From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #489 Reply-To: canslim Sender: owner-canslim-digest@lists.xmission.com Errors-To: owner-canslim-digest@lists.xmission.com Precedence: bulk Content-Transfer-Encoding: quoted-printable X-No-Archive: yes canslim-digest Saturday, January 2 1999 Volume 02 : Number 489 In this issue: [CANSLIM] Re:Trading styles Fw: [CANSLIM] Re:Trading styles [CANSLIM] Re: My memo on 1/1/99 Re: [CANSLIM] Happy New Year, and small caps KICK BUTT Re: [CANSLIM] Heavy intellectual lifting. Re: [CANSLIM] Re: My memo on 1/1/99 [CANSLIM] DGO New Highs Re: [CANSLIM] Happy New Year, and small caps KICK BUTT Re: [CANSLIM] Heavy intellectual lifting. [CANSLIM] Sending large files to the canslim group [CANSLIM] More heavy lifting [Connie Mack] Re: [CANSLIM] Happy New Year [CANSLIM] State of the Market Re: [CANSLIM] Re: My memo on 1/1/99 Re: [CANSLIM] Happy New Year, and small caps KICK BUTT Re: [CANSLIM] Happy New Year, and small caps KICK BUTT [CANSLIM] short sales [CANSLIM] My Breakout Watchlist [CANSLIM] My Breakout Watchlist Re: [CANSLIM] short sales [CANSLIM] Brooke Besser introduction [CANSLIM] some non-canslim stocks ---------------------------------------------------------------------- Date: Fri, 1 Jan 1999 18:04:16 EST From: ToothDr1@aol.com Subject: [CANSLIM] Re:Trading styles I have been on this list for quite some time and have learned much from the gray-bearded gurus for which i thank truly. I for one have never traded sucessfully until 1998 although I have tried to fully understand canslim. I now realize that there are few canslim purists, even on this board. Personal bias has to enter the picture, allowing one to develope his or her own trading style. I know at least one other member, "Dr. John A", who uses Advanced Get software for Technical analysis of the market. Connie uses his own brand of technicial analysis which works for him and his tips have helped me a great deal. I currently am more sucessful trading using the advance Get software and keeping my eyes peeled on canslim candidates which can be evaluated for winners. This works for me. The reason I am posting is to mention Dr Bill Williams and his book New Trading Dimensions. I have read the book several times and many good ideas are there for entry and exit of good candidates. I have the good fortune to have a female friend who is a professional intraday trader who manages one account of many,of a very wealthy individual. I mentioned Dr Williams and the book including his use of the alligator(a system of moving averages) the AOS and fractels etc etc to her and she told me that she attended his seminars, has his tapes and paper traded his methods extensively. Its her opionion that although much of his philosophy, as it applys to trading may be beneficial, his overall methods just plain don't work. It may be just her, and after her own personality is entered into the equation the system can't work. She has a similiar opinion of Robert M and the Dynamic Trader. She subscribed to his service, and doing careful reasearch discovered that many times he didn't enter the very trades he was recommending. I just wanted the board members to realize that this is a great group and although we seek the holy grail of trading. THERE IS NO EASY WAY. Thanks for listening to my pontification. Back to lurking Doc Jim - - ------------------------------ Date: Sat, 2 Jan 1999 15:45:10 +1300 From: "Dean Edwards" Subject: Fw: [CANSLIM] Re:Trading styles Thank you for posting those interesting comments on this matter regarding trading styles. There was a recent article in Street com where the SEC was investigating bogus advertising claims made by a Day Trading firm. They were making false statements on how successful their clients were making money, day trading with this particular firm. After careful investigation it was discovered by the SEC that 75 out of a total of 76 people, were actually losing money day trading. Only one person was successfully making money day trading with this firm. Apparently he was an insider, who was actually working for the company. Caveat Emptor - Let the buyer be aware! Careful research should be mandatory. - -----Original Message----- From: ToothDr1@aol.com To: canslim@lists.xmission.com ; canslim-digest@lists.xmission.com Date: Saturday, January 02, 1999 12:07 PM Subject: [CANSLIM] Re:Trading styles Its her opionion that >although much of his philosophy, as it applys to trading may be beneficial, >his overall methods just plain don't work. It may be just her, and after her >own personality is entered into the equation the system can't work. She has a >similiar opinion of Robert M and the Dynamic Trader. She subscribed to his >service, and doing careful reasearch discovered that many times he didn't >enter the very trades he was recommending. >I just wanted the board members to realize that this is a great group and >although we seek the holy grail of trading. THERE IS NO EASY WAY. > >Thanks for listening to my pontification. Back to lurking > >Doc Jim > >- > - - ------------------------------ Date: Fri, 01 Jan 1999 20:11:02 -0800 From: "George W. Gregory" Subject: [CANSLIM] Re: My memo on 1/1/99 Tom: I happen to know that 100% is the maximum used in computing EPS rank. Yes, you are correct that the five year earnings are important, but, as you know, there are many new issues with only 2 or 3 years earnings history. Believe me, 100% is the maximum earnings differential taken into consideration when figuring EPS rank. I have seen many, many people get their head handed to them using stops. As you know, the minute the stock hits the stop price. the order becomes a market order. There are times trading will be halted and open far below your stop price. It sets your order off which may be 10 points lower than your stop. That is why I mentioned "stop limits" as an alternative. I realize that at times it is very difficult to keep right on top of your investments, however, there are small, hand=held units on the market which will allow you to keep closer track of your stocks. I would never buy a stock on the opening. I'd rather wait for the opening and then decide what to do. I've never known Bill O'Neil to buy (or sell) prior to the opening. I reiterate my statement about buying or selling at the market. Again, I say that if it's worth 60, it's worth 60 1/4 or 60 1/2. You mention thinly traded stocks. If you're dealing in these, you be the judge. When IBD institutes several new groups, it will be interesting to see what happens. One will be Internet-E*Commerce, another Internet-ISP's and so on. I don't know that it will make a big difference because none of the internet stocks are earning money. That does away with C and A. Happy New Year to all. tiger49er - - ------------------------------ Date: Sat, 02 Jan 1999 05:14:34 GMT From: musicant@autobahn.org (Dan Musicant) Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT On Thu, 31 Dec 1998 16:38:39 -0500, you wrote: :Don't have the final figures yet, but I sure like the way the Russell :2000 finished the year. Looks like a 2.5% gain for New Year's Eve, :again beating the rest of the indexes. My only regret is not being :more aggressive with my #1 buy, would have made me over 10% today :alone. : :At this point, appears that R2000 is passing thru resistance and ready :to strive for new records early in 1999, which would fit with the :models. : :Tom W : Unfortunately, it's only one day's performance and I don't think it can be considered a trend yet. The R2000, if I'm not mistaken, was the only index to show a loss (-3%) for 1998. Midcaps did OK Thursday too.=20 What models are you referring to, Tom? Dan - - ------------------------------ Date: Sat, 2 Jan 1999 05:34:42 -0500 From: "james sullivan" Subject: Re: [CANSLIM] Heavy intellectual lifting. > http://Brookings.edu > >There are a couple of current articles on deflation and the euro. I love to read anything on deflation!...had to add the www to the url > http://aei.com > >The latter, the American Enterprise Institute, has absolutely some of >the best conservative thought available. This url brought me to Advanced Energy (?)....that's power conversion.....for AEI, it's http://www.aei.org Thank you for the lifting, Connie! A prosperous new year to you!! - - ------------------------------ Date: Sat, 2 Jan 1999 07:04:51 -0500 From: "Tom Worley" Subject: Re: [CANSLIM] Re: My memo on 1/1/99 George, Can you share your source on the 100% aspect? I realize WON uses a proprietary formula for the EPS ranking, however this is the first I've heard of this in nearly 8 years of using CANSLIM and several years of working with and being trained by WON staffers. I do agree with you on the issue of using sell stop limits vs simpler sell stops. In running a back office and executing all trades for a securities firm, I have seen occasions in which the brokers had entered substantial sell stop orders on a NYSE stock, only to see the mkt (or floor specialist) drop the mkt sharply, take out their sell orders, then rally right back up. And their sell price (since they didn't use a limit) was several pts below their stop price. Even on a Naz stock, where there isn't a single "floor specialist" who can see all stop orders, there are enough investors, including institutionals, that look at charts and determine a similar sell point that you can hit a critical price where an avalanche of sell orders can occur. Tom W stkguru@netside.net ICQ # 5568838 - -----Original Message----- From: George W. Gregory To: canslim@lists.xmission.com Date: Friday, January 01, 1999 11:12 PM Subject: [CANSLIM] Re: My memo on 1/1/99 Tom: I happen to know that 100% is the maximum used in computing EPS rank. Yes, you are correct that the five year earnings are important, but, as you know, there are many new issues with only 2 or 3 years earnings history. Believe me, 100% is the maximum earnings differential taken into consideration when figuring EPS rank. I have seen many, many people get their head handed to them using stops. As you know, the minute the stock hits the stop price. the order becomes a market order. There are times trading will be halted and open far below your stop price. It sets your order off which may be 10 points lower than your stop. That is why I mentioned "stop limits" as an alternative - - ------------------------------ Date: Sat, 2 Jan 1999 07:08:03 -0500 From: "Tom Worley" Subject: [CANSLIM] DGO New Highs Don't know if I will be able to post the weekly list as DGO apparently has a glich and the programmer is working on it. The list there shows as the new list, but is actually from the prior week. They are aware of the problem and working on it, but can't say when it will be fixed. Tom W stkguru@netside.net ICQ # 5568838 - - ------------------------------ Date: Sat, 2 Jan 1999 07:24:30 -0500 From: "Tom Worley" Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT Hi Dan, It's more than just a day actually, for the week the Dow was down 0.3%; Nasdaq was up 1.3%; and the Russell 2000 was up 4.0%. S&P 100 and 500 were down 1.0% and up 0.2% respectively. I agree that the small caps continued their under performance throughout 1998, however my experience (and historical patterns) has been that the January/February period is often favorable to them. When the new bull mkt started (or bull rally in a bear mkt) late in the year, the R2000 failed to move back to the highs set back in July, unlike the rest of the indexes. This continued the pattern we have seen for a number of years now. Liquidity, not earnings, has been the calling card for the institutional players for a long time. But as I read "M", CANSLIM, economics, and a bunch of other stuff, a stable mkt without high volatility (note that VIX once again moving back up, a plus 15.1% last week to 25.41 which is not a good sign) could result in more favorable conditions for the small caps. For that to succeed, they needed to break thru resistance at 420. They did that Friday, and however 1999 fares, it was a positive way to end the year even if holiday lightened trading means the trend can't be trusted. Tom W stkguru@netside.net ICQ # 5568838 - -----Original Message----- From: Dan Musicant To: canslim@lists.xmission.com Date: Saturday, January 02, 1999 12:15 AM Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT On Thu, 31 Dec 1998 16:38:39 -0500, you wrote: :Don't have the final figures yet, but I sure like the way the Russell :2000 finished the year. Looks like a 2.5% gain for New Year's Eve, :again beating the rest of the indexes. My only regret is not being :more aggressive with my #1 buy, would have made me over 10% today :alone. : :At this point, appears that R2000 is passing thru resistance and ready :to strive for new records early in 1999, which would fit with the :models. : :Tom W : Unfortunately, it's only one day's performance and I don't think it can be considered a trend yet. The R2000, if I'm not mistaken, was the only index to show a loss (-3%) for 1998. Midcaps did OK Thursday too. What models are you referring to, Tom? Dan - - - - ------------------------------ Date: Sat, 02 Jan 1999 07:39:50 -0500 From: Connie Mack Rea Subject: Re: [CANSLIM] Heavy intellectual lifting. James-- Thanks for correcting the AEI site. Connie Mack james sullivan wrote: > > http://Brookings.edu > > > >There are a couple of current articles on deflation and the euro. > > I love to read anything on deflation!...had to add the www to > the url > > > http://aei.com > > > >The latter, the American Enterprise Institute, has absolutely some of > >the best conservative thought available. > > This url brought me to Advanced Energy (?)....that's > power conversion.....for AEI, it's http://www.aei.org > > Thank you for the lifting, Connie! A prosperous > new year to you!! > > - - - ------------------------------ Date: 2 Jan 1999 08:00:02 -0700 From: owner-canslim@lists.xmission.com (Jeff Salisbury) Subject: [CANSLIM] Sending large files to the canslim group Everyone, There are times when you may wish to share large files with our group (i.e. gif, jpeg, spreadsheets, etc). Our list is configured to reject large postings (even if they are properly encoded) since the sheer volume has caused problems in the past. As an alternative, we have provided an anonymous ftp site. To provide your file to the group, please follow these instructions: 1. Send your file to: ftp://ftp.xmission.com/pub/users/m/mcjathan/incoming/ If you need some help doing this step, there are ftp instructions below. 2. Send mail to me directly at "owner-canslim@xmission.com" telling me the name of the file that you uploaded. I will move the file from the incoming directory, to the canslim directory where people will be able to download your file. 3. After I notify you that the file has been moved to the canslim directory, you should send an email to the canslim group describing your file, and its URL (i.e. ftp://ftp.xmission.com/pub/users/m/mcjathan/GreatBoom.gif). Although this may seem unwieldy at first, it really isn't too bad and it solves more problems than it creates. You should note that I do not monitor my email on the weekends as closely as during the week. Therefore, steps 2-3 may take longer over a weekend. Best Regards, Jeff Salisbury =========================================================================== FTP Instructions: 1. Using Netscape, go to the URL: ftp://ftp.xmission.com/pub/users/m/mcjathan/incoming/ 2. On the Netscape "File" menu, select "Upload File..." This will open a file selection widget on your hard-drive. Select the file you wish to upload and hit the "Ok" button. At this point, your file will be uploaded. 3. Eventhough your file has been uploaded, you will not be able to see the file in your netscape browser. The reason for this is that the "incoming" directory is set to write-only for security reasons. - - ------------------------------ Date: Sat, 02 Jan 1999 10:12:57 -0500 From: Connie Mack Rea Subject: [CANSLIM] More heavy lifting [Connie Mack] Am surprised how many members have told me that they do like heavy intellectual lifting. Here is an essay on Adam Smith's "invisible hand" and the stock market. http://www.intellectualcapital.com/issues/98/1224/icbusiness3.asp If you're interested in other mainly conservative "think tanks," try this site: http://www.libertymatters.org/think.htm Almost every site will have a financial section. A couple of members have asked me if there is a way to avoid having to copy every URL manually. There is. Any URL window can be copied and pasted. E.g., once you have an address in the URL, you can click on it until becomes selected [turns blue]. Go to the Edit button and click Copy. From there you can paste this URL anywhere you like. With the "http://" prefix included, anyone can just click and the site will appear. The pasted URL will not appear on your screen as selected [blue], but it will on anyone whom you sent it to. You can see if everything is as you want it by sending a copy to yourself. The copy you receive should appear as selected. Connie Mack - - ------------------------------ Date: Sat, 02 Jan 1999 05:20:18 GMT From: musicant@autobahn.org (Dan Musicant) Subject: Re: [CANSLIM] Happy New Year On Fri, 1 Jan 1999 06:21:29 -0800 (PST), you wrote: :Hi guys, : :Let me add my sentiments for a happy, healthy and successful New Year. : Let me be the first to add that this is the first day of the last :year before we celebrate the new millennium. :Ciao, :rolatzi Well, I think you can start celebrating now ("any excuse to party!"). Interesting thing I heard today is that there is some controversy when the next millenium starts. You see 1/1/2000 is not really the start of the next millenium, but rather 1/1/2001 is! So, you will spend the whole year 1/1/2000 to 12/31/2000 wondering whether you should indeed be waiting another year before popping the corks, etc., etc. Hell, may as well start a year early a year early. The infamous Y2K zero hour WILL be a year early. Computers are dumb, aren't they? Happy New Year all! Dan - - ------------------------------ Date: Sat, 2 Jan 1999 07:41:07 -0800 (PST) From: rolatzi Subject: [CANSLIM] State of the Market Index,Date, Close, Hi, Lo, Vol, MACD !DJ30,12/01/1998,9214.66,8934.52,9133.54,104.50,130.54 !DJ30,12/02/1998,9154.40,8922.94,9064.54, 92.35,130.31 !DJ30,12/03/1998,9112.69,8839.78,8879.68, 78.46,126.69 !DJ30,12/04/1998,9078.70,8873.76,9016.14, 69.61,125.37 !DJ30,12/07/1998,9146.93,8946.11,9070.47, 53.31,124.77 !DJ30,12/08/1998,9153.63,8903.37,9027.98, 79.24,123.21,Reversal !DJ30,12/09/1998,9138.18,8881.23,9009.19, 80.31,121.15,Compress !DJ30,12/10/1998,9034.42,8795.24,8841.58, 76.63,116.17 !DJ30,12/11/1998,8916.24,8680.41,8821.76, 71.70,111.00 !DJ30,12/14/1998,8868.10,8610.63,8695.60, 71.52,103.90 !DJ30,12/15/1998,8878.40,8614.75,8823.30, 77.34, 99.29 !DJ30,12/16/1998,8922.94,8675.52,8790.60, 70.31, 94.29 !DJ30,12/17/1998,8959.76,8725.21,8875.82, 71.75, 90.92 !DJ30,12/18/1998,9012.28,8789.31,8903.63, 95.15, 88.07 !DJ30,12/21/1998,9150.54,8874.28,8988.85, 77.84, 86.66 !DJ30,12/22/1998,9122.99,8909.29,9044.46, 58.51, 86.08 !DJ30,12/23/1998,9255.84,9022.58,9202.03, 58.32, 87.95 !DJ30,12/24/1998,9289.57,9146.42,9217.99, 20.21, 89.69 !DJ30,12/28/1998,9330.50,9133.54,9226.75, 45.91, 91.16 !DJ30,12/29/1998,9375.30,9152.34,9320.98, 51.15, 93.83 !DJ30,12/30/1998,9326.39,9268.20,9274.64, 54.82, 95.23,Compress !DJ30,12/31/1998,9342.61,9107.28,9181.43, 61.97, 94.67,Reversal !NYA ,12/01/1998,573.74,564.56,573.33, 7.88, 7.10 !NYA ,12/02/1998,573.33,566.29,571.79, 7.30, 7.20 !NYA ,12/03/1998,573.84,563.14,563.45, 8.03, 7.14,Reversal !NYA ,12/04/1998,573.64,563.45,573.49, 7.12, 7.23 !NYA ,12/07/1998,577.72,573.19,577.33, 6.60, 7.37 !NYA ,12/08/1998,579.36,571.38,574.92, 7.28, 7.43,Reversal !NYA ,12/09/1998,575.94,572.30,574.79, 7.00, 7.47 !NYA ,12/10/1998,574.79,565.35,566.08, 7.53, 7.34,Compress !NYA ,12/11/1998,566.08,559.72,564.82, 6.88, 7.19 !NYA ,12/14/1998,564.82,552.83,554.53, 7.02, 6.85,Compress !NYA ,12/15/1998,562.74,554.53,562.74, 7.81, 6.67,Up 1% wVol !NYA ,12/16/1998,564.31,559.95,562.89, 7.36, 6.49 !NYA ,12/17/1998,570.16,562.84,570.15, 7.44, 6.44,Up 1% wVol !NYA ,12/18/1998,572.54,568.77,572.07, 8.42, 6.40 !NYA ,12/21/1998,581.01,571.79,577.70, 7.45, 6.45 !NYA ,12/22/1998,580.82,574.13,578.75, 7.45, 6.49 !NYA ,12/23/1998,589.58,578.66,588.95, 6.88, 6.68 !NYA ,12/24/1998,589.94,587.82,589.07, 2.47, 6.84 !NYA ,12/28/1998,591.05,587.18,589.01, 5.33, 6.97,Reversal !NYA ,12/29/1998,597.05,587.32,597.05, 5.89, 7.20,Up 1% wVol !NYA ,12/30/1998,597.86,593.68,594.27, 6.00, 7.35,Reversal !NYA ,12/31/1998,597.82,592.70,595.81, 7.55, 7.49 !COMP,12/01/1998,2003.80,1924.10,2003.70, 1.03, 33.77 !COMP,12/02/1998,2005.70,1973.20,1995.20, 0.99, 35.23 !COMP,12/03/1998,2012.70,1954.30,1954.30, 1.05, 35.79,Reversal !COMP,12/04/1998,2003.10,1975.00,2003.10, 0.89, 37.03 !COMP,12/07/1998,2040.80,2007.30,2040.60, 0.81, 38.70 !COMP,12/08/1998,2060.98,2018.16,2034.75, 0.92, 40.02,Reversal !COMP,12/09/1998,2052.70,2031.80,2050.40, 0.86, 41.39 !COMP,12/10/1998,2058.38,2015.73,2015.96, 0.87, 41.95,Reversal !COMP,12/11/1998,2035.00,2004.90,2029.30, 0.79, 42.57 !COMP,12/14/1998,2029.30,1962.00,1966.90, 0.75, 41.98 !COMP,12/15/1998,2012.60,1981.20,2012.60, 0.77, 42.10,Up 1% wVol !COMP,12/16/1998,2027.10,1996.80,2009.30, 0.85, 42.05,Reversal !COMP,12/17/1998,2043.80,2014.70,2043.80, 0.80, 42.46 !COMP,12/18/1998,2086.10,2055.80,2086.10, 0.91, 43.43,Up 1% wVol !COMP,12/21/1998,2143.80,2104.10,2138.00, 0.96, 45.07,Up 1% wVol !COMP,12/22/1998,2144.60,2105.50,2120.90, 0.91, 46.15 !COMP,12/23/1998,2172.50,2134.20,2172.50, 0.97, 47.87,Up 1% wVol !COMP,12/24/1998,2171.30,2162.60,2163.00, 0.45, 49.15 !COMP,12/28/1998,2190.10,2163.00,2180.30, 0.87, 50.47 !COMP,12/29/1998,2186.10,2161.80,2181.70, 0.92, 51.55 !COMP,12/30/1998,2196.60,2160.90,2166.90, 0.93, 52.15,Reversal !COMP,12/31/1998,2200.63,2165.74,2192.69, 0.89, 52.97 !DJ20,12/01/1998,3089.36,2977.77,3047.84, 14.07, 42.32 !DJ20,12/02/1998,3119.46,3022.43,3101.95, 13.25, 45.32 !DJ20,12/03/1998,3123.87,3022.15,3039.15, 11.73, 46.96 !DJ20,12/04/1998,3116.61,3028.64,3052.25, 9.19, 48.62 !DJ20,12/07/1998,3189.79,3051.11,3115.83,15.82, 51.13,Up 1% wVol !DJ20,12/08/1998,3187.45,3066.52,3105.45, 14.62, 53.18 !DJ20,12/09/1998,3131.14,3024.87,3063.80, 11.45, 54.28 !DJ20,12/10/1998,3091.18,2993.09,3012.55, 8.75, 54.34 !DJ20,12/11/1998,3010.99,2886.43,2929.51, 15.30, 52.92,Compress !DJ20,12/14/1998,2949.15,2835.31,2858.66, 10.93, 50.37 !DJ20,12/15/1998,2919.65,2815.33,2883.32, 11.94, 48.39 !DJ20,12/16/1998,2933.40,2840.24,2869.82, 11.77, 46.28 !DJ20,12/17/1998,3003.47,2862.30,2970.64,15.34, 46.00,Up 1% wVol !DJ20,12/18/1998,3045.80,2934.96,3009.04, 14.69, 46.32 !DJ20,12/21/1998,3088.06,2987.90,3025.52, 11.66, 46.82 !DJ20,12/22/1998,3084.69,2950.79,3036.16, 12.18, 47.39 !DJ20,12/23/1998,3102.85,2999.05,3054.59, 9.39, 48.14 !DJ20,12/24/1998,3081.06,3020.59,3044.08, 3.09, 48.58 !DJ20,12/28/1998,3098.70,3005.28,3040.83, 8.44, 48.85,Reversal !DJ20,12/29/1998,3098.18,3012.55,3066.39, 7.19, 49.45 !DJ20,12/30/1998,3130.10,3065.36,3129.84,11.32, 50.98,Up 1% wVol !DJ20,12/31/1998,3200.94,3082.09,3149.30, 9.06, 52.62 _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Sat, 02 Jan 1999 08:50:12 -0800 From: Tim Fisher Subject: Re: [CANSLIM] Re: My memo on 1/1/99 That doesn't make any sense statistically, since all co's doing better than 100% SQLY will be bunched up at rank 99. Makes comparisons between them meaningless. IBD's rank is a nonparametric percentile ranking statistic where the best number gets a 100 and the worst gets a zero. It doesn't matter what the actual earnings # is, i.e. the worst could be -500% and the best could be +400%, they still get a 0 and 100 score respectively. It's not impossible to get 5-yr earnings on 2 or 3 year old co's; I do it all the time. In many cases data from before they went public is available; in other cases when this is not avalable use you can use what you have and just have less data points in the trend. After all it's just a fitted regression and all you need for that is two data points (which of course I don't recommend doing). At 08:11 PM 1/1/99 -0800, you wrote: >Tom: > > I happen to know that 100% is the maximum used in computing EPS rank. Yes, >you are correct that the five year earnings are important, but, as you know, >there are many new issues with only 2 or 3 years earnings history. Believe >me, 100% is the maximum earnings differential taken into consideration when >figuring EPS rank. > I have seen many, many people get their head handed to them using stops. >As you know, the minute the stock hits the stop price. the order becomes a >market order. There are times trading will be halted and open far below your >stop price. It sets your order off which may be 10 points lower than your >stop. That is why I mentioned "stop limits" as an alternative. I realize >that at times it is very difficult to keep right on top of your investments, >however, there are small, hand=held units on the market which will allow you >to keep closer track of your stocks. > I would never buy a stock on the opening. I'd rather wait for the opening >and then decide what to do. I've never known Bill O'Neil to buy (or sell) >prior to the opening. I reiterate my statement about buying or selling at >the market. Again, I say that if it's worth 60, it's worth 60 1/4 or 60 1/2. >You mention thinly traded stocks. If you're dealing in these, you be the >judge. > When IBD institutes several new groups, it will be interesting to see what >happens. One will be Internet-E*Commerce, another Internet-ISP's and so on. >I don't know that it will make a big difference because none of the internet >stocks are earning money. That does away with C and A. > Happy New Year to all. > >tiger49er > >- > Tim Fisher, 1995 President, Pacific Fishery Biologists Ore-ROCK-On Rockhounding Web Site PFB Information mailto:tim@OreRockOn.com WWW http://OreRockOn.com - - ------------------------------ Date: Sat, 02 Jan 1999 12:56:51 -0800 From: David Reid Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT some small caps have been kicking butt since october. I bought a small cap mutual fund that was pretty beat up on Oct 12. and as of yesterday it is up 36%. I consider that to be kicking butt. David Tom Worley wrote: > Hi Dan, > > It's more than just a day actually, for the week the Dow was down > 0.3%; Nasdaq was up 1.3%; and the Russell 2000 was up 4.0%. S&P > 100 and 500 were down 1.0% and up 0.2% respectively. > > I agree that the small caps continued their under performance > throughout 1998, however my experience (and historical patterns) > has been that the January/February period is often favorable to > them. When the new bull mkt started (or bull rally in a bear mkt) > late in the year, the R2000 failed to move back to the highs set > back in July, unlike the rest of the indexes. This continued the > pattern we have seen for a number of years now. Liquidity, not > earnings, has been the calling card for the institutional players > for a long time. > > But as I read "M", CANSLIM, economics, and a bunch of other > stuff, a stable mkt without high volatility (note that VIX once > again moving back up, a plus 15.1% last week to 25.41 which is > not a good sign) could result in more favorable conditions for > the small caps. For that to succeed, they needed to break thru > resistance at 420. They did that Friday, and however 1999 fares, > it was a positive way to end the year even if holiday lightened > trading means the trend can't be trusted. > > Tom W > stkguru@netside.net > ICQ # 5568838 > > -----Original Message----- > From: Dan Musicant > To: canslim@lists.xmission.com > Date: Saturday, January 02, 1999 12:15 AM > Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT > > On Thu, 31 Dec 1998 16:38:39 -0500, you wrote: > > :Don't have the final figures yet, but I sure like the way the > Russell > :2000 finished the year. Looks like a 2.5% gain for New Year's > Eve, > :again beating the rest of the indexes. My only regret is not > being > :more aggressive with my #1 buy, would have made me over 10% > today > :alone. > : > :At this point, appears that R2000 is passing thru resistance and > ready > :to strive for new records early in 1999, which would fit with > the > :models. > : > :Tom W > : > Unfortunately, it's only one day's performance and I don't think > it can > be considered a trend yet. The R2000, if I'm not mistaken, was > the only > index to show a loss (-3%) for 1998. Midcaps did OK Thursday too. > > What models are you referring to, Tom? > > Dan > > - > > - - - ------------------------------ Date: Sat, 02 Jan 1999 15:07:40 -0500 From: Craig Griffin Subject: Re: [CANSLIM] Happy New Year, and small caps KICK BUTT At 12:56 PM 1/2/99 -0800, you wrote: >some small caps have been kicking butt since october. >I bought a small cap mutual fund that was pretty beat up on Oct 12. >and as of yesterday it is up 36%. >I consider that to be kicking butt. In the time frame since October 12th: the large cap industrials (S&P500 up 25%) have been lagging the small caps (Russell 2000 up 28%) which have been lagging the large cap technology/growth (NASDAQ up 41%). Your fund is doing quite well relative to its benchmark (the Russell 2000) in the time frame you specified, but it has not kept up with the NASDAQ. This is not to say that the NASDAQ will continue to lead, the Russell 2000 advance looks powerful this week. But only time will tell if it is sustainable. - - ------------------------------ Date: Sat, 2 Jan 1999 15:43:29 -0500 From: "Charles Cangialosi" Subject: [CANSLIM] short sales Hi, Does anyone know of any books that describe the proper way to short. Thanks Charlie - - ------------------------------ Date: Sat, 2 Jan 1999 15:48:49 -0500 From: "The Jacksons" Subject: [CANSLIM] My Breakout Watchlist Hello All, On my breakout watchlist for monday are; APEX, CELL, FYII, TCPS, BSYS, MMGR, RCGI, UNBC, LM, SSW, PPDI. Will consider a buy on high volume price advance. Any comments on these? Thanks, Mark - - ------------------------------ Date: Sat, 2 Jan 1999 15:48:49 -0500 From: "The Jacksons" Subject: [CANSLIM] My Breakout Watchlist Hello All, On my breakout watchlist for monday are; APEX, CELL, FYII, TCPS, BSYS, MMGR, RCGI, UNBC, LM, SSW, PPDI. Will consider a buy on high volume price advance. Any comments on these? Thanks, Mark - - ------------------------------ Date: Sat, 02 Jan 1999 20:52:18 GMT From: musicant@autobahn.org (Dan Musicant) Subject: Re: [CANSLIM] short sales On Sat, 2 Jan 1999 15:43:29 -0500, you wrote: :Hi, :Does anyone know of any books that describe the proper way to short. :Thanks :Charlie : You can try Stan Weinstein's "How to Profit in Bull and Bear Markets".=20 Dan - - ------------------------------ Date: Sat, 02 Jan 1999 14:46:53 PST From: "Brooke Besser" Subject: [CANSLIM] Brooke Besser introduction Hello, My name is Brooke Besser and I live in Denver, CO. I started reading William O'neil's book several years ago and have recently picked it back up. My biggest question at this point is where can you find data on the internet to support the CANSLIM methodology? I would like to be looking at this data as I read through the book. Thanks ______________________________________________________ Get Your Private, Free Email at http://www.hotmail.com - - ------------------------------ Date: Sat, 2 Jan 1999 17:09:14 -0800 From: "Patrick Wahl" Subject: [CANSLIM] some non-canslim stocks Here are two lists from a couple of sources. I scanned a list of about 300+ charts that were the result of a Quotes Plus scan, this first list are the ones I thought looked constructive out of those 300, either immediate buys or worth watching for the next few weeks - Amtran (AMTR) Aspect ASDV Alza Cybex CBXC Check Point CHKPF Ford F Imax IMAXF Breakout from excellent C&H formation Ionay Lafarge LAF Telecom-TCI LBTYA Neomagic NMGC Office Depot ODP Peregrine PRGN List 2 is from a couple of year end business shows I saw this weekend, picks from some of the guests for 1999. Probably suitable for longer term conservative type accounts. CPQ Staples SPLS mentioned by several Ford AOL Citigroup Rite Aid Kansas City Southern AMAT Nationwide Financial EDS Carnival Cruise Dollar General T Rowe Price BMCS - - ------------------------------ End of canslim-digest V2 #489 ***************************** To unsubscribe to canslim-digest, send an email to "majordomo@xmission.com" with "unsubscribe canslim-digest" in the body of the message. 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