Top Names, 4/6/2023
Continuing our core strategy.
This Week’s Top Names
These were Portfolio Armor’s top ten names as of Thursday’s close:
Screen capture via Portfolio Armor on 4/6/2023.
If you’re starting our core strategy now, you’ll want to buy equal dollar amounts of each at or near these prices, if possible, on Monday (since the market is closed for Good Friday), and then enter trailing stops on each of them. Initially, I was using 10% trailing stops on all positions, but I extended that to 15% recently. As you get stopped out of positions, you’ll add new ones from the current top ten names then.
In my case, I am already running this strategy, and got stopped out of one name this week. So I plan to add Ferrari NV (RACE) on Monday.
If you’re not buying round lots of each of these positions, it won’t be cost effective to hedge them individually, but you can hedge market risk by buying optimal puts on an index ETF such as the SPDR S&P 500 Trust (SPY). As a reminder, you can use our website or our iPhone app to scan for optimal puts.
Alternatively, holding some of our bearish bets can work as a hedge against market risk too.