Market Volatility: Insights from the Week

Following last Friday’s notable downturn, my portfolio has experienced substantial ups and downs this week. On Wednesday, it hit an all-time high, but the subsequent two days saw a sharp decline. However, it managed to sneak past last week’s lows, currently showing a Year-To-Date (YTD) return of 106% compared to QQQ’s 17%.

Recent Strategies

Exiting GAMB

This week, I made the decision to exit my investment in GAMB, primarily due to tax-loss harvesting. My portfolio already has considerable exposure to AdTech with CRTO and gambling stocks PLTK and HOOD, so reducing my exposure in this area was a logical move.

New Position in SOC (Sable Offshore)

I established a new position in SOC at $11.70. Given the expected future demand for energy driven by AI and high-performance computing (HPC), I decided to increase my portfolio’s energy exposure. SOC’s main asset is the Santa Ynez Unit oil field in California, which has a PV-10 value of up to $10 billion. However, the company faces significant challenges due to the lack of California government approval for oil pipeline transport, which severely affects its transmission efficiency. Consequently, the oil field has yet to be operational, leaving it without revenue. This investment is highly speculative for me and could lead to two polar outcomes: significant demand for energy extraction versus resistance from California’s environmental protectors. If the oil field is successfully activated, SOC’s stock price could see enormous potential for growth. Conversely, it could face a near-zero possibility. Given my strong earnings this year, I feel equipped to take on this risk.

Highlights & Lowlights

Highlights

• FLNC (+290%): Despite a significant pullback on Thursday and Friday, it remains up 20% for the week.

Lowlights

• Previously high-flying AI-related companies (NBIS, CLSK, FLNC) experienced sharp declines on Thursday and Friday. Value stocks continue to struggle, but since they were already at low levels, the recent drop has not been severe.

Future Outlook

As the federal government remains in shutdown and with Trump’s tweets, alongside the impending Q3 earnings reports, we can expect continued market fluctuations. I thrive on volatility and have identified several strong candidates in my portfolio. I’m ready to act decisively when significant opportunities arise in the market! 😊

Wishing everyone a great weekend! 🌟

(This is merely a reflection on my investing journey and not investment advice. Please exercise caution as risks are substantial.)