stocksniper911

tk1111: A successful Buy & Hold strategy requires that you sell when a stock begins to lose its momentum. I use two approaches that work well depending on the overall market momentum. STRATEGY ONE: When the market is gaining momentum...as it has the past 20 months...I focus on stocks with more than $10Billion in Market Cap (Big Caps & Mega Caps) that exceed my proprietary price strength hurdle. Here are some examples of these from this weeks activity (August 29, 2014): WLL SLXP WLK HPQ ETE CNI SWKS IVZ LUV URI DPS AMP LYB AAPL HBI WMB MCO WYN NSC MSFT MJN ATVI FB TV CP CM RCL SIAL MGA When the momentum disappears...I do as well! But, I re-invest in another Big Cap Alpha and it's possible to exceed 30% per year ROI. The size of these candidates reduces my downside risk because they aren't volatile like the thinly traded stocks. STRATEGY TWO: Another Big Cap strategy, but, the focus is on Contrarian stocks. As long as the market is not going into a tailspin I like to locate MEGA-Cap stocks that are in the lower end of their one-year price range. Of course, I look for near-term momentum, which often signals a turnaround. Selling is triggered by a maximum loss of 10% OR the stock reaches a price that is 80% of the one year price window at the time of purchase. For example, DB (Deutsche Bank) is currently at 9% of its one year price range. If I buy at $34.10, I will sell at 30.85 & take a 10% loss OR hold as long as I need to until I reach $47.05, which is 80 % of the price window and will result in a 37% ROI. Examples of these Big Cap GAP stocks for August 29, 2014 are: SWN GSK DB RRC TS VRX GM GWW ETN WFM One final note of caution: ALWAYS do your due diligence...look for reasons NOT to buy these contrarians. If you can't talk yourself out of it then jump in and monitor them closely. Here are some Mid Cap GAP stocks that may be worth looking at...their smaller size can mean greater risk, but each investor must determine this risk/reward factor themselves, WETF SLAB DXPE KBH AXE ALB FLO MTH FNSR IILG DKS stocksniper911

I'm glad to be a part of this community. As an individual trader I focus on mid-cap/large-cap stocks on the NYSE/NASDAQ exchanges. I am an INTJ (Myers-Briggs personality profile) and I was diagnosed with Quants syndrome at an early age (lol). As a result, I analyze and rank about 2,000 stocks a week using proprietary analytics. I look forward to some engaging discussion on market, sector & price/volume analytics! -------------------------------------------------------------------------- A wise man can see more from the bottom of a well than a fool can from a mountaintop.