as214
184 posts
msg #47328
- Ignore as214 |
10/5/2006 11:34:06 AM
AS214's value pick already up 17 percent in two and a half weeks. Price is what you pay, value is what you get.
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add1186
8 posts
msg #47331
- Ignore add1186 |
10/5/2006 1:10:51 PM
as214:
Your 6/2/06 post regarding the subject of undervalued stocks in downtrodden sectors has given me multiple paths to research in VV. Thank you.
You also mentioned in your 6/2/06 post of a strategy, you called it "my strategy", that you were willing to share. If your offer still exists , I would very much like to see another view of your work. My address is add1186@adelphia.net.
Thanks.
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as214
184 posts
msg #47337
- Ignore as214 |
10/5/2006 8:33:17 PM
Add,
Here's what I do. First things first I click on the industries tab. I sort industries by 'RT'. I only buy about 10-15 stocks per year but I buy in bulk anywhere from 100k to 500k usually. I then look at the industries with the lowest RT rating ie the ones that have been beaten down the most. In each industry there are two criteria that I look for AND EACH INDUSTRY MUST HAVE BOTH THESE CRITERIA AT THE SAME TIME. 1. The industry must have a cumulative PE of 8 or less. 2. That particular industry must also have a P/S (price to sales ) of less than 1. ALSO taking those two criteria the industry MUST be the lowest rated (ie RT) on that particular day. This condition will occur only about 10-25 times per year but has a long term (1 year or more) win percentage of over 94 percent and the returns are massive.
Now when this happens click on that particlar industry and focus your attention on the stock that has the highest relative value (ie RV) combined with the lowest PE. Do some quick research on this stock and go to FORM4ORACLE.COM and look at recent insider buy and sell activity. If everything looks good at this point buy the stock. Backtest and you will see massive..Im talking 1 to 3 years returns in the triple digits consistently!
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traderblues
195 posts
msg #47340
- Ignore traderblues |
10/5/2006 9:53:37 PM
That's the beauty of the whole thing. Everyone can design a system that works for him/her. If it works for you, do it! There's enough money for everyone. (but if you get more than your share, please give some to charity) :#)
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maxreturn
745 posts
msg #47344
- Ignore maxreturn
modified |
10/6/2006 8:18:55 AM
AS214...thanks for sharing! I've been looking for ways to boost the returns in my 401-k a bit instead of just switching in and out of funds. I'll have to look into this. TWO QUESTIONS: How long have you traded this methodology? How does it perform during the kind of bear market we had in 2000-2002?
Regards
Max
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judgetrade
107 posts
msg #47355
- Ignore judgetrade |
10/7/2006 5:35:44 AM
I wrote a dissertation about trading systems, it is in german, but have a look at the page 118. Equal weighted stock portfolios with low PEs had the highest return of about 20% per year with a low standard deviation of 5%. The study goes back to 1950.
http://www.upress.uni-kassel.de/publi/abstract.php?3-89958-188-1
If something will never stop to work its value.
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judgetrade
107 posts
msg #47356
- Ignore judgetrade |
10/7/2006 5:36:37 AM
500k, my goodnes, do you drive a porsche?
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as214
184 posts
msg #47387
- Ignore as214 |
10/9/2006 11:12:45 AM
TEX now at 49. Bought in 41s, now 49 do I sell? NOT.
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as214
184 posts
msg #47388
- Ignore as214 |
10/9/2006 1:36:03 PM
Now at 50!.. You short term black magicians keep playing your game while I just made 95K so far on just this one stock in 3 weeks by sitting on my AsZ. VALUE VALUE VALUE. When I sell it next year it will be at 80 and Uncle Sam is only getting 15 percent of my loot!
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petrolpeter
439 posts
msg #47414
- Ignore petrolpeter |
10/11/2006 1:48:16 PM
Way to go.TEX chart pretty good with a big base at around 40.Today it's at a triple top at around 50 with MACD and ERSI(5,5) pegged,can it break through?
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