Go to Jeff Salisbury LWGate Home Page.From: "Katherine Malm" <kmalm@earthlink.net>
Subject: Re: [CANSLIM] Why Professionals go astray
Date: Tue, 3 Sep 2002 18:36:21 -0500
Previous Article (by Date): Re: [CANSLIM] Why Professionals go astray Cwyndham@aol.com
Top of Thread: Re: [CANSLIM] Why Professionals go astray RWElmer@aol.com
Articles sorted by: [Date]
[Author]
[Subject]
This is a multi-part message in MIME format.
- ------=_NextPart_000_0004_01C25378.CCE29EE0
Content-Type: text/plain;
charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable
Hi Wyndy,
My comment about chucking CANSLIM was tongue-in-cheek. You can't measure =
a system unless there are firm recommendations and/or nonsubjective =
components for entry/exit.* CANSLIM is not about telling you =
specifically which stocks you should and shouldn't buy, it doesn't =
recommend stocks---it's a process of investing long in fundamentally =
sound high-growth stocks using an intermediate term entry/exit strategy =
based on technicals. It's a long strategy intended for uptrending =
markets rather than an "all weather" strategy.
My intended point was that if someone prefers a system that has no =
subjective components, is mechanically based and/or requires statistical =
evidence before following it, then CANSLIM is not the right strategy for =
them. If they are instead sufficiently confident in anecdotal evidence =
of success and are comfortable with interpreting subjective criteria, =
then CANSLIM will "fit" the person.
Katherine
* What can and has been done is to take a rule-based interpretation of =
CANSLIM and then enter/exit only on quantifiable elements. When this is =
done, one can measure the performance (and it's quite good, by the way). =
However, every time I show a study that did this to someone, they find =
some reason to doubt the results. There's just no pleasing some people. =
They don't believe it if you *don't* show statistics, and when you *do* =
show them statistics, they say that "statistics lie." Sounds no-win to =
me.
- ----- Original Message -----=20
From: Cwyndham@aol.com=20
To: canslim@lists.xmission.com=20
Sent: Tuesday, September 03, 2002 5:48 PM
Subject: Re: [CANSLIM] Why Professionals go astray
In a message dated 9/3/2002 5:14:16 PM Central Daylight Time, =
kmalm@earthlink.net writes:
If track record is a prerequisite for judging content, then you may =
as well
chuck CANSLIM out the window....as there is no official record of =
WON's
yearly results since 1960-something when he began. Guess that means =
that
CANSLIM has no value because WON and/or the IBD doesn't even *have* =
a
Hulbert rating.
Katherine
From the loss in subscribers to the newspaper and other offerings I =
think that many people are chucking CANSLIM. Folks didn't care about =
performance with a bull markets wind at their back but now it's a =
different story. I for one want to know "where's the beef." I am sad to =
say I couldn't find any data.
Wyndy
- ------=_NextPart_000_0004_01C25378.CCE29EE0
Content-Type: text/html;
charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable
<!DOCTYPE HTML PUBLIC "-//W3C//DTD HTML 4.0 Transitional//EN">
<HTML><HEAD>
<META http-equiv=3DContent-Type content=3D"text/html; =
charset=3Diso-8859-1">
<META content=3D"MSHTML 6.00.2716.2200" name=3DGENERATOR>
<STYLE></STYLE>
</HEAD>
<BODY bgColor=3D#ffffff>
<DIV>Hi Wyndy,</DIV>
<DIV> </DIV>
<DIV>My comment about chucking CANSLIM was tongue-in-cheek. You can't =
measure a=20
system unless there are firm recommendations and/or nonsubjective =
components for=20
entry/exit.* CANSLIM is not about telling you specifically which stocks =
you=20
should and shouldn't buy, it doesn't recommend stocks---it's a process =
of=20
investing long in fundamentally sound high-growth stocks using an =
intermediate=20
term entry/exit strategy based on technicals. It's a long strategy =
intended for=20
uptrending markets rather than an "all weather" strategy.</DIV>
<DIV> </DIV>
<DIV>My intended point was that if someone prefers a system that =
has no=20
subjective components, is mechanically based and/or requires statistical =
evidence before following it, then CANSLIM is not the right strategy for =
them.=20
If they are instead sufficiently confident in anecdotal evidence of =
success and=20
are comfortable with interpreting subjective criteria, then CANSLIM will =
"fit"=20
the person.</DIV>
<DIV> </DIV>
<DIV>Katherine</DIV>
<DIV> </DIV>
<DIV>* What can and has been done is to take a rule-based interpretation =
of=20
CANSLIM and then enter/exit only on quantifiable elements. When this is =
done,=20
one can measure the performance (and it's quite good, by the way). =
However,=20
every time I show a study that did this to someone, they find some =
reason to=20
doubt the results. There's just no pleasing some people. They don't =
believe it=20
if you *don't* show statistics, and when you *do* show them statistics, =
they say=20
that "statistics lie." Sounds no-win to me.</DIV>
<DIV> </DIV>
<DIV>----- Original Message ----- </DIV>
<BLOCKQUOTE=20
style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; =
BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px">
<DIV=20
style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: =
black"><B>From:</B>=20
<A title=3DCwyndham@aol.com =
href=3D"mailto:Cwyndham@aol.com">Cwyndham@aol.com</A>=20
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>To:</B> <A =
title=3Dcanslim@lists.xmission.com=20
=
href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>=
</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Sent:</B> Tuesday, September 03, =
2002 5:48=20
PM</DIV>
<DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [CANSLIM] Why =
Professionals=20
go astray</DIV>
<DIV><BR></DIV><FONT face=3Darial,helvetica><FONT lang=3D0 =
face=3DArial size=3D2=20
FAMILY=3D"SANSSERIF">In a message dated 9/3/2002 5:14:16 PM Central =
Daylight=20
Time, <A href=3D"mailto:kmalm@earthlink.net">kmalm@earthlink.net</A>=20
writes:<BR><BR><BR>
<BLOCKQUOTE=20
style=3D"PADDING-LEFT: 5px; MARGIN-LEFT: 5px; BORDER-LEFT: #0000ff 2px =
solid; MARGIN-RIGHT: 0px"=20
TYPE=3D"CITE">If track record is a prerequisite for judging content, =
then you=20
may as well<BR>chuck CANSLIM out the window....as there is no =
official=20
record of WON's<BR>yearly results since 1960-something when he =
began. Guess=20
that means that<BR>CANSLIM has no value because WON and/or the IBD =
doesn't=20
even *have* a<BR>Hulbert =
rating.<BR><BR>Katherine</BLOCKQUOTE><BR><BR>From the=20
loss in subscribers to the newspaper and other offerings I think that =
many=20
people are chucking CANSLIM. Folks didn't care about performance with =
a bull=20
markets wind at their back but now it's a different story. I for one =
want to=20
know "where's the beef." I am sad to say I couldn't find any=20
data.<BR><BR>Wyndy<BR></BLOCKQUOTE></FONT></FONT></BODY></HTML>
- ------=_NextPart_000_0004_01C25378.CCE29EE0--
- -
- -To subscribe/unsubscribe, email "majordomo@xmission.com"
- -In the email body, write "subscribe canslim" or
- -"unsubscribe canslim". Do not use quotes in your email.
Previous Article (by Date): Re: [CANSLIM] Why Professionals go astray Cwyndham@aol.com
Top of Thread: Re: [CANSLIM] Why Professionals go astray RWElmer@aol.com
Articles sorted by: [Date]
[Author]
[Subject]