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Showing posts from November, 2021

Websites I use for my trade set up - Part 2 of 4 (30Nov2021)

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  Here is another website that I use: 2. Investing.com I have set up a (free) account with investing.com. There are some similarities with Yahoo Finance but I love the following features: Economic Calendar - that I can customize by country and also importance (1 to 3 stars). On top of economic calendars, they offer a pleasant layout of holiday calendars, earnings calendars, dividend calendars and more. Favourite feature - Technical analysis The technical analysis provided by investing.com is one of my favourites. Using  $Tesla Motors(TSLA)$  (1 Day period)  as an example, this technical analysis is a good and easy way cause they have included the common indicators used by most. Thank the colour coding of green for buy and red for sell, it is easy to catch in one glance how we can take action. the other feature I love is that they have identified the support and resistance using classic and  Fibonacci. As we can see, Tesla receives strong recommendations to buy as per the screenshot cap

Websites I use for my trade setup - Part 1 of 4 (29Nov2021)

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  For a passive (value) investor, I use a few websites for my investment and research. First, I look into the  fundamentals of the different companies  that I plan to invest in. I have set myself a rule -  to at least go through their recent financials  (annual performance of their income statement, balance sheet and free cash flow) before I invest. If the company shows good fundamentals, I will deep dive further into its annual and quarterly earnings. 1. Yahoo Finance The one that I used the most is the ( free )  Yahoo Finance : This is a good summary view from Yahoo Finance where I obtain average volume, PE ratio (TTM), EPS (TTM), Beta, Earnings Date, Dividend & ex-Dividend date. These are good ratios that provide a good “macro” view of the business.  Details determine destiny  - we should go on into more details so that we have better confidence in the decisions we make. All these form part of our risk management.  If you cannot explain the business to a young kid in 5-10 minute

How I research into companies - using $SRG (28Nov2021)

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  Seritage Growth Properties (SRG)  $Seritage Growth Properties(SRG)$ This stock got my interest as Guy Spier and Mohnish Pabrai own them as per their recent 13F filing. I have been following both investors and appreciate the sharing of their investment insights. Thus, this stock has caught my attention. With this company, I will share my research with companies. This part only looks at their annual performance from recent years (starting 2017 to TTM) with a macro view of their income statement, balance sheet and cash flow statement. To be more comprehensive, we will need to check on the sector (to ascertain the average industry performance, average metrics like P/E, P/S, P/B, P/FCF and any sector concerns). We would need to look into their annual and quarterly earnings. Who is SRG? Seritage Growth Properties is a publicly-traded, self-administered and self-managed REIT with 166 wholly-owned properties and 29 unconsolidated properties totalling approximately 30.4 million square feet of

My investing muse - What causes stock prices to drop - black swan “omicron" (26Nov2021)

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On 26 Nov 2021, the global stock market took a hit due to concerns of a new Covid19 variant from Africa that was reported in South Africa, Europe, Japan & Hong Kong. WHO has named this variant “omicron". This has led to Dow dropping 900 points on Black Friday, the single biggest day drop this year. The good news reported was that this variant can be detected using PCR testing. Vaccine makers are already checking the effectiveness of their vaccine with   $Moderna, Inc.(MRNA)$  looking into variant-specific treatments/vaccines. The stock market did not take the news too well and the drop in price of crude oil was a clear sentiment about how this can affect the spending. With concerns, countries imposing lockdowns & limiting air travel, there has spooked the market, causing what is typically known as a " black swan event ". As per the supply and demand curve above (from Britannica), price (of stock) is the result of supply (quantity) and demand (buying & selling

My investing muse - How should we invest during market corrections or crashes (04Nov2021)

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  Market dips or corrections are part of the journey of investing. Peter Lynch shared that in 93 years, the market saw about 50 market corrections (or dips that are more than 10%) and out of these 50 corrections, 15 of them will be more than 25% in drop.  Thus, this implies that in an average of every 2 years, we should experience a market correction of more than 10% and every 6 years, a crash of more than 25%. From another source,  a  correction  is generally agreed to be a  10% to 20% drop in value  from a recent peak. This can happen to a single company or market as a whole. A  market crash  is usually a  more than a 20% drop in value in the market . The chart above shows an important element - the market always recovers after such corrections (listed by the various corrections from 2009 to 2018). As per 4th Nov 2021 (GMT+8hrs), S&P500 stands at 4660 is way beyond the 2800+ seen on the chart ending Q4/2018. From the chart above (1930 to 2021), we see a strong uptrend of the S&am