October 2020: Week 1
Edition #013 - Data recap of last week's big moves inside the Tech ETF landscape. See what to keep an eye on for the week ahead.
Despite some volatility towards the end of the week after the first US Presidential debate and President Trump testing positive for COVID19, the stock market managed to squeak out a positive week for the second week in a row, starting to pause concern of a potential bear market or larger correction. Personally, I think the volatility of this last week has me thinking that the election may be more stable for stocks than anticipated.
Anyway, let’s jump right into it…
Weekly Changes:
Out of 114 Tech ETFs analyzed, the average Tech ETFs just managed to have its 3rd positive week last week, gaining on average 1.00%, with none of the top 5 ETFs being levered (compared to 4/5 last week).
In fact, it seemed to be a week for the alternative sectors with $BATT (Amplify Advanced Battery Metals and Materials ETF) leading the way, followed by ETFs in 3D printing, Lithium, Israel Tech and renewable energies.
The S&P500 had a modest week, rising just 0.186% for its second positive week in a row.
More interestingly, lithium stock $LAC (Lithium Americas Corp) had a 45% gain through the week.
Sound familiar? Well it should.
I covered the stock two weeks ago when it jumped 43% that week. Making this is the second week out of 3 that the stock has jumped greater than 40% throughout the week.
The goal of this newsletter is to provide 1-2 actionable pieces of information which you can look into every week. I’d love to know if anyone looked into $LAC after reading FinLister two weeks ago. Feel free to reply to this email if you did.
Meanwhile on the bottom end of ETFs, we mostly saw our levered bears. But interestingly we see $TECL a Daily Technology Bull 3X Shares in the second to last spot, showing the volatility of levered ETFs through periods of decent multiday swings.
Year-To-Date:
Of the 107 ETFs which have been around YTD, the average return sits at 20.57% (up from 17.42% last week). The S&P 500 ended the week a decent 3.94% YTD returns.
The top 5 constituents saw the same holdings but in a slightly different order.
$ARKW and $ARKK switched places in the top 2 spots.
$OGIG moved from 5th to 3rd.
$FNGS held 4th
$WCLD dropped from 3rd to 5th
Given these ETFs were the same as last week, we didn’t see much of a change at all from the top 5 stocks in this cohort,
$MCRB (Seres Therapeutics Inc) has continued to extend its run at the top. This is not surprising giving the stock was trading at $3.35 at the start of the year and now sits at $27.69 where any small gains here actually change the YTD figure somewhat drastically.
$TSLA managed to claw back some gains after some profit taking during Battery Day the week earlier.
Snow Watch
I had some positive feedback on this segment from last week, so I thought I’d keep it in again. This continued thread of $SNOW (Snowflake), which:
Was listed to IPO at $120
Opened at $240 and had max stock price of $319
Opened last week at $226
Opened at $235 last week and $271 throughout the week to finish back at $227.
The stock is set to open this week at $232 and may present a buying opportunity for people who missed the IPO. Personally, I think I’ll wait closer to the new year to buy, once the employee lockup period has concluded (if I choose to do so anyway, but who knows these days!).
As always, hope this issue gives you a better footing to start the week off on.
To those 15 new readers that joined this week, thank you so much. We are at 249 readers after just 13 short weeks which is amazing. Thankyou!
I can’t wait to share more on the FinLister the ETF screening tool which is getting very close to going live. Stay tuned…
Thanks,
Stuart