Page 153 - How to Make Money in Stocks Trilogy

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1,600,000
200,000
800,000
400,000
Volume
Price
3.0
3.4
4.0
2.6
30
34
40
26
22
19
50
70
60
12
16
14
5
Mar 1992
Dec 1991
S&P 500
Sep 1991
Jun 1991
2/1
Mar 1991
Market correction
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Dec 1990
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Buy
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Costco Wholesale increased 712% in 163 weeks.
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Sep 1990
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buy right, you won’t get scared
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slightly below, buy point. If you
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this normal pullback to, or
this normal pullback to, or
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out just before big move.
Jun 1990
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Mar 1990
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Dec 1989
Sep 1989
se Earnings g n E 10 acceleration acceleration o o a a acce e e a ek bas 8 7 6 e 40–60% of leaders will have a d 0 America’s Greatest Stock-Picking Secrets 73
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reviously y y s g Di Buy 10-week base 1 Jun 1989
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Tight closes c g Add Buy y 4 weeks 4 weeks w tight closes tight closes g g Dec 1988 Sep 1988
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Market correction
Costco Wholesale–1988 Weekly Chart M e Large cup-with-handle is like Large cup-with-handle is like Large cup-with-handle is like k k c c Xerox base in March, 1963 a b ) 3 Jun 1988 Mar 1988 Dec 1987
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Price = 20*eps 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 (page 35) (page 35) 0.40 0.35 0.30 0.25 0.23 0.20 0.18 0.16 0.15 0.14 0.