I hope everything is fine with you,
I've just found your service and reviewed all of the questions and some of the latest report.
Your service is really what I am looking for. However, I would also like to learn how to find out the stocks and filter them for a short watch-list.
What I mean is that everyone can use market smith, find strong fundamentals, find good technical setups. However, what I experienced is that it is really hard to make a short watch-list, filtering all good candidates especially in bull markets. Working in market smith it confuses me a lot when reviewing all of the strong stocks and making a short watch-list. Probably it is my problem that I need to figure out. Therefore, I want to learn how you select your stocks, how you follow them, how to find out good actionable ideas, like you.
Have you sent these kind of posts before? or Are you planning to send educational videos?
If not, how can I train myself and improve my knowledge? Maybe I should use Marketsmith and make my studies every weekend and compare my results with yours?
I'm a bit confused on my way to trading/investing. 🙂
Thank you for your question, and subscribing to this service. You gave me a great idea to post a video on screening for stocks. I believe we need to keep things as simple as possible. Yes, a smaller watch list allows us to focus on the stocks we really want to own. A broad watch list may distract us from the stocks we really want to own.
I have found that when we have conviction and really want to own a stock it allows us to hold through difficult periods. When we buy stocks that we are not sure about then it is much easier to sell them.
The fundamentals (earnings and sales growth) are roughly 70% of the criteria I use for evaluating stocks. The technicals (chart reading) account for roughly 30% of the criteria I use when trying to select stocks. The stock may have short term momentum. But, without sales and earnings growth a stock will not sustain a long advance.
I will create a video in the education center for subscribers that shows how I screen for stocks. I want strong stocks in strong groups that have earnings and sales growth. The group strength is important as stocks typically run in packs like dogs. It is rare when we see just one stock from a group standout and the rest are laggards. Although, it does happen occasionally. The top 30 groups are posted every Saturday. I will get more detailed with that criteria with the video though.
Have a great day!