Saturday, February 26, 2011

Added to BYD position

BYD (HK:1211, Pink Sheets: BYDDF, Frankfurt Xetra: BY6) have lost over 30% since I took a position in it.

Chart courtesy of StockCharts.com.

It appears that BYD did not meet their sales targets for 2010 are are slashing prices. Thus, the downward movement. Also, money seems to be moving away from emerging markets and specifically from China (as illustrated by iShares FTSE China 25 Index Fund (NYSE: FXI):

Chart courtesy of StockCharts.com.


Since I don't see any reason to exit this long term position and given that I already suffered the loss, I decided to buy some more of it. I was anyway going to add to this position at some point of time and now seemed to be a good point to do it.

No comments:

Post a Comment