Site icon WallStreetWindow.com

As Silver Starts To Rally, Here Are The Ten Stocks I Bought Monday – Mike Swanson (03/16/2021)

Yesterday, I decided to buy ten stock positions in my small Robinhood Account. Last year, after the March stock market collapse, I just put the entire account into the gold ETF IAU, but I sold that position last month when gold went through its recent lows. I then pretty much forgot about the account until this weekend when I thought I’ll just put it into ten new stock positions.

So Monday I bought silver mining stocks WPM and PAAS along with gold miner FNV. I then bought shipping stocks STNG, DHT, and EURN, along with REIT’s CXP, LTC, and O. Finally, I bought energy stock SNP. My idea was to buy a few stocks in three sectors (along with one energy stock), that I believe are likely to outperform the market averages for the next 6-8 weeks. We can see how the stocks do together.

As I wrote on Monday, I believe gold is turning up now after having gone through what looks to be in hindsight an oversold washout. The GDX ETF had a nice up day yesterday and now silver looks like it is ready to go up too.

Silver has been performing better than gold recently and, if you take out its “short squeeze” WallstreetBets gap up day at the end of January, has been trading in a range with resistance around $28 and support at $25, making this a nice entry point to actually buy silver.

Silver stocks are in a good position and that’s why I bought PAAS and WPM.

One can buy PAAS here with a stop below $30.00

WPM has been lagging PAAS and silver, but can be bought with a stop loss below $35.00. It looks poised to break this downtrend line.

I did a video yesterday in which I talked about how many stocks one should buy in an account in order to manage position size risk. Although I own more than 100 stocks in my main account, there is a reason I bought ten in this Robinhood account.

Here is the video discussion I did yesterday, in case you missed it.

For more on my trading methods grab my book Strategic Stock Trading.

Scroll on down to the bottom of this post to leave your comments and feedback and join the discussion.

-Mike

Exit mobile version