This Week in Episodic Pivots: June 4, 2023

Know when to not do anything

One of the most difficult parts of investing is to know when to NOT do something. Often that has more impact on your portfolio than doing something.

If you’re not doing something, you can avoid making a losing investment. Or if you are holding onto a winner, it’s usually best to do nothing and let your profits run.

So that’s what we’re doing this week. Absolutely nothing new.

Last week’s market action was decidedly bullish. Finally the S&P 500 Index broke out of its trading range and surged above 4,200.

The news that propelled it was the passage of the bill to increase the debt ceiling. No U.S. defaults. That sent investors rejoicing… And sent most of our portfolio higher.

But this is the quintessential buy the rumor, sell the news type of event. And cutting government spending (if you can call it that) is not a positive for the economy. The market may pick up on that this week.

Plus we are fully invested with 13 positions. Any more will get difficult to follow.

So hold tight and watch our stops closely this week.

Quick portfolio update: The Lion’s Gate position didn’t continue higher as hoped. That’s sitting near our stop at $10. That’s disappointing. And IonQ has pulled back a bit. But we are still sitting on some nice gains there.

Many of our stocks have broken back above all their moving averages… Which could mean green skies ahead. But we’ll watch for failed breakouts in our holdings, and in the market in general.

Sit tight.

That’s all for this weekly update.

Happy Investing!