LM portfolio as at 04/03/2022:
| Code | Sector | Date Bought | Cost | Value | Gain/Loss |
|---|---|---|---|---|---|
| LM028 LM028-2 |
'No specific industry' | 16/11/2020 10/08/2021 |
£2280 | £2630 | 15.50% |
| LM038 LM038-2 |
Banks | 10/03/2021 04/01/2022 |
£2290 | £2170 | (5.35%) |
| LM040 LM040-2 |
General Financial | 27/04/2021 22/11/2021 |
£2290 | £2640 | 15.34% |
| LM041 | Real Estate Investment Trusts | 27/07/2021 | £1270 | £1290 | 1.93% |
| LM045 | Gas, Water & Multiutilities | 06/12/2021 | £1280 | £1210 | (4.97%) |
| LM047 LM047-2 |
ETC | 17/01/2022 03/03/2022 |
£2530 | £2880 | 13.76% |
| LM048 | ETC | 31/01/2022 | £1260 | £1410 | 11.40% |
Whilst the market may have been hinting at falling the past couple of weeks, it certainly made its mind up in the last few days.
The FTSE 100 dropped below 7,000 on Friday. The FTSE 250 fell below 20,000.
I'm no technical analysis specialist but those levels are likely quite significant. And for the indices to fall below them means we'll probably see further falls.
It can't all be profit when we are investing, we have to take the rough with the smooth. At some point the markets will drop and they will drop hard. This slump isn't nice but at the moment it is nowhere near as bad as the hideous Covid drops from two years ago.
So the weekend checks showed that there are several opportunities in commodities which I may be taking up this week. I am already in on two ETCs (LM047 and LM048) and may add one more. I'll try to remain diversified even in commodities. No point loading up on a handful only to see them all drop at the same time.
And despite the stock market looking shaky, I only got the nod to close one position. I sold it off this morning to take a small loss. This is certainly disappointing considering that this was a two unit position and at one point had shown a very good paper profit. The conflict in Ukraine appears to have hit this share (LM038, NWG) but I wouldn't know enough about banking and politics to be able to explain it. The price dropped below the 200 day SMA and stayed there for 3 days. Simple.
Whilst I was logged in to my broker account I was dismayed to see further falls in my share positions so I took the decision to cut two more of them - LM028 and LM040. I've little patience when the market is falling and really hate to watch decent profits wither away so they were cut.
Both shares were, from what I can tell, investment-related and so will almost certainly drop as the overall market drops. Perhaps they were too closely related to each other so being in both meant I wasn't diversified.
A small profit was gained from each position so it's not all bad. Whilst I sort of broke my own rules by selling these shares, I comfort myself by realising it's possible to get back in later if they reach 52 week high levels again.
So the first three positions you see in the above table have now been dumped as of this morning.
A second unit was added to LM047 on Thursday as the trade was up to 20% in profit. This is a fast moving commodity which I will monitor closely as it could drop as quickly as it went up and I don't want to be caught napping.
Good luck to all investors out there. This is looking like another capitulation and I am very wary. Being in cash is a position and I am happy to be heavily in this position for now.