Not too much preamble. I've been investing in the market for approximately 137 years (unsuccessfully of course) and have come to the conclusion:
Reading past page 7 of any T/A book is fiscally suicidal. One would be better served going to Hogwarts School of Witchcraft than trying to put together all the information a on a particular stock.
My system has performed well over the past several years, and it should work even better in a Bull market. If it keeps going at this rate I may break even by about the year 2033.
The one and only rule is:
Buy only a stock reaching a YEARLY HIGH where the low was ONE YEAR AGO and higher lows are evident throughout that year.
Things to consider are:
New listings (obviously at least one year old) can provide exceptional returns. Stocks that are breaking out of long periods of consolidation are worthy of a look. Forget trying to figure out how long the uptrend might last. Forget trying to figure out if the rise is sustainable. It is worth putting in an order at Support levels.
.................. and a Stop Loss!
Before you consider this a nuisance post go and grab any old charts and have a peek. And remember, Higher Lows for at least ONE year.
