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208 Posts
Discussion Starter #1 (Edited)
This is not a money diary as I don't plan on talking in details about my finances and goals, but I thought it could be interesting to you guys to see my thought-process, evolution and playground. It's more some kind of "investing diary" from a beginner point of view so you can see my mistakes and how I try to navigate through my thoughts and struggles.

I'm mid-30s, married and I'm basically broke because I just bought a property. We plan on doing lots of renovations on that property, so that's where most of our matrimonial savings go.

First portfolio is my personal playground. I started investing in stocks in mid-April. Previously, my money was in mutual funds for over a decade, from poor suggestions of my bank's financial advisers. I guess this was my first biggest mistake : not being aware I could invest by myself. My risk tolerance is very high. There are things in that portfolio that makes no sense - it's a playground.

Second portfolio is our money for renovations, this is where it gets reckless. I invested money I plan to use in October and that is much more money than my personal playground. Yes, I invested that huge chunk of money in only 3 stocks for that portfolio. Yes, I didn't look for red flags before buying the two last stocks and I'm currently losing a lot of money due to that. Yes, I know it's very high risk. No, that is not all of the money I'll need in October, it's half of it. The other half is cash. And it's for renovations, which can be postponed.

Did I buy those two stocks because I was excited by their run up in early June? Absolutely not. I bought them because I got my money available that day. That's why I think the entry point is important when you don't plan to hold long. And that day, I just did a blind-buy : I had the money, I bought. So my mistake here was that even though I was grasping a few concepts, I didn't even look at red flags. What kind of red flags? RSI was over 80 for both of these stocks. While my first investment on BMO was on a RSI is the low 20. I thought of buying OVV instead of SU and I should've, but I don't know enough of OVV even though it's my best performer on my playground.

Ok, I'm talking about RSI, am I a technical trader? No. I'm just slowly figuring out the pros & cons of every strategy for trading & investing and I use the best option accordingly to the context. (By the way, it's important to understand these indicator. RSI of 80 simply means the average of the upsides has been 4 times the average of the downsides. RSI of 20 means the average of the downside has been 4 times the average of the upsides. That's the RS part of the RSI.)

What's coming next for my first portfolio? Even though I plan on holding long, I may sell many stocks during 2021 because I started screening for better options on the US stocks for my playground. I named a few here : What is your favourite USD growth stocks? I don't do lots of trade at the moment because it's not much money so I don't want to lose on commissions even if it's only 5-10$. I've found better options that I can't buy at the moment due to that. I'll rebalance and refresh at the end of this year, once I'll have learned and figured out much more than today. I may even setup some algorithm trading validation for long-holders like me. Or maybe I'll become more a trader than an investor. I still have much to figure out.

What's coming next for my second portfolio? I thought of selling SU when it did +8% in one day after the recent news on EU stimulus. I decided to wait for earnings. Earnings were bad, people are currently selling today. I will continue holding, even if we are only 3 months away from when I'll sell everything in that portfolio. At the moment, it's not really losing any money. If something bad happens, I have my sell plan. And I can use my first portfolio's profit since my overall profit is in the positive. I'm just experimenting. I wish I had only bought BMO which is at +15%, but I'm glad I'm learning from my first mistakes. I'm pretty sure you're eager to see how I'll deal with that portfolio until mid-October. Guess what? If by October these stocks start recovering, I may continue holding them, and for renovations I'll use my first half which is cash and use margin and then I'll pay my margin with the profits on these stocks. Because at some point, they will recover and they've been hit hard.

Once all stocks in my second portfolio are sold, I plan on buying ETF every month and then sell at the end of the year for the next renovations. Something like DXG.

I'm not susceptible, you can give your own personal opinion on what I've done so far. I stand behind the decisions I take, whether they are good are bad.

Stocks are in order of current market value (or value when I sold). Please do NOT copy these portfolios, I'm a BEGINNER and this is a PLAYGROUND.

  • First portfolio : My Personal Playground for fun and hold long
  • Second portfolio : My Reckless investment of my matrimonial renovation money to be used in October

208 Posts
Discussion Starter #2 (Edited)
If I decide to stick to a CAD stocks portfolio, here's what I may try out for a few years. But I'm still in the process of screening stocks and learning strategies. As I said, I'm currently investigating USD stocks. And I'll investigate these stocks a bit more. That's just based on recent performance. Some of them seems overvalued at the moment, so I'm still looking for alternatives, but I'll see in a few months when I try out an official portfolio.


208 Posts
Discussion Starter #3 (Edited)
This week I was unsure about a decision.

On Tuesday the 21st, SU went up by more than +8%. I think it was due to the news about EU stimulus on Monday the 20th. But then there was earnings report on Wednesday the 22nd, after market.

I was not sure if I should sell that day (the 21th). Usually, when you plan to sell a loss, it's better after a recent gain. Why selling SU? Well, even though I plan to be a long-investor, I bought SU with money I'll need in a few months. Therefore, I wanted to sell high, then buy lower to reduce my current loss.

I was really unsure about the earnings report. I had no clue and I'm inexperienced. Since SU remained low for a few months, I thought a positive surprise on the earnings report would have made SU move up a bit more, again. But I also knew that a negative surprise on the earnings report would have erased its recent gain.

If I had sold after the recent gain and then a positive surprise occurred, I would've locked my current losses before another gain.
If I had held after the recent gain and then a negative surprise occurred, I would've loss the opportunity to sell high, buy low and reduce my current loss.

My gut-feeling told me to sell.
My brain told me to hold.
Basic technical analysis was in favour for a sell.
My heart told me to... well nothing, I have no preference for SU. It's O&G, I don't plan on buying that industry in the future, it was just for potential quick money like I'm doing currently with OVV.

I decided to hold. Then, SU had a negative surprise and now it's back to its lowest point of the week.

What I've learned:
  • Bullish events are an opportunity to make a move (well duh!)
  • Decision-taking should not be affected by a earnings report coming soon
  • Basic technical analysis was right, again and I was wrong, again
I would like to start playing around with that money using technical analysis for trading instead of just holding it for the next 2 months. But since so many events can occur in the next 2 months, I'm not sure that's really a good idea. I think Q2 will be the worst for most companies, but Q3 will be better. I may have to sell before Q3 ER, though. But I hope SU will slowly start moving up for its recovery. I still haven't found another option which could "guarantee" better performance in the next 2 months. There's OVV which is my playground's best performer, but that's a contrarian buy and I don't want to put my renovation money on a contrarian bet.

There are good news out there, also : Western Canadian oil companies to restore all output cuts by year-end, says Suncor CEO

Conclusion, I'll continue holding SU for the moment.

SU dropped to -19.21% P&L
REI-UN dropped to -16.5% P&L
BMO dropped to +13.43% P&L
Total P&L for that reckless portfolio dropped to -2.25%

208 Posts
Discussion Starter #4 (Edited)
Here's how I started investing in the stock market for the first time during these times of COVID and recession.

My personal playground fun portfolio against IXIC.

And just to show the effect of my big mistake on my reckless portfolio, this is against TSX.

208 Posts
Discussion Starter #5
If I end up creating a portfolio mixed US-CND, from what I've seen so far, it may look like this.


208 Posts
Discussion Starter #6
Here's an update since the last 2 weeks. I know I should not look that often, but since I only started recently during these crazy times, it's fun to see what happens.

What happened since then?
  • Missed an opportunity IPLP - Missed my opportunity
  • Lots of earnings reports
  • WELL surged
  • CJT jumped
  • KXS & CSU dropped bad today, but are still up from 2 weeks ago
  • VMD dropped bad
  • XBC is on an uptrend, but earnings are on August 11th
Overall, my playground portfolio is doing great and currently beating IXIC with a TSX-only portfolio and much less tech exposure. I know, that's barely four months since I started, so it means nothing but at the moment it's fun to see it's going at the right direction, at least.



What about the reckless portfolio with those 3 big positions that I want to sell in a few months? Well, my huge mistake of buying high when there were red flags is still hurting a lot and I'm definitely guaranteed to sell at loss on those 2 positions in the red. I'm happy my biggest position was bought very low and is balancing out. SU is definitely a drag at the moment, even though I think it's a very good candidate for a long-hold. Moreover, I wanted to sell SU to buy IPLP right before it got bought at +50%, so I missed my luck on that one. I still think SU can move up in the next 2-3 months, so I'm thinking about my options to delay its selling.

208 Posts
Discussion Starter #7
What's currently on my watchlist? I think a portfolio made of these stocks would be nice. Good diversification, nice value, nice growth, nice stability.

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