Varchild2008 (84.26)

Varchild's Accumulation Strategy Revealed....

November 25, 2009 – Comments (1)

Here's how I do my analysis...and I hope you DO NOT AGREE with me here... This is supposed to shock and awe!:

1) MON - OPEN versus FRIDAY - CLOSE)       The market has been trending UP since March.

In an uptrend market...uptrend week....I expect every stock in my portfolio no matter what to up trend THAT VERY WEEK along with the market.  Share price higher FRI close versus MON open.

That doesn't happen all the time..... I usually have a few stocks as short term dissapointers.
If there exists no fundamental reason for the stock/stocks to disappoint me on a good week for the overall market..and there exists nothing within their respective sectors that I LIKE BETTER than what I have in my portfolio....then I accumulate based on the following strategy:

Week 1:
Stock A) underperforming this week 5%, overall via CAPS under water 20%      *ACCUMULATE*
Stock B) underperforming this week 3%, overall via CAPS under water 10%        *TRACK*

Week 2:
Stock A) outperformed 5% this week....underperformance in CAPS now 15%  *TRACK*
Stock B) underperformed 8% this week, overall 18% underwater in CAPS..... *ACCUMULATE*

See?  FUN!  Investing can be FUN!