This correlation matrix is based on logarithmic day to day changes for the last three months:


Correlation matrix: Pilbara juniors

Correlation matrix: Pilbara juniors


  • De Grey Mining and Artemis Resources have the highest correlation to the daily movements of Novo Resources.
  • De Grey and Artemis seem to trade pretty similar.
  • Novo shows no correlation to GDX, which is a plus from a diversification stand point.
  • Novo even shows some small negative correlation with GLD (Gold).
  • Intrestingly enough, Novo Resources is the only junior that shows an actual negative correlation with Kirkland Lake Gold… (que speculation)


Bonus table

OLS Regression Results for Novo Resources with GDX, GLD and Kirkland Lake as independent variables:



Regression analysis.


  • No statistic significance for any variable (Although, it’s interesting to see that the Kirkland Lake was closest, and it was negative).
  • Holding Novo Resources seems to give diversification benefits (for a gold stock heavy portfolio).


I will hopefully soon be done with my next stock report on my newest top 3 holding, so be on the look out!


Best regards,

The Hedgeless Horseman

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