multi-year range, retested resistance, and accelerated. Targets at 1,300 and 1,560 have already been met. The next waypoint is 2,200, with a longer-term objective near 2,600. That is how secular turns unfold: breakout, confirm, continue higher.
CDNX (TSX Venture Exchange): The lifeblood of junior exploration. It has lagged badly, but that is its power.
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