In the past week, we made 6 new trades: 4 buy(s) and 2 sell(s).
Click here for the Momentum Ranking of week 33.
Navigating Market Currents: This Week’s Portfolio Update
As we move through a dynamic market landscape, the S&P 500 continues its positive trajectory above the 200-day moving average for the 51st day. We’re nearly fully invested with a cash share of just 1.82%. This allowed us to make several strategic portfolio adjustments, aligning with our momentum-based strategy as described in Andreas Clenow’s book, ‘Stocks On The Move’.
Strategic Buys and Sells
This week, we made noteworthy additions to our portfolio, focusing on momentum-driven opportunities. We’re excited to bring in NVIDIA (NVDA), a leader in the technology sector known for its innovation in graphics processing. Alongside, we’ve added Estee Lauder (EL), strengthening our consumer staples exposure with its strong brand presence. Allegro MicroSystems (ALGM) joins from the semiconductor industry, while Carnival Corporation (CCL) marks our venture into the travel sector, capitalizing on post-pandemic recovery.
We’ve said goodbye to Mosaic Company (MOS) and NewMarket Corp (NEU), as they no longer align with our top 10% momentum ranking. It’s essential to keep our holdings dynamic, allowing for potential gains from high-performing sectors.
In terms of rebalancing, *we added to our existing position in Comfort Systems USA (FIX), reinforcing our position based on performance metrics.
Portfolio Highlights
Technology takes the spotlight this week as our top sector, known for its growth potential and innovation-led returns. This aligns well with our momentum strategy. Currently, our top holdings include Jabil Inc. (JBL), Oracle Corporation (ORCL), and Broadcom Inc. (AVGO), highlighting our diverse exposure across industry leaders.
Highlighting performance, Palantir Technologies (PLTR) stands out as the best performer with an 18.42% gain, whereas Allegro MicroSystems (ALGM) saw the biggest drop, down by 4.64%. Despite this, our approach stays consistent with the momentum strategy that kept us adaptive and prepared for shifting market conditions.
We’d love to hear your thoughts on these changes! Share your insights in the comments and join our discussion on market strategies.
This week’s transactions:
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Rebalanced / added:
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Rebalanced / reduced:
- No positions were reduced in this week!
Index Distribution:
The S&P 500 index is currently contributing the most to our portfolio.
Current portfolio allocation:
Right now, the Technology sector is where most of our money is at.
Weekly sector distribution:
Current portfolio (@finviz):
| Symbol | Name | Index | Sector | MC | Dist to 52w High | pct |
|---|---|---|---|---|---|---|
| JBL | Jabil Inc | S&P 500 | Technology | 24.66B | -1.33% | 0.082 |
| ORCL | Oracle Corp | S&P 500 | Technology | 714.57B | -2.48% | 0.079 |
| AVGO | Broadcom Inc | S&P 500 | Technology | 1465.92B | 0.43% | 0.073 |
| FLEX | Flex Ltd | S&P 400 | Technology | 19.38B | -4.33% | 0.07 |
| FN | Fabrinet | S&P 400 | Technology | 12.41B | 0.19% | 0.067 |
| EL | Estee Lauder Cos., Inc | S&P 500 | Consumer Defensive | 32.86B | -11.70% | 0.064 |
| FIX | Comfort Systems USA, Inc | S&P 400 | Industrials | 25.17B | -0.69% | 0.064 |
| NVDA | NVIDIA Corp | S&P 500 | Technology | 4463.61B | -0.51% | 0.064 |
| GEV | GE Vernova Inc | S&P 500 | Industrials | 178.71B | -3.07% | 0.06 |
| STRL | Sterling Infrastructure Inc | Barrons 400 | Industrials | 9.37B | -4.33% | 0.059 |
| IESC | IES Holdings Inc | Barrons 400 | Industrials | 6.95B | -5.68% | 0.05 |
| VST | Vistra Corp | S&P 500 | Utilities | 70.75B | -3.70% | 0.048 |
| PLTR | Palantir Technologies Inc | S&P 500 | Technology | 445.36B | -0.14% | 0.047 |
| VRT | Vertiv Holdings Co | Barrons 400 | Industrials | 54.72B | -8.05% | 0.046 |
| AGX | Argan, Inc | Barrons 400 | Industrials | 3.25B | -6.09% | 0.038 |
| CCL | Carnival Corp | S&P 500 | Consumer Cyclical | 38.51B | -4.60% | 0.025 |
| ALGM | Allegro Microsystems Inc | S&P 400 | Technology | 5.88B | -17.37% | 0.023 |
| RCL | Royal Caribbean Group | S&P 500 | Consumer Cyclical | 84.65B | -12.44% | 0.022 |
| cash | Cash | Cash | Cash | – | - | 0.018 |
As always, more trades next week!