Dallas Area Investor’s Business Daily Meetup
Join local investors at the monthly Investor’s Business Daily Meetup
Discuss using IBD tools
Review current trends
Analyze stocks that are hot right now
Learn how to protect your winnings
Meet other investors to discuss stocks with after the meeting
Learn from others’ mistake so you don’t have to make the same ones.
DALLAS Join the Dallas Meetup at http://www.meetup.com/ibd-265/calendar/list/
Usually on the fourth Wednesday of each month from 6:30 – 8:30.
FORT WORTH Join the Fort Worth Meetup at http://www.meetup.com/ibd-307/
Usually on the fourth Thursday of each month from 6:30 – 8:30.
Questions?
Call your IBD Meetup Leader, Charlotte Hudgin 214-995-6702
Why did I chose this picture?
Wishing You “Many Happy Returns,”
Charlotte Hudgin
214-995-6702
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 1 of 8
Dallas Area Investor’s Business Daily Meetup
Purpose: Investors of every skill level come together to learn and discuss the highly profitable, conservative CAN SLIM style of investing in the stock market.
IBD Meetup: Recommended Reading
2010 November
To understand the CAN SLIM Investment System, you need to carefully read William O’Neil’s book How to Make Money in Stocks , probably annually. Take notes and use the book as a future reference. Additionally, for those who would like to delve deeper into the world of stocks and further sharpen their investing skills, below is William O’Neil’s recommended reading list:
How to Make Money in Stocks (Orange book is current version) - William J. O'Neil
24 Essential Lessons for Investment Success (and every other WON book) - William J. O'Neil
Reminiscences of a Stock Operator - E. Lefevre (This was originally a series of articles in a
New Yorker magazine - get the big book to get all the original cartoons!)
How I Made Two Million Dollars in the Stock Market – Nicholas Darvas
How to Trade in Stocks – Jesse Livermore One Up on Wall Street - Peter Lynch
The Battle for Investment Survival - G.M. Loeb My Own Story - Bernard Baruch
Tape Reading and Market Tactics - H. Neill How to Buy Stocks - Louis Engel
CAN-SLIM is a conservative, proven high-return style of investing that choses stocks of profitable, growing companies then looks at their charts to find the optimal signal to purchase and sell.
CAN-SLIM is a seven letter word that represents the seven steps to finding these winning stocks. The seven steps plus shortcuts to each are listed on the next CAN-SLIM page.
CAN-SLIM relies on using the proprietary ratings developed by Investor’s Business Daily and shown in the IBD nightly newspaper as well as on the Investors.com web site.
Extensive, free education is available at Investors.com under the “Education” tab.
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 2 of 8
Dallas Area Investor’s Business Daily Meetup
Here’s a great place to start looking for good stocks to buy – CANSLIM from Investor’s Business Daily Newspaper and www.Investors.com
1)
Find stocks from companies that are financially successful (see checklist).
William O'Neil's 7 steps to investor bliss
IBD/
Investors.com
Ratings
Current earnings per share should be up 25% or more.
C
Accelerating earnings in recent quarters is stronger. Quarterly sales should also be accelerating over prior quarters up 25% or more. EPS >= 80
SMR = A, B
A
Annual earnings per share should be up 25% or more in each of the last three years. Annual return on equity should be 17% or more.
N
The stock should be emerging from a sound and proper chart base and about to make a new high in pric e .
A company with a new product or service that sells rapidly and is causing earnings to accelerate has an advantage.
Proper Base
Breakout on
Volume, New product
S
Supply and demand .
Volume should be sufficient for easy exit.
Lower volume stocks are more likely to generate higher returns faster.
Avg Daily Volume
>300,000 shares/day
L
Leader or laggard Buy the leader in a leading group. A stock's
Relative Price Strength Rating should be 80 or higher. This rating can be found in Investor's Business Daily
RS >= 80
Ind Grp RS >= 80
Price >=$15
I
Institutional sponsorship should be increasing in recent quarters with at least one or two better-performing mutual funds having bought it in their latest report.
Accumulation/
Distribution =
A or B
The market must be in a confirmed uptrend.
M
The nightly ARMCHAIR INVESTOR newsletter will help you understand market direction. www.ArmchairInvestor.com
Market in
Confirmed Rally
2)
Be sure to only buy at the correct buy point
– a breakout on 150+% of average volume or other add-on buy point.
CANSLIM is only a summary of how to buy great stocks likely to show big gains. William
O’Neil’s full investment system also involves how to sell to book profits and how to protect your portfolio against losses . Refer to the GREEN (2010) edition of
“How to Make Money in
Stocks” by William O’Neil and www.investors.com
for more training.
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 3 of 8
Dallas Area Investor’s Business Daily Meetup
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 4 of 8
Dallas-Plano Investor’s Business Daily Meetup
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 5 of 8
Dallas-Plano Investor’s Business Daily Meetup
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 6 of 8
Dallas-Plano Investor’s Business Daily Meetup
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 7 of 8
Dallas-Plano Investor’s Business Daily Meetup
Dallas-Plano IBD Meetup Join us at www.IBD.meetup.com/265
Questions? Call Charlotte Hudgin, 214-995-6702, IBD Meetup Facilitator Rev 2010-12-**30 Page 8 of 8