Our Criteria for Selecting Growth Stocks

Almost 7 years ago we at  "Investorspotlight"  started on a journey to empower Retail traders and investors to take control of their financial future.  We developed a Mentoring/Coaching program to take the mystery out of trading and investing in the stock market.  We got involved with the IBD (Investors Business Daily) Meetup group in the local Tampa Bay area to share our methodology with the local investors and traders.  In the process we learnt and solidified our own understandings of the IBD CANSLIM system.  Follow me on tweeter  @ "spotlightamin"  where I tweet daily on stocks of interest and stock market content that I find worth reading.    

Here is a short video that we developed 7 years ago to briefly highlight our minimum criteria for selecting Growth Stocks and establishing loss and profit targets for each of the stocks we take a position on.  We have fine tuned our system over the last several years but our foundation is highlighted in this short video.  We are hoping you will review it and comment on it and give us the feed back.  We hope you benefit from our expertise and over 25 years that we have spent trading and investing in Growth Stocks.

Passcode : spot0816 to view the video

Building a Watchlist and Planning a Trade -

Happy Trading

Amin (investorspotlight@gmail.com) 

Master the CANSLIM Strategy

C A N S L I M

Investors Business Daily (IBD) system of investing and trading growth stocks can result in attaning gains of 2 to 2 and 1/2 times better than the general market - utilizing the performance of the  $SPY  as a proxy for the performance of the general market.  Here is an excellent video by Richard Moglen who goes into the details of the highlights of IBD system of trading growth stocks.  

Review it on a regular basis to keep you grounded to the system.  We have been in a bullish trend since February of 2016 with minor pull backs of 3% to 8%  along the way.  That is perfectly normal and something every growth stock investors looks for.  Minor corrections helps shake out the weak holders of stocks.  It also helps set up new bases for stocks to take a breather and set up for the next move higher.  

August and September months are traditionally some of our  weakest months in the market.  It's hard to make progress with your portfolio when the market is volatile as it has been for the last couple of weeks.  Don't be dismayed though.  Observe the strict rules of mitigating risk and dispose of stocks that are not making much progress.  It's best to conserve  CASH   right now and harvest partial profits in stocks that have attained gains of  +20%  to  +25%.   Our best months in the market tends to be between November through April.  History suggests that if the market is up the first 6 months of the year, than the latter 1/2 of the year will also have a positive performance.  Have the  CASH  available in your account to take the advantage of rally in the Fall.

Happy Trading !

Amin

 Growth Stock Investing

IBD (Investors Business Daily) system of investing and trading growth stocks is one of the best ways to double your portfolio.  IBD studies has shown that adhering to their CANSLIM system, one can attain gains of 2 to 2 and 1/2 times than what one would attain investing in the general market using $SPY as a proxy of the performance of the general market.  It's a system that one can learn and master.  It requires discipline and following the the rules of the system.  

Market is currently in a  'Confirmed Uptrend'.  Although the coast is clear for making additional buys on your existing stocks or to initiate new positions right now, just be aware that the market is not making much progress right now.  Personally I started migrating to  CASH  over 6 weeks ago.  Although the major indexes - $SPY  and the  $QQQ  are trading above the 21 day ema(exponential moving average), they are pretty much extended from the 50 day sma(simple moving average).  Market retracing -5% to -10%  with low volume trading during the summer months of August and September would be quite normal.  This is not a prediction but we know these are some of the poor performing months in the market traditionally.  Let the stock charts tell you the story and let the data drive your decisions.

This is probably a good time for us all to polish up our skills of trading, review our past trades to see where we made mistakes and learn from it.  Learn to decipher stock charts and master the skills of identifying the ideal buy and sell signals that stock charts flash at you.  Currently IBD is offering huge discounts on their Home Study courses.  I have taken several of those courses over the years - and some of them I attended several times when they were presented live.  I would strongly recommend the following online courses to start your mastery of the IBD system.  Having an IBD subscription is a good start and these courses will certainly speed up your learning curve.  I know it certainly did that for me and I continue to look over my notes and the booklet they provided on a regular basis to keep me grounded to the system. 

IBD Digital Home Study Courses:

Level 1 ... $299 (50% off now for $149)

Level 2 ... $799 (30% off now for $549)

Level 3 ... $999 (30% off now for $695)

For less than $1,400 (1/3 off from $2097) you can build a starting library to learn the IBD system of Growth Stock Investing. 

Level 1 Video

Ken Shreve - author at IBD used to teach level 1 course live on a regular basis.  Currently he appears regularly on IBD live discussing stocks of interest during the first hour of the market.  He also appears regularly during the daily IBD segment of end of the day market analysis.  Here is a link to the short video he produced highlighting the Level 1 course.  One needs to master deciphering the bases that all stocks go through before they make their bid higher.

https://youtu.be/UiYSRX-AKBU

Good luck trading this week.

Amin