Page 117 - How to Make Money in Stocks Trilogy

America’s Greatest Stock-Picking Secrets 55
80,000
40,000
20,000
Volume
Price
3.8
4.5
3.2
34
10
70
40
60
50
16
30
19
26
22
14
12
80
7
8
6
prior week’s price change
ce change
Heavy increased volume
0
price progress versus
without much further
S&P 50
e
e
r
c
s
p
p
p
Big volume up
p
p
s
oses
s
e
u
’
gr
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r
Sell: heavy volume increase
Sell: heavy volume increase
e
e
with stalling, lack of furthe
los
Note 3 weeks tight clos
t
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t
i
w
p
v
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h
n
gh
f
o
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Buy
H
w
Buy
y
p
p
p
B
t
p
p
k
u
a
price progress
price progress
w
g
gre
2/1
o
p
p
Big volume up
9 weeks up
p
a
l
Buy
p
Buy
in a row
w
u
in a row
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k
N
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l l
w
p
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9
Bi
week moving
to 10-week moving
Volume up
p
Add - first pullback
n
c
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m
l
e
average line
p
l
46-week big cup-with-handle
e
Buy
Buy
n
e
y-up in handle
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w
Note: volume
to 10
0
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n
-
e
Earnings acceleration
Earnings acceleration
n
n
h
v
o
o
w
A
,
v
p
p
n
%
Pre-tax Margin was 29.6%
p
Market correction
dryp
e
n
At buy point in June 1976:
At buy point in June 1976:
earnings were up 189%
38.2% and last quarter
Return on Equity was
Return on Equity was
u
c
e
w
n
p
q
y
q
Big volume
k
on up week
Big volume
x
g
w
n
u
u
Mar 1975 © 2009 Investor’s Business Daily, Inc. Sep 1977 Jun 1977 Mar 1977 Dec 1976 Sep 1976 Jun 1976 Mar 1976 Dec 1975 Sep 1975 Jun 1975 Dec 1974 Sea Containers increased 448% in 59 weeks.
s
Leases marine cargo containers, Leases marine cargo containers n containerships, and related cranes l p on a worldwide basis. i Sep 1974 Jun 1974
e
n
a
Mar 1974 Dec 1973
Sea Containers–1976 Weekly Chart Sep 1973 Jun 1973
Price = 20*eps 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 0.16 0.15