Introduction
Hello Everyone!
Welcome back to another Iteration of The Weekly Selection. Last week saw continued buying on light volume, similar to the week prior. I had initially thought this light volume rise would be quickly culled by banking pressures, but it seems that wasnt the case. After some quick portfolio adjustments early, the week rounded out as my best since the start of the year.
SPY 0.00%↑ chart below with annotations:
While the SPY 0.00%↑ daily chart is starting to show some extension, the weekly is telling a different story. Im seeing a number of speculative routes we may take over the next few months, but something ive become quite accustomed to in the last year is the ability to stay nimble in uncertain price action. We may get a tradeable run out of this yet, however its still wise to understand the macroeconomic pressures, such as home purchasing, rate hikes (fastest ever), as well as some key foreign moves such as China circumventing the US in dealings with Brazil.
Quote of the week
'‘Successful people change in ways that allow them to continue to take advantage of their strengths while compensating for their weaknesses”
- Ray Dalio
While this isn’t necessarily related to investing, I’m drawing some consistencies anyway. As traders, its good to always try to learn and improve upon those skills we are not as consistent or strong in. However, recognizing ones strengths any utilizing them more and more can give a competitive edge. For example, I am not a very good SPY 0.00%↑ trader. I am however pretty good with equity, so Instead of trying to do both at once, I focus on my equity skills and only practice with SPY 0.00%↑ in small doses.
Past Performance
Hell of a week for the portfolio last week, shown below:
More than doubled the index, and had some awesome runs in HUBS 0.00%↑ WDAY 0.00%↑ and STM 0.00%↑. A theme for last week, that i failed to mention was the consistency of mid level tech stocks. It seems many of them drove the market while mega caps sat back. If anyone is interested in following along with my trades exactly, they can be found on my twitter, HERE.
Charts
Trying something new this week with my selections. The first will be my ‘featured idea’ and I will track them in the background of the usual past performance excel sheet.
MPWR 0.00%↑ is first up. Strong weekly chart with some overhead at 540 and then 590. Definitely my favorite this week. It may take a couple more weeks to play out, especially if we get some profit taking on indexes, but Ill be looking to swing this.
PI 0.00%↑ has been featured on the newsletter before, and I haven't always been able to time it right. The reclaim of its key moving averages is a good sign for me, and ill be keeping a close eye on it this week.
MBLY 0.00%↑ is another frequent on the newsletter, for good reason. Low float, fresh IPO with solid technical setups. I would like to see an inside day before I hop in.
ABNB 0.00%↑ slightly extended on the daily, however this could be a powerful structure similar to $META.
Not too much looking great with extensions piling up. While this could be the start of a great run, its important to still maintain our personal rules and look for the best entries in the market.
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Thanks!
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