This week saw another significant drop in the markets on Tuesday and Wednesday with a Thursday and Friday bounce back but this will probably be the way until the reporting season is over by the end of August. Investors are nervous that earnings could be affected by new Covid lockdowns in Australia as well as potential virus mutations in other countries both with and without vaccines. Over time, this is largely just “noise” that should be ignored if we focus on longer term ideas instead of very reactionary short term matters. That’s what we will continue to do to ride these problems with companies that are expected to not just survive but thrive over the next decade.

Fortunately, we are managing to preserve our capital and did not add anything to our positions this week. The detailed Spreadsheet will be the best way to report the results to date here.

The Interactive brokers account trades and values are here and note that they report things a bit differently for the USD assets and the currency valuations usually differ to the spreadsheets we use. However, we do know that the gains here are more than $3,000 from the $110,000 initial investment.

Ib Market Values 23 7 21
IB Market Values 23/07/21

The Bell Direct accounts are not doing much yet which is to be expected from Managed Funds. Some orders were placed at lower price targets but despite the recent falls, none were done. They are strong businesses with good cashflows and earnings for uncertain and high inflation periods:  Woolworths (WOW), Dusk Group (DSK), and Lovisa Holdings (LOV). They are there just in case the markets fall far enough to give us the opportunity invest in them but I don’t like buying them when they are already at fair value.

Bell Portfolio 23 7 21
Bell Portfolio 23/07/21

This week saw some stabilisation of Cryptocurrencies and possible signs of a bottom forming? We do need to recover the initial losses but we know anything is possible as far as both values going up or down. However, now that it’s not in the news, there’s more of a chance that the panic sellers have largely given up and the stage could be set for the gradual recovery by the “true believers”.

Crypto Holdings 23 07 21
Crypto Holdings 23/07/21

This chart shows a potential trendline with prices hitting support then moving up again. So the big rises and falls can also be seen as short term “frenzies” which in hindsight clearly were overdone. However, that does not mean they cannot recover those values some time in the future but we can’t be sure of when?

Etc Chart Trend 23 7 21
ETC Daily Chart Trend 23/07/21
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