Last week the market closed at 4842, this week we closed up 225 points at 5067. There was more support for the market this week as it moved to it high in the middle of the week before pulling back on Friday.
There is plenty of opportunity in the market to buy companies, many are oversold and look cheap at the current price. We are looking and recommending companies with solid liquidity levels, high barriers for entry which are not directly affected by COVID 19.
We could see our market move up another 5%, however we are still cautious on which companies we buy given that the bond market does not seem to be supporting the market at present. This could indicate a possible retest of the recent lows. Click for full article
We do not recommend to heavily invest at these levels, now is the time to top up some holdings and to start building positions in new companies. It is also a good time to think about selling out those companies with a low chance of recovery. Click for full article
Do not be fooled in to thinking, that everything is now OK, far from it. What we are seeing is the market hedging their bets on the recovery as restrictions are lifted. It will all be about the economic data over the coming months. This will be a slow long recovery,...