From: owner-canslim-digest@lists.xmission.com (canslim-digest) To: canslim-digest@lists.xmission.com Subject: canslim-digest V2 #332 Reply-To: canslim Sender: owner-canslim-digest@lists.xmission.com Errors-To: owner-canslim-digest@lists.xmission.com Precedence: bulk X-No-Archive: yes canslim-digest Monday, July 20 1998 Volume 02 : Number 332 In this issue: Re: [CANSLIM] Groups to look at Re: [CANSLIM] Groups to look at [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! Re: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! [CANSLIM] The Earnings Game [CANSLIM] Re: Thoughts on Thursday IBD Article Re: [CANSLIM] Groups to look at - Db RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! [CANSLIM] IBD Groups ("A" list) [CANSLIM] Remember the 'If I were to ask you post? Re: [CANSLIM] Shareware charting & tech analysis program: Parity 1.5 Re: [CANSLIM] IBD Groups ("A" list) Re: [CANSLIM] Thoughts on Thursday IBD Article RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! [CANSLIM] Re: TC 2000 Re: [CANSLIM] Groups to look at - Db (Footnote) RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! RE: [CANSLIM] Boys and Girls: A Perfect Example! Re: [CANSLIM] Thoughts on Thursday IBD Article Re: [CANSLIM] Breakout PSQL Re: [CANSLIM] B.O. BOSA - Pivot Point? Re: [CANSLIM] Groups to look at - Db RE: [CANSLIM] Boys and Girls: A Perfect Example! Re: [CANSLIM] IBD Groups ("A" list) ---------------------------------------------------------------------- Date: Mon, 20 Jul 1998 17:53:52 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] Groups to look at Good idea DB. I have 3 old issues of IBD from the May '98 period when I was on holiday in Fl. Bldg - Mobile/Mfg & RV NRVH NOBH MCCO CHB WGO HSTR THO RHH FLE CMH MODT COA MBSI SKY RVEE LIBHA SMCC CRV OH LIBHB AXLE Retail - Home Furnishings -- Tannis has already provided those. RWAY LIN ETH RNTA RCII RNT HAVTA HAVT CBZ RNCO FBN KFI CPWM BBA GLBE HMY RBDS At 08:14 AM 20-07-98 -0700, you wrote: > ><DG online, you would think it would be in that, but no, can't be that >easy.>> > >If everyone were to contribute only one group in the way Tannis (who >provided three) did, you'd all have a reasonably complete spreadsheet >of these stocks within a week, and it wouldn't cost you a cent. > >--Db Johan Van Houtven / CLICK! N.V. - - ------------------------------ Date: Mon, 20 Jul 1998 11:33:45 -0400 From: Joan Sherman Subject: Re: [CANSLIM] Groups to look at ><DG online, you would think it would be in that, but no, can't be that >easy.>> > >If everyone were to contribute only one group in the way Tannis (who >provided three) did, you'd all have a reasonably complete spreadsheet >of these stocks within a week, and it wouldn't cost you a cent. > >--Db > I have ordered the book from IBD. As soon as it comes, I'll post to the group so if anyone want to see a list of stocks in a particular group, I'll be glad to list them. Joan Sherman - - ------------------------------ Date: Mon, 20 Jul 1998 10:36:25 -0700 From: Alan Friedman Subject: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! I've seen many of you discuss JAII...not a strong enough cup and handle IMHO...USAI-interesting, but EPS rank is not there, although the last qtr was nice... Here is the real Mccoy and many of you already took this trade. But you need to study this. This is a genuine cup and handle. My only worry was the volume, but it did increase on the breakout: http://fast.quote.com/fq/quotecom/chart?symbols=dell&time_period=Daily&bars=100&newstype=480%20x%20360%20GIF&chart_type=Close%20Only&colors=Black%25%252C%20Green%20on%20Transparent&vol=Volume&study=Exponential%20moving%20average&ma_period=50&key=&mode=Daily%20Chart Sure, the "S" and "I" are not 100% WON...but when a market leader like DELL makes this pattern, and the RS and EPS are there...you HAVE to take the trade. DELL went up nearly 25% from the bo point Alan Friedman http://www.netword2000.com/momentum/online.htm - - ------------------------------ Date: Mon, 20 Jul 1998 18:22:08 +0200 From: Johan Van Houtven Subject: Re: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! Alan, Craig Griffin reported the cup-and-handle on DELL to the group when it was forming/breaking out. I think that for gorilla companies like CSCO, MSFT, DELL and LU the "S" and "I" are much less important than for 'normal' CANSLIM stocks. At 10:36 AM 20-07-98 -0700, you wrote: >I've seen many of you discuss JAII...not a strong enough cup and handle > >IMHO...USAI-interesting, but EPS rank is not there, although the last > >qtr was nice... > > > >Here is the real Mccoy and many of you already took this trade. But you > >need to study this. This is a genuine cup and handle. My only worry was > >the volume, but it did increase on the breakout: > > > >http://fast.quote.com/fq/quotecom/chart?symbols=dell&time_period=Daily&bars =100&newstype=480%20x%20360%20GIF&chart_type=Close%20Only&colors=Black%25%25 2C%20Green%20on%20Transparent&vol=Volume&study=Exponential%20moving%20averag e&ma_period=50&key=&mode=Daily%20Chart > > > >Sure, the "S" and "I" are not 100% WON...but when a market leader like > >DELL makes this pattern, and the RS and EPS are there...you HAVE to take > >the trade. > > > >DELL went up nearly 25% from the bo point > > > >Alan Friedman > >http://www.netword2000.com/momentum/online.htm > > > > > > > > > > > > > > > > > >- > > > > Johan Van Houtven / CLICK! N.V. - - ------------------------------ Date: Mon, 20 Jul 1998 11:28:57 -0700 (PDT) From: dbphoenix Subject: [CANSLIM] The Earnings Game Good article on playing "the earnings game" - http://investor.msn.com/prospect/articles/jubak/753.asp - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Mon, 20 Jul 1998 15:25:21 -0500 (CDT) From: mckeener@ix.netcom.com Subject: [CANSLIM] Re: Thoughts on Thursday IBD Article Amy and Rich, Here's what I do but I'm sure everyone goes about their research slightly differently, and even alters their system periodically. You'll need to find what's best for you - timewise, goalwise, etc. I look at the industry groups that are moving up. This information is taken from each day's IBD below the Dow, S&P and Nasdaq charts. Within the groups, I look at the top 2 or 3 stocks according to CANSLIM guidelines. I then review their charts (refer to O'Neil's book for this), and I use Big Charts' indicators. If I'm still interested in the stock, I'll pull up the weekly charts for more confirmation. I also quickly peruse the charts in the printed version of DG for additional companies following the above pattern. Of course, I read the CANSLIM message board for more ideas. Finally, when it comes down to decision time, no matter what I've read and heard, I need to follow my sense, my interpretation of the research and my comfort level. If I've made the wrong decision, I'll go back, see what I did, write it down, and make a note of it. Read as much as possible, keeping a stock journal of your thoughts might be helpful, as well as analying to death every move you make so that you become the best trader possible. Hope this of use. Regards, Mary - - ------------------------------ Date: Mon, 20 Jul 98 17:23:14 PDT From: "Walter Stock" Subject: Re: [CANSLIM] Groups to look at - Db > Here are several up-and-coming groups which include some up-and-coming > stocks: > > Staffing > Medical Software > Mortgage Services > Home Furnishings > > --Db Hi Db, Looking at your up-and-coming groups, I am wondering what the suggestions are based upon. Is it the action of the groups as you have set them up in Window on Wall Street ? Is there a time lag with IBD/ DG or other data ? The reason I am curious is that I have taken out a one month trial subscription to Daily Graphs, and the Industry Group movement in it seems quite different from your results. For example, in the DG just delivered (printed on the weekend), the Home-Furnishings group shows up as #11 three months ago, dropped to #63 by two weeks ago, and finished down at #70 by the end of last week. Similarly, in one of the HGS sites you had recommended (and an excellent one), Group Speed for Retail-Home-Furnishings is diminishing rapidly. See: http://members.aol.com/RANord/reports/PUBGRP3.HTM Could you clear this up for me? I put a lot of emphasis on Industry Group movement in my investing, and would appreciate your comments. :-) Walter Stock Oakville, ONT - Canada - - ------------------------------ Date: Mon, 20 Jul 98 13:24:400 -0500 From: Jeffry White Subject: RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! ===== Original Message from canslim@lists.xmission.com at 7/20/98 6:22 pm >Alan, > >Craig Griffin reported the cup-and-handle on DELL to the group when it was >forming/breaking out. > >I think that for gorilla companies like CSCO, MSFT, DELL and LU the "S" and >"I" are much less important than for 'normal' CANSLIM stocks. At this latest "M" turn, I decided to experiment with an idea that I'd shunned for a couple of years in the name of CANSLIM purity, or what you seem to be calling "normal CANSLIM", Johan. That is, I decided to seek out the likes of your list above and buy in the money calls on those that emerged from appropriate bases near the follow through days off the buy signal low. These stocks have been the major leaders for several market turns now, and track the "M" quite methodically. How many times before had I sat on the sidelines, or struggled with underperforming smaller issues which broke out with the new uptrend, while these monsters made significant and extended moves? Too many to mention. So, this time, I spotted LU and DELL, bought a gaggle of options on both, and but for those issues, I'd not be enjoying this market very much at all. "S" and "I", I hope will excuse my divergence from the straight and narrow. I'll not be overlooking this type of trading in the future, BTW, CANSLIM or not. Anyone care to comment generally on the viability of this "M" since 6/23 for the more "traditional" CANSLIM stocks? My experience had been nothing to write home about. Jeffry - - ------------------------------ Date: Mon, 20 Jul 1998 12:05:22 -0700 From: "Joe Barger" Subject: [CANSLIM] IBD Groups ("A" list) This is a multi-part message in MIME format. - ------=_NextPart_000_006C_01BDB3D6.ABD554E0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: 7bit I have compiled a list of all the IBD companies in the news since around the first of the year. Since I have taken so much and contributed so little to this list, I thought I'd contribute the lists and help save the pain (and it is/was a pain) of gathering all the data. The lists are current as of last Friday and contain most, if not all, of the companies listed (I lost interest when the EPS/RS was 10/12) for each group. They are listed in the order shown in IBD. I use the lists as input into IRL to generate composits for each group, rank the groups and select the leaders. I believe them to be accurate, but use at your own risk. If there are any errors, please let me know. I also clip the CTIN box each day so I can quickly check the vitals for a company I'm interested in. Otherwise I believe most of the data is in IBD at least once a week. To make sure the lists get sent properly, I'll send the "A" letter groups first, and if all is well, the rest will follow. There are 117 groups total. And, no, I won't make updates available. That's left to the reader (I've got a life, although after considering the time it took to compile these lists, I may be forced to reconsider...) Enjoy joe - ------=_NextPart_000_006C_01BDB3D6.ABD554E0 Content-Type: application/octet-stream; name="AeroDefEq.lst" Content-Transfer-Encoding: 7bit Content-Disposition: attachment; filename="AeroDefEq.lst" HEI SIF AVS AIR KELL TGI KRSL CADE FASI AVTM SQAA MOGA TKC MOGB SQAB DCO TTRR ISYS SNS ORBI CW - ------=_NextPart_000_006C_01BDB3D6.ABD554E0 Content-Type: application/octet-stream; name="AutoMfg-D&F.lst" Content-Transfer-Encoding: 7bit Content-Disposition: attachment; filename="AutoMfg-D&F.lst" F HMC GM C TOYOY VOLVY FIA DAI - ------=_NextPart_000_006C_01BDB3D6.ABD554E0 Content-Type: application/octet-stream; name="Auto-OrigEq.lst" Content-Transfer-Encoding: 7bit Content-Disposition: attachment; filename="Auto-OrigEq.lst" GNTX SDII WAB SPW STRT LEA DRRA HILI BWA TWR HAZ SPD JASN FSCR AOS SUP SMCA MODI RMY ARV ABAG - ------=_NextPart_000_006C_01BDB3D6.ABD554E0 Content-Type: application/octet-stream; name="Auto-RepPts.lst" Content-Transfer-Encoding: 7bit Content-Disposition: attachment; filename="Auto-RepPts.lst" FMO IMCO WN HMF ATAC RBIN MSX ECH EDEL MPAA BMTR SMP RAY UFMG CREB LUND PGLD AI TPS CRGR EX - ------=_NextPart_000_006C_01BDB3D6.ABD554E0-- - - ------------------------------ Date: Mon, 20 Jul 1998 15:36:35 -0700 From: Harlan Subject: [CANSLIM] Remember the 'If I were to ask you post? Ok folks on the 22nd of June 1998 I put this post out to all of you asking/begging you to do something with it! Those who did are loving life! those who are in the Hedge Fund are also loving life! the following is a repost of that email and then a current up, down and percentage return on each. After what 1 month?! ================ Subject: If I were to ask you Date: Mon, 22 Jun 1998 10:29:02 -0700 From: Harlan To: canslim@xmission.com Ok folks If I were to ask you 2 months ago if the following issues were market leaders what would you have said. CMGI YHOO LU LHSPF AOL XCIT MSPG CCU just to name a few. You cant tell me you would have said otherwise. If you were to look at these issues now WHAT WOULD YOU SEE. as Edward Allen Toppel sayes in his book Zen in the Markets. I know I know it sounds way out there! ZEN? what is this guy nuts? Well go read the book and then tell me it wasnt one of the best books youve ever read on the phsychological aspect of investing you ever read then we'll have a talk. He sayes: BELIEVE WHAT YOU SEE NOT WHAT YOU THINK! Now if we were to apply that to the issues above what would you see!!! For me it this 1. Acorrding to the model book study of the biggest winners over the last 45 plus yrs (the cornerstone of CANSLIM by the way) it states that LAST CYCLES LEADERS ARE THIS CYCLE'S LAGGARDS ( semi-conductors,oil case in point) It also states that: EACH NEW UPCYCLE STARTS WITH NEW LEADERSHIP and that leadership continues on after the 1st correction/consolidation of the new upcycle. But you have to look at each issue on its own merits not just the group. So if we were to apply that thinking to the Internets, select technology, Temphelps, and of course the retailer's that would say that when this correction is fuly over these areas are gonna be the place to be right? Well lets back up for a moment and look at the word Market Leader. Dont those words denote LEAD meaning move before the whole market does? In my book it does. Now lets go back to those issues again. Look at them again What do you see. CMGI- finishing off a correction/consolidation and has a big base. What happens when it breaks out of the base. YHOO- Had a corection/consolidation and BROKE OUT of its base and is on its way! LU- finishing off a correction/consolidation and is base building, and a decent size one too! breakout to new highs takes place at 77ish LHSPF- this one too is attempting to finish its correction but still needs a tad bit more time, we'll keep you informed. But theyre sales and earnings keep on keeping on. So its most likely only a matter of time with this one. AOL- POW ZOOM TO THE MOON ALICE look at it what do you see? I see an issue that went through a small correction and busted out to new highs and is on its way. Worth considering on a pullback. XCIT-In the process of finishing a corection/consolidation. Building a cup!!!!!! Watch carefully. If this one puts in a handle and breaks out to the upside its gone and wont look back. MSPG- looks very similiar to XCIT doesnt it? Care to guess what happens when it breaks out? CCU- Hmmm looks as though this issue broke out of its base and is sitting on top of it doesnt it? care to guess what happens when it hits a new high? In summary? If you throw in what the model book has to say about mkt cycles and the leadership that exists in each cycle and then you apply the BELIEVE WHAT YOU SEE with the Basics of technical analysis its my opinion youve got all the ingrediants for nice moves to take place by being in (at some point) those above mentioned issues. PS last yr about this time we saw the same thing with the oils and the semi's and those issues turned out to be the biggest movers of that quarter. Just calling it as I see it does this help give you some direction? Do your own homework, make your own desisions, Manage your own risk, your on your own just thought you'd like to see it. Harlan ========================= Performance thus far after 30 day's!!!!!!! All prices as of close 6-22-98 and 7-20-98 CMGI 57.50 to 82.75 = + 44% up 10.25 today alone YHOO 139.5625 to 196.3125 = + 40% up 10.5625 today alone SPLITTING LU 74.50 to 101.50 = + 36% up 6.625 today alone LHSPF 55.125 to 58.5 = + 6.1% up 3.625 today alone AOL- 101.125 to 136.125 = + 34% up 8.125 toady alone XCIT 79.50 to 94.75 = + 19% up 6.375 today alone, SPLITTING MSPG 73.375 to 116.6875 = + 59% up 12.6875 today alone, SPLITTING CCU 102.5625 to 123.5 = + 20% up 1.375 today alone, SPLITTING =============================================== Total cost using 100 shares of each = 68325 Total value as of close 7-20-98 = 91012.5 or a dollarwise gain of 22687.50 or 33%!!!!!!!!!!!!! in less than a month!!! (HOLD YOUR WINNERS RIGHT YOHAN) for the day? 5962.50 Folks it doesnt get any better anywhere else. Just goes to show you the power of what being in MARKET LEADERS can do for you at the right time. Stick around Harlan Any comments feel free to email me direct. - - ------------------------------ Date: Mon, 20 Jul 1998 12:07:30 -0500 From: Craig Cheatum Subject: Re: [CANSLIM] Shareware charting & tech analysis program: Parity 1.5 > Date: Mon, 20 Jul 1998 19:45:21 +0700 > From: "Peter Christiansen" > Subject: Re: [CANSLIM] Shareware charting & tech analysis program: Parity 1.5 > > I tried Parity a long time ago. If I am not mistaken, it is no longer being > developed. > > Peter Christiansen > Chiang Mai - Thailand I use Parity 2.0 (updated from version 1.5, but 1.5 works just as well) every day. I sort stocks by weighted multiday return. It's the only way to got for me. If a stock drops off my top performers I replace it with the next best. It's the only program I know of that will rank your stocks for you (with some simple programming). I use Quotes-Plus v2.0 for data, output in metastock format to a Windows Explorer subdirectory, create a new group (only need to do once, then add to your watch list) in Parity Plus, the sort by weighted multiday return.Craig - - ------------------------------ Date: Mon, 20 Jul 1998 18:02:59 -0400 From: "Frank V. Wolynski" Subject: Re: [CANSLIM] IBD Groups ("A" list) Joe, you sir are a Hall of Fame candidate! I have been collecting that same list since October, but as you can imagine, have only about half of them. Thanks, the 'A list' came through just fine. Frank Wolynski At 12:05 7/20/98 -0700, you wrote: >I have compiled a list of all the IBD companies in the news since around the >first of the year. . . > >To make sure the lists get sent properly, I'll send the "A" letter groups >first, and if all is well, the rest will follow. There are 117 groups >total. And, no, I won't make updates available. That's left to the reader >(I've got a life, although after considering the time it took to compile >these lists, I may be forced to reconsider...) > >Enjoy > >joe > - - ------------------------------ Date: Mon, 20 Jul 1998 18:08:55 -0400 From: "bamend" Subject: Re: [CANSLIM] Thoughts on Thursday IBD Article I'm getting the faxes. As often as not the stocks are already on my watch list or have recently been taken off my watch list. - -----Original Message----- From: Amy Porter and Rich Bejtlich To: CANSLIM debate Date: Friday, July 17, 1998 10:43 PM Subject: [CANSLIM] Thoughts on Thursday IBD Article > >Finally, anyone else receiving free weekly faxes from CANSLIM.net? I'm >waiting for them to say -- "Now that you've tried our FABULOUS service, why >not continue by paying only $19.95 per month?" -- or something similar. > >Richard > > >- - - ------------------------------ Date: Mon, 20 Jul 1998 15:34:56 -0700 From: Brian Nash Subject: RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! I have played OK, but then it's rare that you get a clearer signal than what we got. 5 ups: I own REXI (came sooo close to getting scared out by a down day on big volume), DST, MTRS, ODP (the laggard), AZPN, and one down: I'm down 3/4 on CBIZ and will turn it loose on a bid of 19. As always, the ones that got away are the real regrets: I missed LGTO because of entry point issues, and VRTS because I felt uncomfortable committing any more capital. No real theme I can point to that's working. It's been a big-cap show. I think fund managers remember getting trapped in roach motels in early 1996 and want to keep a hand on the Exit door. Also, every time small caps make a resurgence, it's treated as a Sign of the Coming Apocalypse in the financial media. >>> Anyone care to comment generally on the viability of this "M" since 6/23 for > the more "traditional" CANSLIM stocks? My experience had been nothing to > write home about. <<< > - - ------------------------------ Date: Mon, 20 Jul 1998 15:56:07 -0700 From: Tim Fisher Subject: RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! Hmmm, not so bad for me. Up from a hole (-8%) at the beginning of the rally to +12% Friday. Hurting today but that's mostly my wife's MCD leveraged ESOP. Anyway big winners are DELL, NRVH, and CXP. So-so's are SYMX (but I did catch the 4-pt day last week), STRL, KSS, PAYX. Losers are INFS (responsible for the hole) GART RCII CBR. Stopped out of UVSGA up a hair and HBOC even. Put 20% of my capital into VFINX and VIGRX also as a hedge, and am forced into some crap funds by my employer contributions, so performance could be better (or worse!)... P.S. My mom is kicking my a$$ with her CNBC picks like LU, XCIT, YHOO, MCK, Pfizer, WCOM, etc. At 03:34 PM 7/20/98 , you wrote: >I have played OK, but then it's rare that you get a clearer signal than what >we got. 5 ups: I own REXI (came sooo close to getting scared out by a down >day on big volume), DST, MTRS, ODP (the laggard), AZPN, and one down: I'm >down 3/4 on CBIZ and will turn it loose on a bid of 19. > >As always, the ones that got away are the real regrets: I missed LGTO >because of entry point issues, and VRTS because I felt uncomfortable >committing any more capital. No real theme I can point to that's working. > >It's been a big-cap show. I think fund managers remember getting trapped in >roach motels in early 1996 and want to keep a hand on the Exit door. Also, >every time small caps make a resurgence, it's treated as a Sign of the >Coming Apocalypse in the financial media. > >>>> Anyone care to comment generally on the viability of this "M" since 6/23 >for >> the more "traditional" CANSLIM stocks? My experience had been nothing to >> write home about. <<< >> > >- > Tim Fisher Ore-Rock-On and Pacific Fishery Biologists WWW Sites mailto:Tim@OreRockOn.com WWW: http://OreRockOn.com See naked fish and rocks! - - ------------------------------ Date: Fri, 17 Jul 1998 21:06:24 PST From: jubileeyear@juno.com (Neil V. Himber) Subject: [CANSLIM] Re: TC 2000 Hi Al: Thanks very much. Your response was very helpful. Neil Himber _____________________________________________________________________ You don't need to buy Internet access to use free Internet e-mail. Get completely free e-mail from Juno at http://www.juno.com Or call Juno at (800) 654-JUNO [654-5866] - - ------------------------------ Date: Mon, 20 Jul 1998 16:22:13 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] Groups to look at - Db (Footnote) And another thing :) I know you know this, but it isn't always obvious to newcomers. Group strength and relative strength are not a cause--they're an effect. In other words, groups don't move up because they have high GS ranks. They have high GS ranks because they've moved up. This does not mean that people don't investigate groups that are showing high GS or that they don't buy stocks in those groups and perpetuate the high GS. But the groups got that high GS rank because somebody was buying those stocks back when. Same with relative strength (Yahoo did not enjoy its current RS two years ago). Therefore, particularly because of the way IBD measures these things, group strength and relative strength tell you what has been, not what is. Look at ETH, for example. Obviously it is not as strong as it was. But that doesn't mean that it isn't getting ready to finish its cup and show us all (or sink like a stone to an all-time low). When people see value in these stocks, they'll buy them. When they buy them, the GS will increase, all else being equal. If all else is not equal and other groups top out (as they will), the GS may increase quite rapidly, calling further attention to the group, more buying, and a faster rise in GS rank. That's why it's so important to pick up on these group movements by chart rather than by tracking the GS in a spreadsheet IF one wants to detect them early. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Mon, 20 Jul 1998 19:48:08 -0400 From: Craig Griffin Subject: RE: [CANSLIM] BOYS AND GIRLS: A PERFECT EXAMPLE! At 03:56 PM 7/20/98 -0700, you wrote: >P.S. My mom is kicking my a$$ with her CNBC picks like LU, XCIT, YHOO, MCK, >Pfizer, WCOM, etc. Interesting. Your Mom and I have many of the same stocks ... using Canslim on the big cap leaders which broke out at the start of the market rally I came up with: LU, YHOO, AOL, MSFT ... and DELL a bit later. BTW (By The Way), PFE looks like it might be ready to go again, although I do not expect it to perform as well as some of the others in the short term. Best regards, Craig - - ------------------------------ Date: Mon, 20 Jul 1998 15:19:39 -0700 (PDT) From: dbphoenix Subject: RE: [CANSLIM] Boys and Girls: A Perfect Example! <> As I've mentioned before, HGS pays little attention to either float or institutional ownership, which is one of the reasons why I started borrowing from it. And over the past year, O'N has backtracked considerably on the issue, raising his maximums on both. Someone reported here not long ago that he had commented during a satellite conference that high institutional ownership was largely unavoidable and that he no longer seemed to be very concerned about it. Given the performance of the NDX, I would think that any CSer who had stuck to his guns regarding the advice given in the book would be pretty pissed right about now. One would hope that O'N will use the current IBD series to bring things up to date, but that will take 26 weeks. Maybe we'll have a better idea of his current thinking by January. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Tue, 21 Jul 1998 08:27:09 +0700 From: "Peter Christiansen" Subject: Re: [CANSLIM] Thoughts on Thursday IBD Article I'm curious why you toss the bancorps? I wish I had been in SNBC for the past year. Peter Christiansen Chiang Mai - Thailand - -----Original Message----- From: Brian Nash To: 'canslim@lists.xmission.com' Date: Monday, July 20, 1998 9:26 PM Subject: RE: [CANSLIM] Thoughts on Thursday IBD Article >I have to do it over the weekends, since my approach takes about 6 hours. > >I look at every chart in 'Weekend Review', throwing out the bancorps and >things I know to be extended (207 this weekend). I'm using the crude Chart >view in Yahoo!, mainly because you can look at 200 symbols at a time and I'm >only looking for familiar patterns and the way the stock has behaved. I >reserve anything with any merit (17 this weekend), and make a second pass >through BigCharts looking at both 1-year weekly, daily, and 3-month daily >charts with Volume by Price (to identify congestion areas), Money Flow, OBV, >MACD, Slow Stochastic and Volume Accumulation. Anything with a divergent >Money Flow or OBV gets the circular file. I don't care as much about the >Stochastic in a trending market. > >I then look at A/D and group RS rank. It has to be at least a B/B, >preferably an A/A. This threw out GLYT (98/93/B/C) this weekend. I'll also >use some judgment. For example, I perceive money to be flowing out of >big-cap retail. So I avoided things like GDYS a couple of weeks ago. > >This will leave me with as few as 1 stock and as many as 17 (4 this >weekend), which I divide into an 'A' list and a 'B' list. The 'A' list >contains things that I will buy under specific conditions, and I write those >conditions down and follow that script exactly. The 'B' list has merit, but >there's something that would prevent me from being comfortable buying it at >the present. I always revisit it the next weekend. These are often great >stocks, but I may have missed the entry point, or I'm uncomfortable with one >of the technical indicators. For example, I wasn't comfortable with any of >the entry points in LGTO, so I missed this great stock. > >I use MS Investor to add the stock to a watch list. I enter the pivot point >in the "purchase price" field and the ADV in the "quantity" field. I then >move the ADV next to the volume column, and the pivot point and % gain >(which shows in color) next to the 'Last trade' field. I can then compare >trading volume to ADV and see if the price is above or below the pivot. > > >>>> Being in the military, we are taught to "plan" for contingencies and >> assemble as much knowledge and equipment as possible prior to conflict. >> How >> do other CANSLIMmers work this dilemma with stocks? Do you screen for CS >> picks using fundamentals, wait for them to make new highs, check the chart >> for patterns, and then buy? I suppose one could also use technicals as >> screens, but I am concerned TA is not as effective in uptrending markets. >> (Honestly I know very little about TA, outside of a few IBD articles and >> short chapters in books.) I am very interested in how others here make >> the >> best use of their limited time. <<< >> >> >I think WON feels that most TA books are crap, and that all that matters is >price and volume. > >>> Speaking of TA, what's WON's view? <<< > > >- > > - - ------------------------------ Date: Tue, 21 Jul 1998 08:28:33 +0700 From: "Peter Christiansen" Subject: Re: [CANSLIM] Breakout PSQL Johan, Did you hang on to PSQL today? Peter Christiansen Chiang Mai - Thailand - - ------------------------------ Date: Tue, 21 Jul 1998 08:12:48 +0700 From: "Peter Christiansen" Subject: Re: [CANSLIM] B.O. BOSA - Pivot Point? For those that didn't care for the breakout of BOSA when I mentioned it on 7/13, how about now? Peter Christiansen Chiang Mai - Thailand - - ------------------------------ Date: Mon, 20 Jul 1998 16:07:43 -0700 (PDT) From: dbphoenix Subject: Re: [CANSLIM] Groups to look at - Db <> It all depends on how the group is constructed. I stopped paying attention to the IBD group-rankings long ago because of the way they were constructed. Each IBD group contains every single stock in the group, even those which trade only a few shares a day and cost less than a quarter. And, of course, they include all foreign stocks, all IPOs, all A/B issues, all "fifth-letter" issues that are doing some temporary strangeness, etc. Thus, particularly if the group is large, the soon-to-be-recognized leaders will have gone way past the point of being buyable before the group itself even shows up on the radar since there will be so much dead weight in the group keeping it down in the rankings and disguising the movement of the few leaders. When I first got wind of the surrogate idea, I thought it made a great deal of sense--reduce the number of stocks in the group by whatever criteria you like in order to make it easier to spot the leaders much earlier in their emergence and to get a much more accurate estimate of group movement. In other words, though the group is important (you don't want a stock that is moving all by itself), you need not necessarily care what the entire group is doing (the fact that LU is doing so well doesn't mean that every single telecom stock is a buy). Therefore, even though my groups are drawn from the IBD groups, they are not identical in composition to the IBD groups. I eliminated all foreign stocks, all IPOs (since they can't be charted), all stocks under $5, all stocks < 40K ADV and all stocks that are having exchange problems of one sort or another such as late filings. This reduces the number of stocks in each group dramatically. This does not mean that one is left with the cream of the cream. There remain plenty of dogs in these groups. However, the ADV requirement does help ensure that the real bow-wows are probably not going to be included, i.e., those stocks which no one has any interest in whatsoever. What it does do is give me a bit more normal distribution so that the leaders can be spotted earlier. As far as the four groups I mentioned are concerned, these are charts that show groups which have corrected and are showing renewed strength. At a minimum, the 17d must have crossed the 50d to the upside. But in addition to these four, there are many groups which have been strong, continue to be strong, and may be strong for the foreseeable future. But there's very little that's buyable in those groups that isn't at least third tier or isn't forming a third or fourth-stage base. What I like about the surrogate groups is that, even though you may miss the breakouts of the absolutely first-tier stocks, you have plenty of time to pick up the second tier. Take Ethical Drugs, for example. Today its 17d crossed above its 50d on the weekly chart. I have 47 stocks in this group and the charts of most of them are a mess. A few are over-extended. A few are forming cups. A few are forming bases. There may be only one or two in the entire group, barring the over-extended "famous", but that's all you need. I have no idea what the group rank or group strength is and don't particularly care. All that matters to me is that it's showing strength. When it stops showing strength, then that's that. That may be next month, next week, or tomorrow. I'm also finding a number of semiconductor equipment stocks that seem to be picking themselves up off the floor, and the group chart is showing signs of life as well, but it's nowhere near showing a buy signal, so I don't bring it up. If all this sounds hypocritical after all my posts about the Delphi site and Roger's site and the various and sundry other sites which provide group and/or index charts and data of one sort or another, remember that few people on the list have charting programs which enable them to create surrogate groups and composite charts. There's no point in going into a lot of detail regarding something that few people can do. In my opinion, if you don't have a charting program that allows you to perform these functions, you can't do better than the sites I've mentioned, plus, of course, IBD and DGO. There is a site which provides group speed data on Telescan groups which I'll be happy to provide, but, again, it doesn't use surrogates, and the Telescan groups are not the same as IBD groups. The Zack's and Yahoo groups have even less commonality with the IBD groups than Telescan does. Now that the members of the group are making an effort to share their lists, perhaps more people will be encouraged to purchase a program which will enable them to follow group movements themselves. This doesn't mean that each person's group will be the same as everyone elses since one person may use different filters than another to get rid of what he considers to be dogs. But no matter how he defines his group, he'll be getting the information on movement much faster than most anybody else. - --Db _________________________________________________________ DO YOU YAHOO!? Get your free @yahoo.com address at http://mail.yahoo.com - - ------------------------------ Date: Mon, 20 Jul 1998 21:58:38 -0400 From: "Frank V. Wolynski" Subject: RE: [CANSLIM] Boys and Girls: A Perfect Example! In a day when the number of Mutual Funds investing in stocks out number the number of stocks in the market to trade, I think the issue of 'I' has different significance than when WON used computer modeling to find what his published books (HTMMIS) describe as CANSLIM. This is IMHO of course, as what I 'think' is totally irrelevant to anything in particular! What goes up is generally what is in such demand, that supply is outstriped. I'm willing to speculate that this market is teaching WON a few new tricks also. Frank Wolynski At 15:19 7/20/98 -0700, you wrote: ><6/23 >for >the more "traditional" CANSLIM stocks? My experience had been nothing >to >write home about. > >Jeffry>> > >As I've mentioned before, HGS pays little attention to either float or >institutional ownership, which is one of the reasons why I started >borrowing from it. And over the past year, O'N has backtracked >considerably on the issue, raising his maximums on both. Someone >reported here not long ago that he had commented during a satellite >conference that high institutional ownership was largely unavoidable >and that he no longer seemed to be very concerned about it. Given the >performance of the NDX, I would think that any CSer who had stuck to >his guns regarding the advice given in the book would be pretty pissed >right about now. One would hope that O'N will use the current IBD >series to bring things up to date, but that will take 26 weeks. Maybe >we'll have a better idea of his current thinking by January. > >--Db > > > > > >_________________________________________________________ >DO YOU YAHOO!? >Get your free @yahoo.com address at http://mail.yahoo.com > > >- > > - - ------------------------------ Date: Mon, 20 Jul 1998 20:05:05 -0700 From: Talib Hirji Subject: Re: [CANSLIM] IBD Groups ("A" list) Many Thanks for the Lists. However I like to point out that while looking at IBD Industry List I find the difference as follows: AeroDefEq: IBD shows 52 stocks in the group, while you have only 21. AutoMfg-D&F: I assume you have combined Domestic & Foreign group together, IBD shows 3 stocks in Domestic and 8 in Foreign; You lists only 8 total. Auto-OrigEq: I assume this group is same as IBD Auto/Truck-Original Eqp. Again IBD list 44 stocks, while you have 21. Auto-RepPts: Here I assume this is same as IBD Auto/Truck-Replace Prts. with 25 stocks. Your list has 21 only. Please note, this is in no way to criticize your effort, but to know, if we have to update this list to match IBD. Once again your contibutions are very much appreciated. Talib At 12:05 PM 7/20/98 -0700, you wrote: >I have compiled a list of all the IBD companies in the news since around the >first of the year. Since I have taken so much and contributed so little to >this list, I thought I'd contribute the lists and help save the pain (and it >is/was a pain) of gathering all the data. The lists are current as of last >Friday and contain most, if not all, of the companies listed (I lost >interest when the EPS/RS was 10/12) for each group. They are listed in the >order shown in IBD. I use the lists as input into IRL to generate composits >for each group, rank the groups and select the leaders. I believe them to >be accurate, but use at your own risk. If there are any errors, please let >me know. I also clip the CTIN box each day so I can quickly check the >vitals for a company I'm interested in. Otherwise I believe most of the >data is in IBD at least once a week. > >To make sure the lists get sent properly, I'll send the "A" letter groups >first, and if all is well, the rest will follow. There are 117 groups >total. And, no, I won't make updates available. That's left to the reader >(I've got a life, although after considering the time it took to compile >these lists, I may be forced to reconsider...) > >Enjoy > >joe > >Attachment Converted: "C:\EudoraPro3\ATTACH\AeroDefEq.lst" > >Attachment Converted: "C:\EudoraPro3\ATTACH\AutoMfg-D&F.lst" > >Attachment Converted: "C:\EudoraPro3\ATTACH\Auto-OrigEq.lst" > >Attachment Converted: "C:\EudoraPro3\ATTACH\Auto-RepPts.lst" > - - ------------------------------ End of canslim-digest V2 #332 ***************************** To unsubscribe to canslim-digest, send an email to "majordomo@xmission.com" with "unsubscribe canslim-digest" in the body of the message. For information on digests or retrieving files and old messages send "help" to the same address. Do not use quotes in your message.