Investing this week? What to do?

This is just a quick blog to remind myself what I am going to do this week.

Yes, more of AK talking to himself.

Eavesdrop at your own risk!

If you are not the risk taking type, stop reading now. ;p

Don't worry.

You are not going to miss out on anything, I feel.

This blog isn't going to be about anything earth shattering or mind numbingly ingenious.

It is just going to me sticking to my plan which is to generate more passive income.

It is about being pragmatic and putting money to work in bona fide income producing instruments.

No PONZI schemes please.

I want to continue my exposure to fixed income as their yields have become reasonably attractive in recent months.

So, I will be applying for Singapore Savings Bond with the remaining $14K originally set aside for CPF voluntary contribution in 2023 as planned.

I will also try my luck again with the upcoming 6 months T-bill. 

I was lucky to get some 4.4% p.a. yield 6 months T-bill in the last auction.

Yes, it is luck, despite what some people might say.

It is an auction.

Who knows what is going to happen with any degree of certainty?

I know I don't.

Let's see what we will get in the T-bill chocolate box next.

I know many people want to know what the T-bill yield might be and some people will probably do some crystal ball gazing.

However, I am not going to bother anymore as when people thought that the yield would be higher, it came in lower and when they thought that the yield would be lower, it came in higher.

Alamak.

I blur liao lah.

How like that?

What does AK think about this?

Well, here is the brutal truth.

With a sum of $10,000 to $20,000 per auction, it won't move the needle much whether the yield is 3.9%, 4.2% or 4.4%.

Am I right to say that?

OK, I know. 

Bad AK! Bad AK!

This applies only to AK!

Move on now.

Nothing to see here.

The next thing I want to do is still to increase exposure to the local banking sector.

I blogged about my intention to average up on my investments in OCBC and UOB in October. 

However, I only managed to increase my investments in the banks by 11% and 19% respectively before their stock prices rose much higher.

There is a chance that OCBC might retrace to test support. 

I see the longer term 200 days moving average at just under $12 while the shorter term 50 days moving average at just above $12.

So, that is probably the immediate band of support for OCBC.

That is probably where I would be buying again.

I remind myself that technical analysis shows where the supports are but it cannot tell if the supports will hold or break.

What if it breaks?

Looking at the weekly chart, the 200 weeks moving average is at $11.

I do not believe it would go that low as there is a trendline that is rising and should provide support at around $11.60 to $11.70 in the next couple of weeks.

Of course, Mr. Market does not care what I believe in and will do what he wants to do.

OK, this blog is probably longer than what I had in mind.

Stopping here.

In case I do not blog again until the new year, Merry Christmas and Happy New Year!

References:
1. Walk F.I.R.E. enter demon.
2. 4.4% yield T-bill: Sanity or...?
3. DBS, OCBC and UOB at...