Page 120 - How to Make Money in Stocks Trilogy

56 A WINNING SYSTEM

Price 60 50 40 34 30 26 22 19 16 14 12 10 8 7 6 4.5 3.8 3.2 2.8 2.4 Volume 140,000 80,000 40,000 © 2009 Investor’s Business Daily, Inc.

Jun 1981
S&P 500
Mar 1981

Dec 1980

Sep 1980
3/2
Jun 1980

Mar 1980

Dec 1979

Sep 1979

Jun 1979
2/1
Mar 1979 Flightsafety International increased 958% in 195 weeks.
lly lly l o e g e Dec 1978
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Company provides high technology h p training to operators of aircraf ft and i f s ships through the use of simulators ships through the use of simulators s u Lowers cost of pilot training. s General General a market turn t s s eeks tight closes and volume ral d s l ht s ti k back
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n n Market correction Market correction e Buy: 12-week cup-with-handle a u with prior 3 weeks tight closings with prior 3 weeks tight closings l e Buy: 3 weeks ti Buy: 3 weeks ti Buy: 3 week 3 Bu back abo back abo a le le Volume up Volume up l Mar 1978 Dec 1977
Flightsafety Intl.–1977 Weekly Chart M 1 p Buy 23-week double- 23-week double- b w hand bottom-with-hand h with bottom t Note: volume e Note: ote: y-up in handle dry-up in handle a y y Sep 1977 Jun 1977 Mar 1977

Price = 20*eps 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 0.14 0.13 0.12 0.11