Beating the #market

Another week in red has gone by, with the three major US stock market indices losing between 1.7 and 2.6%.

Perhaps the most significant development, however, relates to the price of #oil which has finally seen a spike from the lows of the beginning of the week. This is thanks to the expectation that the major producers may soon agree to cut production which should better align supply with the reduced demand. I have tried to play this with a very short term trade but didn’t actually succeed as I sold my $USO position too quickly with a marginal loss. It has taught me another lesson about how pointless short term trades can be, at least for me, as I am fundamentally a long term investor. Always invest in what you understand ! I did however benefit from a 12% gain in my Occidental (ticker $OXY ) position.

This week I have started a new long position in ConAgra Foods (ticker is $CAG ): I don’t expect it to work wonders, as it is a value stock, but to actually provide a single to low teens return within the next year or so and therefore some stability to my portfolio. I have bought it on Tuesday and have already achieved a 4.28% gain. It also pays a 2.8% dividend and the next quarterly ex-dividend date is expected in late April. I felt the timing was right as they have increased their guidance and now see FY20 adjusted EPS earnings per share above the high end of $2 to $2.07.

A similar investment made earlier in March is in General Mills (ticker is $GIS ) which this week has gained 9.4% !

Here is a simple graph created with Yahoo Finance to compare these two stocks with the three major US indices for this past week. How did your portfolio fare compared to them?

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I currently have 14 long positions in my eToro portfolio and 9 out of 14 have beaten the US market this past week. Ultimately, beating the market is the most important goal.

Be an active investor and invest responsibly.

Have a great weekend, all !