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        Hello I am Ted Dixon with
        your INK morning report
preview
        for November 1st.
        Junior contrarian alert:
micro-cap miner
        works through escrow
releases.
        Micro-cap Sierra Madre
        Gold and Silver's primary
focus
        is the exploration
        and development of its
2,600 hectare
        Tepic silver-gold project
in Mexico.
        A 2020 resource report
        which was not produced by
Sierra Madre
        estimated 10.2 million
equivalent silver
        ounces in either the
        indicated or inferred
categories.
        While Sierra Madre
        considers the report
reliable,
        it is not treating it as
        current and has embarked
        on plan to generate
        its own resource estimate
for the project.
        Reverse circulation
drilling began in May and
        the company reported news
from
        the program on September
8th.
        Results included Hole 12
that
        returned 15.2 meters at
        419 grammes per tonne
silver
        equivalent with true width
        estimated to be between
70% - 90%.
        The stock jumped 8.3% on
        the day of the news but
        subsequently started to
slide.
        Profit-taking by
non-insiders could
        be one of the headwinds
facing the stock.
        Starting in July, about
        1.1 million shares is
being
        released from escrow each
month over
        a 12-month period based
        on our read of the
regulatory filings.
        That is in addition to
        another escrow release
        of seed shares that took
        place on October 19th
which INK estimates
        involves just over 1
        million non-insider share
holdings.
        Who ever is doing the
selling,
        it is not reporting
        insiders as they have been
buying.
        As the escrow liquidity
        gets absorbed by the
market,
        the stock price could
present
        a contrarian opportunity
for those who are
        bullish on the precious
metals miners
        and like what they see
developing at Tepic.
        However, for the stock to
really turn around,
        we will likely need to
        see a major shift in
sentiment
        towards the precious
metals mining area.
        While we expect some
institutional investors
        potentially begin adding
to
        their bullion positions as
an economic hedge,
        it may take more than that
        for precious metals and
        the precious metals junior
mining space to
        recapture the imagine of
investors.
        That’s a topic we hope to
        explore with our community
in the weeks
        and months ahead starting
with the idea
        of mining company
attitudes
        towards gold and silver.
        We will try to get the
conversation
        going in INK Chat and move
out form there.
        That is it for today.
        Thanks for stopping by and
click
        on the notify button under
this video
        on INK Ultra Money to be
notified
        when we have our next
preview available.
        You can also follow
        us on Twitter
@inkresearch.
        I hope to see you again
tomorrow as we let
        the insiders guide us
        to opportunity this fall.
        This is not a
recommendation to
        buy or sell securities and
        nothing in this video or
        in INK reports should be
considered
        financial advice
information is for
        educational purposes INK
employees may
        hold an interest in any
stock
        mentioned in our videos or
in our reports.