Page 104 - How to Make Money in Stocks Trilogy
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48  A WINNING SYSTEM





           Price  100  80  70  60  50  40  34  30  26  22  19  16  14  12  10  8  7  6  4.5  3.8  Volume  120,000  70,000  40,000  20,000  © 2009 Investor’s Business Daily, Inc.



                                                                     Dec 1968

              S&P 500                        Buy stocks on  o  k  ith the way up with  w  s g earnings increasing earnings  nings  s  i  a  g  g  2/1  Sep 1968 Jun 1968


              Intermediate term  m  m  m  e  a  e  r  n  n  n market correction  t  r  c  k  Buy  y  y  y  B  p  p  k cup week cup  u  wee  e  10-we  w  w  10  t  y  a  the  increasing  a  c  Mar 1968


                                                                     Dec 1967
               m
              n
                                                                     Sep 1967
                                   Buy  B  B
                                   y  y  y
                                                                     Jun 1967
                                                                     Mar 1967
                                    Earnings  g  n  turn up          Dec 1966 Mattel increased 441% in 66 weeks.



                                                                     Sep 1966

                                                                     Jun 1966
                                                                     Mar 1966

            S.                                                       Dec 1965
            Largest toy manufacturer in U.S  r  m  r  Do Not Buy stocks on Do Not Buy stocks on  n  n  t  the way down or with the way down or with  h  h  n  g  n  Sep 1965 Jun 1965









           Mattel–1967  Weekly Chart          N  w  declining earnings  g  l  Mar 1965 Dec 1964 Sep 1964





          Price =  20*eps   5.00     4.50     4.00     3.50    3.00    2.50     2.25     2.00    1.80     1.60   1.50   1.40   1.30   1.20            1.10    1.00     0.90    0.80   0.75      0.70    0.65    0.60    0.55    0.50    0.45    0.40    0.35    0.30    0.25    0.23    0.20    0.18
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