Stocks up 50% or more in a month

What a difference a day makes. The list shrank back to 18 in a day. In overall market the momentum is cyclical. A market correction is good opportunity and it sets up next set of stocks for move higher. After a few days a new set of stocks will become new momentum stars.
I have got many emails asking which stock will be next on this list. I have no super secret formula to it. I do not get a delivery of Wall Street Journal a month in advance.
Momentum is highest at extreme ends. If you look at the list carefully today, you will notice around 70% of the stocks on this list had already doubled before they made their 50% plus move. Stocks which have been moving up at some stage start moving at faster rates and make a run. So if you want to focus on next stock likely to make 50% plus move focus on stocks which have doubled already.
Now if you add a % from recent high filter you will further reduce the universe. Only around 10% of stocks qualify that criteria. Now given 600 stocks it is easier to manage. If you want to go further you can look at things like shares outstanding, earnings growth, sales growth to further narrow the list to around 300. This gives a good enough list to outperform the market and on a daily basis you get enough candidates to put capital to work.
If you do not want to do all that work yourself, there is a shortcut. On Thursdays, Investors Business Daily runs a table of stocks with the Top 200 Composite Ratings and one with the Bottom 200 Composite Ratings. That list attracts little attention compared to the Investors Business Daily top 100 list. You can do your own research to find out how the stocks in it perform.
The key is to be consistent with a approach. The market offers many temptation but you have to find what works for you. This works for me because I have worked on fine tuning it for years. It may not work for everyone. But that is not a problem, there are many ways to make money in the market.

The commodities sector will probably have a big correction now because everyone is noticing it. The Financial Times has a story about mad scramble for commodities traders.

The hottest commodity in the booming commodities markets would seem to be the traders themselves.
So great is the scramble to strengthen once-neglected commodity trading desks and so scarce is the top talent that experienced traders are now commanding seven-figure sign-on fees and bonuses to match.
Industry executives said senior energy traders were receiving sign-on fees of more than $2m (€1.5m) in some cases. Two years ago sign-on fees were unheard of in the energy market. Commodity traders were largely unwanted during the 1990s and in the immediate aftermath of the Enron collapse and banks trained few new staff in their commodity trading divisions.

DXPE,Dxp Enterprises Inc
GIGM,Gigamedia Limited
IFO,Infosonics
LBY,Libbey Inc
LEA,Lear Corp
MDTL,Medis Technologies Ltd
MGPI,Mgp Ingredients Inc
NTRI,NutriSystem Inc
PEIX,Pacific Ethanol Inc
PGWC,Pegasus Wireless Corp (NV)
SCR--A,Sea Containers Cl A
TACT,Transact Technologies
TIE,Titanium Metals Corp New
TSCM,Thestreet.Com
TTES,T-3 Energy Services Inc
TZOO,Travelzoo Inc
ZOLT,Zoltek Companies Inc
ZVXI,Zevex Internat Inc
Special offers:
Try Telechart now. First 30 days free
Get 7 days free trial of Trade-ideas