While we have been holding a large amount of cash in the portfolio and have only a short list of stocks rated buy, the market’s assault on Beigene (BGNE) has reached unacceptable levels. The stock has now been in free fall for seven straight trading sessions and has no support levels left.
I have kept waiting for buyers to come to the stock’s rescue, but there’s a limit. Today’s 7% dip, while it came on light volume, came close enough to our 15% loss limit to signal a sell.
I will sell the portfolio’s half position in BGNE tomorrow and recommend that you do the same.