Speaking at the New Orleans Investment Conference, Nick Hodge, editor of Daily Profit Cycle, said he has about one-third of his portfolio in cash right now, and he’s hunting for uranium, gold and copper ‘trophies.’

‘I’m using this opportunity for next two to three quarters, because I’ve been reserved with one-third cash to really identify what I believe are going to be trophies — high-quality companies that I want to add to my portfolio ahead of what I see as a pretty booming and strong resource market post-recession, which I still expect to come,’ he said.

Looking at uranium, Hodge thinks the current cycle is in its third or fourth inning. He’s been selling along the way in order to reduce his cost basis and profit, and now his strategy includes diversifying into less risky positions.

In terms of gold stocks, Hodge believes they are set to shine in the future. He thinks investors will get interested once the yellow metal can stay consistently above US$2,000 per ounce, and sees strong underlying reasons for that to happen. Beyond geopolitics, gold is also likely to be buoyed by rising debt and a turnaround from the US Federal Reserve.

‘I think once (a pivot) finally does come in 2024, then you’re going to see a very robust gold bull market, and the equities will finally follow,’ he said, adding that right now investors are able to get yield in other places.

Copper is another metal that isn’t working right now, but has potential — Hodge noted that while the economic slowdown and recession expectations have hurt its prospects, the red metal’s long-term fundamentals remain robust.

‘I think we’re going to get a good copper bull market post-recession,’ he commented.

Securities Disclosure: I, Charlotte McLeod, hold no direct investment interest in any company mentioned in this article.