

William O'Neal is the founder of Investor's Business Daily, a top-notch investment newspaper. He is well qualified to advise people about the stock market. This book was written in response to millions of people losing a lot of money in the major bear market of 2000 to 2002. He discusses many techniques for buying and selling so that a person wins most of the time.
For example, he suggests buying stocks when the price is rising rather than buying at a low point. Cheap stocks might languish at a low point for months or years. A rapidly rising stock also probably has a lot of institutions that are investing in the company.
The book shows numerous price charts to illustrate the best time to buy and sell during a stock's history. There are certain signs that a stock has hit its peak, and it is time to sell to protect profits. He also has a seven-point procedure for telling which stocks you should buy initially. A person should invest on the basis of good fundamentals for a company as well as a good chart entry point for buying. Overall stock market action is also critical because three out of four stocks follow the market direction either up or down.
Mr. O'Neal also has a table in the book that lists how long it took time-wise for great companies of the past to achieve greatness, such as Cisco and Microsoft. Although it took these two companies years to reach their pinnacles, some companies in the list multiplied several times in price in less than two years. Thus, it is possible for a person to gain a lot of money in the stock market in a short amount of time as well as over long periods.
You can buy this book directly from Amazon.com or look at other books by clicking here: http://www.amazon.com
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If you want to see more stock information, go to: Cinnamin.net
Stock Diversification Plan
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Put 20% of your money in each of the five groups below at various times.
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Large Caps
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Bull
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XOM CVX COP DIA SPY MSFT VZ INTC PG MO KO JNJ
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Bear
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PFE BMY WMT MCD
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Emerging Markets
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Bull
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FXI JAOSX EWZ ACH YZC RSX TAN LDK
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Bear
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Short the market with QID or FAZ when the S & P 500 drops below its 150 day average.
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Dividend Stocks
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Bull
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PLD TNK EXM MWE SJT PBT PDS ATN APL GMR
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Bear
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Short the market with QID when the S & P 500 drops below its 150 day average.
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Small-Medium Energy
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Bull
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DXO RRC FSLR CPE ASTI CLR BEXP SU PBR PDS RTK STR
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Bear
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Sell all and hold cash until the S & P is above its 200 day moving average.
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Materials and Misc.
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Bull
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BZH SGR UXG BNI URRE AMSC JUHL BWEN APWR GDX GLD DNN CLNE
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Bear
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Sell all and hold cash until the S & P is above its 200 day moving average.
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Option Basics
1. They are worthwhile especially if the overall market is only advancing around 10% per year.
2. For example, you could buy 100 shares of a quality big cap for maybe $20 per share at a cost of $2,000.
3. Then, sell a six-month call option contract at a price of $2.00 per share with a strike price of $22.
4. You get $200 or 10% immediately for the option contract.
5. If the price rises above $22, you have still made 20% if the option is exercised.
6. If the price stays below $22 and the option expires, write another one for the next six months.
7. This enables a sure income of at least 20% per year if the stock is never called away.
8. Be certain to buy a quality company that has a strong cash flow and no reason to fall dramatically in price.
Stock Screening Parameters
1. Market cap less than $1B and more than $250 million.
2. Volume greater than 100,000 shares.
3. Price greater than $5.
4. Relative strength greater than 90%.
5. Time of three months.
6. Trading above the 50 day moving average.
7. Institutions own more than 20% of the shares.
The Successful Investor -- by William O'Neal