Page 292 - How to Make Money in Stocks Trilogy

170 A WINNING SYSTEM

2,000 shares short at $88 (borrowing stock from his broker to sell in hopes
the stock would decline and he could later buy it back cheaper, making
money on the difference in price). Sure enough, the stock took off at once
and ultimately reached a price of $1,300 (before adjusting for splits) with a
P/E ratio that topped 80.
So much for opinions about P/Es being too high! Investors’ personal
opinions are usually wrong; the market is almost always right. So stop fight-
ing and arguing with the market.
You now possess a powerful secret to materially improve your stock
selection and timing. Buy stocks with proven records of significant sales
and earnings growth in each of the last three years plus strong recent
quarterly improvements and a high return on equity. Get the best chart
service you can find; learn to spot sound chart patterns and combine your
new charting skill with the stocks with great earnings, sales, and return on
equity. Don't accept anything less . . . if you want better results.