Saturday, October 16, 2021

Bought the September Dip

I started scaling funds into stocks in mid August 2021.    Primarily into the top growth stocks, such as MSFT, GOOGL, AAPL, and NVDA.   I did not buy AMZN, FB, TSLA and NFLX.  As the market fell further, I added to the growth stock positions and started to buy some of the beaten down stocks such as BB, NOK, EVGO, LAZR, CHPT, TLRY, SNDL, BABA, PLTR, WISH, SKLZ, CLOV, T and VLDR.  In addition, I bought a growth ETF, SCHG, and the S&P 500 ETF, VOO. 

The growth stocks and ETFs have already bounced back, with MSFT almost at its previous high.  The beaten down stocks, well, they are still beaten down.   A few, BB, CLOV and NOK, are showing positive gains,   But most still haven't bottomed.

Overall, our total, by brokerage, are near or at all time highs, due mainly to the gains in oil and oil related stocks.   If the beaten down stocks show a similar resurgence, our accounts will have nice gains in the next few months.

However, I don't expect the beaten stocks to spike suddenly.   It may take a while for them to clearly bottom and begin an upward trend.  Fortunately, I don't have much invested in them and have the time to wait.

At this point, I plan to wait for another drop before making any substantial stock purchases.   I still think there are enough downside risks that will lead to another decline and buying opportunity.

Disclosure:  In our personal non managed accounts, we own shares of MSFT, GOOGL, AAPL, NVDA, NVLX, BB, NOK, EVGO, LAZR, CHPT, TLRY, SNDL, BABA, PLTR, WISH, SKLZ, CLOV, T and VLDR.   We also own SCHF and VOO ETFs.

For more on Reflections and Musings, check back Saturdays for a new segment.

This is not financial nor investment  advice. Please consult a professional advisor.

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