The Volume Story 2
I’ll try to keep it as short as possible.
The premise of the Volume Story is that stocks which go up for a few months or a few quarters on a huge (never seen before in their history) increase in volume will continue to go up and will outperform the market by quite a bit.
The first Volume Story was posted on 9/27/09, and it included a list of 10 stocks which fit the "volume profile" at that time.
Here are the returns of those 10 stocks since 9/27/09:
GCI +69.3% (Price then $9.38, Price now $15.88)
HWD +62.1% (Price then $8.09, Price now $13.11)
LVS +53.6% ($17.60, 27.04)
FITB +40.9% ($9.59, $13.51)
TCK +32.40% ($26.00, $34.41)
GTN +26.9% ($2.38, $3.02)
GNW +21.7% ($11.87, $14.45)
CENX +9.9% ($9.46, $10.40)
CNO +9.1% ($5.04, $5.50)
BPOP +5.1% ($2.75, $2.89)
The S&P 500's return since 9/27/09: +4.6% (1044.38, 1092.04).
As you can see, all 10 Volume stocks have positive returns, and all 10 are outperforming S&P 500.
Let’s now move to The Volume Story 2.
Here are 6 new stocks that fit the Volume Story profile at this time:
1. GRT, Glimcher Realty Trust, Last Price $6.58, Increase in volume started in September of 2009.
Industry: REIT - Retail
2. ABCB, Ameris Bancorp, Last Price $9.96, Increase in volume started in April of 2010.
Industry: Regional – Mid-Atlantic Banks
3. HT, Hersha Hospitality Trust, Last Price $5.02, Increase in volume started in January of 2010.
Industry: REIT – Retail
4. CRUS, Cirrus Logic Inc, Last Price $17.14, Increase in volume started in May of 2010.
Industry: Semiconductor - Specialized
5. HL, Hecla Mining Co, Last Price $5.61, Increase in volume started in September of 2009.
6. IAG, IAMGOLD Corp, Last Price $17.84, Increase in volume started in September of 2009.
There you have it. Two REITs, one bank, one tech stock, one silver miner, and one gold miner. A little something for everybody.
Let's now sit back and watch what happens.
Disclaimer: Money doesn't grow on trees. Be careful out there…