7-7-2020 Weekly Market Outlook & Review

Back after taking some time off to relax, and I’ve got a few things to review. Markets have continued to climb up slowly & steadily, yet the Vix is staying relatively flat/creeping up every so often. Most of the major market reports this week are outside of the US, showing that Virus fears & recovery prospects have a better than average chance of swaying markets locally in the US.

Over The Last Two Weeks, I Purchased Shares Of MGA, WCLD, TFII & STX Stock

I have been a longtime fan of Magna International stock ($MGA), as they offer steady performance with a sustainable dividend yield, while providing exposure to the Auto Parts & Equipment Industry.

WCLD also provided a unique way to build upon a position in the Cloud Computing space via SKYY, as their recent performance has been ~2x that of SKYY, and their share price is ~50%. This enabled me to add to my cloud exposure, without muddling the existing levels of SKYY profits I have.

Seagate Technologies stock ($STX) is another purchase I made, as they offer a strong dividend, healthy fundamentals & Information Technology Sector exposure, but from a more value-oriented perspective than most of it’s peers.

TFII is another name that I purchased shares in yesterday. Their fundamentals & technicals have both been quite strong recently, and they provide me with exposure to the Road & Rail Sector & Trucking Industry.

Buying Options – GE, CSU & CHEF Puts & SQQQ Calls

During the last week I also purchased some General Electric GE $6 Puts, with an expiration of 11/20.

General Electric $GE Stock Chart For The Last Year

I also purchased some $2 Capital Senior Living Corporation, $CSU Puts, with a 12/18 expiration.

Capital Senior Living CSU Stock Performance For The Last Year

Chef’s Warehouse $CHEF has $15 Puts that expire on 1/15/2021, which I also purchased.

Chef's Warehouse $CHEF Stock Performance For The Last Year

Additionally, I picked up some SQQQ $9 Calls that expire on 1/15/2021 for some extra protection from any uncertainty around the NASDAQ in the meantime.

Tying It All Together

Today is a market down day based on what the futures are saying (writing this before the open), and I’ll be keeping my eyes peeled for some deals on a few other names that I like in the longs & calls.

It’s interesting watching how people are starting to become much less certain of the strength of the markets now vs. a few months ago when not much has changed.

As a result, I’ll be still purchasing strong positions, and pick up some hedging options along the way until it appears that the markets are ready to take off.