Jimmy's Journal Trade Alert 🚨

Some trades and reflections. Price action and value investing...

The past 20 days have been a masterclass in how quickly narratives can shift.

In over a decade as an investor, I’ve never seen such a drastic change in sentiment.

The recession narrative is gaining traction, and while these moments create opportunities for value investors, it’s crucial to avoid catching a falling knife.

We never truly know how far the market can move in the short term.

Today's trades were guided by price action - not in a trader’s sense, but as a signal of market positioning. The sharp moves in some stocks caught our attention, and given their underperformance, we adjusted our exposure, using them as sources of dilution in the portfolio.

While volatility remains high, our focus is on building resilience and ensuring the portfolio is positioned to weather both inflationary pressures and recessionary risks.

More moves could be on the horizon.

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Portfolio Adjustments:

Continuing our effort to build a more resilient portfolio, we have increased our exposure to: