I have finally kicked myself into updating this blog, after a month of inactivity. My US and HK portfolios got pretty hammered, UK and India are still doing OK. The thing is, that markets haven't moved at all during this period while most of my stocks declined more than 10%. Why is that? Well growth stocks went mostly down, Russell 2000 underperformed the S&P500 by almost 5%. This point is very important, as it usually happens around market tops, money flows away from the high-flying "speculative" issues into "safer" stocks like utilities or blue chips. I'm moving a large part of my money into cash, today I will sell most of my US stocks: UTHR, SALE, ININ, ESNT, while keeping only KORS. My screeners show very few opportunities, only a small number stocks are hitting new highs, despite the markets being just a few % down. That's why I'm very cautious now and remain in cash until I see more quality stocks breaking out. However, Indian stocks are still doing quite well, and I remain heavily invested there, the growth stock downtrend seems to have happened in US, UK and Hong Kong so far. The next few weeks will be very interesting and will show if my thesis is proven right or wrong.
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