The Morning After

The market pullback yesterday has left a lot of investors jittery. If you're not careful you can start talking to yourself and then start doing dumb things with your money.

Personally I want to see even more of a pullback so I can look for more opportunities to add to my dividend stock portfolio and even for some short term trading opportunities for my gambling portfolio.

"If you are looking to buy stocks, why would you want the market to go up" - Warren Buffett

Exactly Warren. It is in this environment that your favourite stocks go on sale. It's because when people sell in a panic, they dump their funds and ETFs and providers have to sell off assets to meet redemptions. It's a game and that's how it's played.

It should take a person at least 6 months to put a portfolio together. Never go out in one day and buy everything with all your money. Take your time and look for more days like yesterday to build or add to your holdings.

Remember to sell on the up days and buy when things go south. That is if you have made any mistakes or are looking to dump companies that have cut dividends.

Dividend Stock Watchlist

Sometime during the summer I am hoping to add some more of these stocks to our retirement accounts.

EMA, TD, RY, BNS, CP, ENB, TRP and CNR.

Gambling Portfolio & Watchlist

This changes every day but currently I'm holding GSV, APH & THO.

6/7 stocks I added to the updated watchlist are in the green and one is flat. Did you take a chance and gamble on any of them? They have all been winners even after the carnage yesterday.

I dropped PNE from the list and added DGC. PNE hasn't moved anywhere in a couple weeks. Better opportunities exist. ALO, PONY, LAM, HIKU, ACB, MUX, DGC and KAT currently make up the list for play money.

Once again in these volatile times wait for these stocks to gain added strength on a firm rise in volume (relative strength RSI). 

I never ever hold a stock in a 20% losing position. You must recognize your losses early and SELL. Buy something else that is moving up. You don't have to be right every time to make money. This is what I do with money I can afford to lose.

Portfolio Changes

I decide to sell my position in the Int'l ETF - TPE. With the proceeds I bought more shares of Royal and TD banks. Why these 2 banks? They are Canada's largest by market cap so the most likely to buy more assets like robo-advisers and the least likely to experience a severe downturn. I'm looking at BNS as another strong candidate to add. It is down since the new year so over the summer I will look to buy a few shares.

All major markets up again today after yesterday's pullback, proving once again the ability of these markets to bounce back from any negative news. Investors just don't seem to care and are buying the dips every chance they get.

Stars & Thunder

Leaving for Timmins tomorrow to attend an outdoor concert called Stars & Thunder. I doubt I will post anything or even look at the markets until I get back next week. Have a great week on the markets.

Related Post: My Gambling Portfolio

Recommended Reading: