Join our Telegram channel (8000+ subscribers) for daily market analysis & trading tips: t.me/synapsetrading
For the month of January, the stock markets drifted lower and continued to hover near the lows, as traders and investors speculated whether they would break new lows or start a rebound.
Fundamentally, nothing much has changed, and the outlook continues to be bearish. As such, I will not be adding any equity positions till I see a stronger bottom for the market. I am looking at 2,200 or 2,000 for the STI index.
As part of my defensive strategy, I have increased my holdings in Gold, which should act as a good hedge if the stock markets continue to head lower.
For my long-term capital appreciation strategy, I have also increased my holdings in Oil, as I foresee a possible rebound some time this year.
For my total assets, 9% was kept in Savings & Liquid Assets, 22% was Non-investment Assets, while the rest (69%) was used to build my investment portfolio.
For my investment portfolio allocation, there is a small amount in Fixed income (6%), slightly more in stocks (19%) and commodities (16%), and the rest was in cash (23%), Trading Accounts (17%) and Misc Investments (19%).
Stay tuned for next month’s update, or subscribe for our mailing list to receive monthly updates in your email!