Weekly Market Update #1
3 min read

Weekly Market Update #1

Weekly Market Update #1

This is the first edition of the Weekly Market Update. Its goal is to give you insights on the stock market, some visibility on my portfolio, and how I make decisions.

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Graph of the week

As I am trying to diversify my portfolio from U.S. stocks, I wanted to see if there were opportunities in other markets. Here is an overview of how different regions and indexes handled and recovered from the crisis:

How much money you would have over time if you invested $10k in each index on January 1st 2020

What we can learn from this graph:

  • S&P500 is not performing better than the global market (World) or the Emerging Markets.
  • Europe and the Dow Jones are the worst performing ones.
  • NASDAQ100 and Chindia are over-performing

The NASDAQ100 performance is not a secret, it is a very technological index that handled well the crisis. But China and India as a whole (not just technological stocks) are performing even better.

Past performance and financial indicators (MACD, RSI) of different markets and indexes

Overall it was not a good week for the financial markets. Financial indicators are not favorable in entering right now. Let's be patient.

My actions: I will dissect the First Trust Chindia ETF and invest in some of its technological components (more on this next week).

Portfolio update

I started this portfolio at the same time as the newsletter, and I am still in the process of building it.

Allocation and past performance of my portfolio (also accessible on eToro) and financial indicators (MACD, RSI).

There are many things I want to improve in my portfolio:

  • Reduce the exposure to the U.S. market.
  • Increase my exposure to the Chinese and Indian markets. Starting with ETFs, then individual stocks (once I am more familiar)
  • Reduce my position in USO (oil) to 0.
  • Not green enough. I want to increase my exposure to renewable energy and green-tech in general.
  • Keep my allocation in BTC in the 10-15% range
  • Reduce my position in HYG and JNK

What I've been reading

Notes on technology in the 2020s
Will we end the Great Stagnation? Here are the technologies I’m watching in the next decade.
What Happens When Everyone Is A Storyteller ? - Howard Lindzon
I love to tell stories. Back in 2017 I wrote a post called ‘Tell Me A Story‘ and today it feels like everyone has caught on and is doing the same. There are Snapchat Stories and Instagram Stories, but Tik Tok ‘tipped’ storytelling for a next generation. Now that the TikTok generation has discovered …
Why I’ve Changed My Mind on Bitcoin – Of Dollars And Data
On Bitcoin, why it’s here to stay, and the right way to invest in it.

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