Two of my holdings – Canadian Oil Sands (COS.TO) and Power Corp (POW.TO) – have dropped markedly in the past few weeks. In the last month Power Corp is down 4% and Canadian Oil Sands is down 10%.
The fundamentals of both stocks are still strong (they are both still core holdings) so this presents a great opportunity to add to my positions. We are still early in the Summer and the European debt crisis is still very much alive, so I decided to be aggressive in my pricing.
- BUY COS.TO @ $18.25 (6% below today’s price and a little above the 52 week low)
- BUY POW.TO @ $21 (10% down on the current price and just above last year’s low of $20.90)
I already have both stocks in my portfolio so I’m not absolutely desperate to make these trades: I can be patient. I’ll leave these limit orders open for 30 days and see if I get a hit.
Today, 25th June, my Canadian Oil Sands order was filled at $18.25. I cancelled the Power Corp order, which is still far below the market price (no bargain there).
Writing today, 9th July, this looks like a good call. Canadian Oil Sands is at $19.43 (up 6.5%). At one point during the past month the stock was up to $20.71 (a 13.5% gain!!) on Iran tensions, but has since pulled back.