[weekly review] 2017w50

Foreword

We are at the final stretch of 2017! Good time to do all the tax relief and review for 2018!

Action

AEM. BOUGHT as Growth counter. I have been looking for semiconductors-electronics counter to make an entry ever since i exited Venture corp ( see here). Besides the phenomena growth seen, it is expected that industry can sustain this year's order books and will be looking at increasing orders due to the multi-confluence of positive factors ( automotive, AI, IOT, etc). 

FA-wise, AEM expertise lies in its automated testers, and this year they debuted some tester that is supposedly very awesome, and it has been proven by the order books in the reported quarters. So when i was looking for electronics counters to enter, AEM low forward P/E together with legroom for further growth caught my eye.

TA-wise, the recent tech selldown help pushed prices down below the 50ma line. As seen in the chart, it pushed prices to an area of value ( most recent support arounf 2.9) and the trigger came when i saw the price movement resume its bullish pathway. 

Strategy,  while i am expecting TP1 to be hit, i am not sure if it will continue trending up or it will experience a  range bound trade. If it is the former, i will scale up on this counter ( 2/3 of the position when there is setup) and if it is the former, i will exit when it reverses below $3.3. 

Holdings

I will actually like to talk about holdings that are laggards in my portfolio. i guess i have not practised full discipline.....

Global Investments. I am looking to reducing this counter holdings by 50%. Although i followed my set-up to add more, i didn't adhere to my scale-up rules leading to this discomfort position.

lesson learnt: follow scale-up rules to maintain edge.