How to find a stock which makes 1500% move in a year | stockbee

2/05/2007

How to find a stock which makes 1500% move in a year

Here is summary of most of the answers to emails I got on the post:
  • Correction: After going through my formulas I have made a correction in point 4 as follow:Calculate highest closing price in last six months for those stocks . Only take stocks whose current price is within 25% of highest 6 month close.Correcton: Find the highest price in the 100% move and only take stocks which are within 25% of that highest price.
  • TC2007 Formula: It can not be programmed in TC2007. Especially after the change.
  • Exit : There is no great exit strategy I follow other than trailing stop.
  • Intra- day entry: Yes it helps if you enter intra-day, but even if you enter next day, it still works
  • Basket Buying: The reason to buy basket is it provides diversification, reduces risk and increases profit. If you try that approach, you can do it in many ways a basket of 100 positions built over time with each position of 1% so if you have 100000 account each position will be 1000. Or a 50 stock basket with 2% position. Or a basket with some positions with 5% weight and some with 1 to 2% weight.
  • Filters: It is designed as it is without filters but if you want to use filters, you can select stocks based on IBD or any other ratings or P/E, P/S, PEG or any other filter of your choice. I don't think it will make much of difference.
  • Too many stocks: Most common question is which one out of the list of 25 , I use a simple rule, buy the one with lowest 65 days price growth first.
  • Where can I buy the software you use: My software is custom built for my own use and it is not for sell, it has 22 other systems and so there is no way to separate this one system. Plus I am primarily a trader, not a software developer or software sellers. With all the rules, it should be possible to do this in excel.
  • What is the catch: You have to tell me that.

2 comments:

TradingGoddess said...

Good morning!

After further DD into your ABXA suggestion, I would like to do a post on that. Would you like me to state that the idea came from you?

Thanks in advance, as well as for all your terrific help!

:)

Pradeep Bonde said...

I have no problem. I own it since October.