[US Stocks] The stock market continues to overheat. How far will the global stock rally go?
Hello, I am Leeman (@Lehman1980).@Lehman1980)
The U.S. stock market accelerated its uptrend in the last week of November, and it has continued rising into December without any significant pullback.
The S&P 500 hit a fresh high on December 4, reaching 3,699 points..
Even the NASDAQ, which had been relatively weak in November, is reaching new highs.
＜S&P 500 closing level and new high 3,699 (20201204)＞
Shifting focus, here are the performance figures for the most recent month. Most stocks rose by more than 10%. Even XOM and CVX rose by more than 25%.
Long-term U.S. interest rates rose, and bank stocks, which looked undervalued, also rose significantly. Stocks with negative momentum are a bit hard to trade.（Source: finviz.com）
This is the SBI Securities account summary. (Close of December 4)
Cumulative profit and loss including realized losses and dividends shows a gain of just under $4,500.Compared with the previous week,a gain of about $3,500is recorded.
At last, unrealized profits have exceeded $10,000. It’s a pleasant development.
Currently, the USD/JPY is hovering around 1 USD = 104 yen, and I am continuing to monitor the situation.
Stock holdings amount to about $84,000, and cash equivalents such as MMF amount to about $47,000, making the ratio 64:36.
Bought/Sold stocks
Buy: PFF (300→400) VT (530→550) QCOM (8→20) INTC (30)
Sell: SPYD (500→400) PYPL (6→10→0)TSLA (3→4→1) TLT (20→0)
This time, I did a relatively large number of trades.
I increased positions in ETF and two semiconductor stocks.
Meanwhile, I have taken some profits on SPYD and others.
Long-term interest rates are likely to continue rising for a while, so I also closed TLT at roughly the same price.
Regarding TSLA, I did not buy more; I ended up selling while leaving one share behind.
What happened to watchlist stocks afterward?
FSLY: from $83, briefly spiked to $97 last night, but closed at $88. Is it a day-trading frenzy?
PM: from $76, continuing to rise to $80.
BTI: hovering around $35–$37.
Currently, I am continuing to watch NVDA, FB, ZM, DOCU, CRWD, and U.
In conclusion
The Greed Index rose into the 90s, while the Fear Index fell into the 20s.
In times like these, unexpected news can trigger pullbacks, so I plan to avoid extreme profit-taking or aggressive buying.
