Page 721 - How to Make Money in Stocks Trilogy

Belt Promotion: One Stock Victory at a Time 25

• KEY POINTS •
• Buy at least one stock if there is a follow-through day.

• Build a watch list from stocks in the IBD 50 that have top
fundamentals.

Ted Staub
Ted is a retired executive from the pharmaceutical industry who lives in
Florida. He had traveled the world for work and had little time to trade but
always had an interest in the market. Before he started reading IBD and fol-
lowing the CAN SLIM principles, he thought that stocks that were going
down in price might be a bargain. Through reading IBD, he learned that
cheap stocks are cheap for a reason and began to look for stocks with great
earnings that were basing or pulling back to the 10-week line when looking
for entry points. His first winner was Web.com Group. The stock started
moving up on heavier volume in June and Ted bought it. In July, Ted sold
Web.com and locked in a gain of 25%, his first winner. He said that he was
a little hesitant in the beginning, but “this first victory gave me faith in the
CAN SLIM System.”

• KEY POINT •

• Look for stocks in the IBD 50 that have big earnings that
are basing or pulling back to the 10-week line in low vol-
ume, showing that institutions are still holding onto shares.

Ashish Dave
Ashish got started in investing in 1996. At that time, he was a young engi-
neer and noticed his boss would put IBD in the recycling bin after he fin-
ished reading it. Ashish was interested in the market, so he pulled the paper
out of the bin. He found that IBD was an “easy way to find great stocks.” His
interest led him to read How to Make Money in Stocks and to attend several
IBD educational workshops. Ashish doesn’t buy a stock unless it shows up
on the IBD 50 because he has found that a stock has a greater probability of
succeeding if it shows up on this list. Ashish focuses mainly on the top 25