Page 37 - How to Make Money in Stocks Trilogy

America’s Greatest Stock-Picking Secrets 15
Price
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outperforming the market index
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Relative Price Strength Line vs.
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Uptrending line means stock is
Relative Price Strength Line vs
Dow Jones Industrial average.
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Volume up 3.8 10/1 3/2 p olume up u Volume 65,000 30,000 12,200 5,600 2,600 Mar 1926 Dec 1925 Sep 1925 Jun 1925 Mar 1925 Dec 1924 Sep 1924 Jun 1924 Mar 1924 © 2009 Investor’s Business Daily, Inc. S.S. Kresge increased 836% in 154 weeks.
n e n n s 2 Market correction Market correction n n o t Buy - - - 22-week saucer- 22-week saucer- e with-handle h Dec 1923 Sep 1923
The mid-1920s was a transition period from The mid-1920s was a transition period from s w d mom-and-pop corner stores to business-owned e o n Kresge grew from 233 stores in retail chains. S.S. Kresge grew from 233 stores in r S S. retail chains h 1924 to 451 stores just 4 years later. r r e
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S.S. Kresge–1923 Weekly Chart Earnings per share e a acceleration acceleration n c o 3/2 Jun 1922 Mar 1922 Dec 1921
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