Investors Business Daily has spent many years of in depth research to determine what works and makes money in the stock market. Below is a summary of their research from 1880 to present day. Also a video is included that summarizes these principles.
- Buy high and sell higher.
- Sell short when a stock has gone down substantially and buy back even lower.
- Buy leading stocks near their 52 week highs.
- Make buys only when the market is in a confirmed uptrend.
- Only buy stocks that are priced at $15 or more, stocks are below $15 for good reasons.
- Always buy into price strength on the way up in price.
- Only buy market leaders and only hold them for their runs while they are leaders.
- Buying and holding stocks is dangerous over the long term.
- Only trade proven, researched, and tested systems.
- Buy the stocks that big institutions want to own at correct buy points.
Here is a current watch list for Monster Stocks based on price action. $AAPL $GOOG $CMG $CMG $ISRG