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Subject: Re: [CANSLIM] for Short Selling
Date: Sat, 9 Aug 2003 19:11:38 -0500
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This is a multi-part message in MIME format. - ------=_NextPart_000_05C9_01C35EAA.0ED7C9A0 Content-Type: text/plain; charset="iso-8859-1" Content-Transfer-Encoding: quoted-printable DMC, you're a breath of fresh air!!! =20 I certainly increased my chart reading skills when I had to turn them = 'upside down' in order to short a stock. Really drove home = support-resistance. =20 I'll check out your sites on Monday, Gene ----- Original Message -----=20 From: DMC197807=20 To: canslim@lists.xmission.com=20 Sent: Saturday, August 09, 2003 6:41 PM Subject: Re: [CANSLIM] for Short Selling Rolf & Mark, My vote (if I get a vote) is why not discuss how to use canslim ideas = to generate potential shorts? It's not like this little epistolary group hasn't gone off the track since I've been here (about 10 trading = days), and it's not like it takes a lifetime to figure out Canslim in any event. = It's really rather simple, and with the help of computers it's almost too = easy. The real difficulty lies in disciplining oneself to limit or get rid = of longs in sideways and topping markets, and be willing to reenter when = the market's correction has ended and stocks are ready to rise again. You = can find the names of candidates very easily for a little coin paid for a subscription to IBD and/or a subscription to canslim.net. For short discussions, let's just use the above referenced subject = line "Re: [CANSLIM] for Short Selling" and the purists like Fanus et al (so far it seems to be all Fanus) can either eyeball them and delete them, or even program their Outlook = Express to pre-delete all messages on the peripheral topic. I think it would be helpful to understand what kind of screen would = generate the opposite of good longs in a bad market, if only for academic, mind-sharpening purposes. After all, if in traditional canslim = technique you are looking for 1 or 2 stocks to buy per week in a good (M!) = market, then why not reverse the order in a bad (M!) market. With that in mind, I'd like to explore what kinds of things people = think would indicate a dangerous market, knowing in advance that calling a = top is one of the hardest things to do BUT that falls tend to be so much more precipitous than climbs that there's gold in those hills if you can = time it right and buy a put to get into position. In any event, VTO has provided a very handy site with lots of = sentiment indicators: http://www.vtoreport.com/sentiment/cot.htm If you click on Sentiment and Bull/Bear you can see a very wide gap = between bullish and bearish advisors, the kind which indicates a correction is coming. I'd say anytime you see a gap of 25% or more (with the bulls = on top) you are looking at a dangerous situation. The Put/Call ratio has been very low and is now climbing. Again = danger. The VIX has been unnaturally low for a long time, another coiled = spring. For COTS, I prefer to use the Quasimodos.com site: http://www.quasimodos.com/marketrider/technical.php The articles are interesting, and to get the reports and COTs page, = click here: http://www.quasimodos.com/marketrider/charts.php You can't paste the sites, but the first 3 on the right, for the Dow, = the Naz and the SPX have a very interesting graphic display of the = traders' positions. I don't know exactly what the timing is on these but the = smart money seems to be betting against this market continuing, while the = small speculators keep piling on the positions. Good bull markets (like the = one we had from March to June) often begin with very small bars. DMC From: "Mark Kerson" <mkerson@dplus.net> To: <canslim@lists.xmission.com> Sent: Saturday, August 09, 2003 11:13 AM Subject: RE: [CANSLIM] short selling (WEBX) > I don't know. > > It does not seem inappropriate to discuss using CANSLIM to short on = this > site. > > > In IBD, Thursday, August 7, 2003, on the front page of B1, in = Investor's > Corner, the last line of the box under "Advanced Study" says, "Learn = to > sell shares short during a market decline (see Feb. 14 Corner)" > > It seems possible (at least logical, I certainly can't claim that I = have > done it or know anyone who has) to reverse the principles and choose > shorts. Therefore if someone is interested in exploring it, well, I > don't see why we can't. > > At any rate I would like too follow such a discussion. > > Mark > > > -----Original Message----- > From: owner-canslim@lists.xmission.com > [mailto:owner-canslim@lists.xmission.com] On Behalf Of Fanus > Sent: Saturday, August 09, 2003 1:16 PM > To: canslim@lists.xmission.com > Subject: Re: [CANSLIM] short selling (WEBX) > > Rolf > > Yes, WON spent about 3 pages on short selling in his > book of about 270 pages. And in these three pages he > showed two chart patterns and doesn't mention any of > the CANSLIM attributes, or reverse of them for > shorting. HTTMIS mentioned lots of other things also, > but this isn't a group to discuss HTTMIS. It is a > group to discuss CANSLIM. > > Just because he mentioned short selling in the book, > doesn't make it CANSLIM. He also mentioned daytrading > and swingtrading in his book. Also not CANSLIM. If you > decide to use reverse CANSLIM criteria to pick shorts > then it is fine. But this doesn't make it CANSLIM and > is not mentioned by WON at all as shorting criteria. > Any rules you use for shorting is your rules and not > WON's rules for CANSLIM. > > To use the criteria below, where in CANSLIM, or HTTMIS > for that matter, is the "ANI" criteria mentioned as > valid shorting criteria? > > If you want to learn more about selling short, why not > find a discussion group which main goal is to discuss > shorting methods and criteria? I sell short stocks > too and I am not against shorting. I am just against > discussing it out of place. > > Best Regards > - Fanus > > --- Rolf Hertenstein <rolfh@mindspring.com> wrote: > > ----- Original Message ----- > > From: "Fanus" <fanus13@yahoo.com> > > > > > CANLSIM is a long strategy and according to the > > rules, > > > you get out if you are in a bear market. > > > I think this type of discussions are > > > better suited for a different discussion group. > > > > I disagree. Though WON spends almost all of his > > HTMMIS pages on long > > techniques, he does discuss short selling in > > correcting or beginning bear > > markets. He even gives a couple of chart pattern > > examples, like the Head > > and Shoulders Top. I would welcome any discussion > > here from the more > > experienced members on their short techniques. If > > we are (or even if we > > aren't) at the beginning of a multi-year, mostly > > sideways market, with > > occassional bull runs, seems like effective shorting > > could really help > > overall returns. > > > > Some specific thoughts on DMC's post (see below): > > A (annual earnings): Seems like a change in earnings > > (for the worse) would > > be more important a specific number like 15%. > > N (new something): My two thoughts are 1. a new > > product that *doesn't* live > > up to expectations, or 2. new 52-week low. > > I (institutional): If there are large institutional > > positions, and they > > begin to dumpp the stock, might this not drive the > > price more aggressively > > downward? > > > > Rolf > > > > > > > > --- DMC197807 <dmc197807@comcast.net> wrote: > > > > P.S. [prescript]: I can't see any reason to > > > > establish (or keep) a long > > > > position on WEBX here. Too much risk for me. > > > > > > > > Mark, > > > > > > > > Welcome to the thread. I don't have any problem > > > > with you posting your > > > > website location here; it looked pretty good to > > me. > > > > > > > > On the subject of using canslim to find > > breakdown > > > > rather than breakout > > > > candidates, I think that's a good idea. I'm not > > > > sure how we properly tweak > > > > the criteria, but I think it's an excellent > > topic > > > > for education here. Why? > > > > Because the M in Milscan is very, very > > precarious > > > > here and I think shorts > > > > and puts are going to smash longs and calls over > > the > > > > next several weeks. I > > > > don't see a lot more upside to the market at > > this > > > > point. Just pulling up an > > > > SPX chart shows a very very tired market, and > > the > > > > path of least resistance > > > > looks to be southeast-, and not northeastward > > bound. > > > > > > > > With that in mind, how would be alter CANSLIM to > > > > look for breakdowns? [I'll > > > > put commentary in brackets for breakdown] > > > > > > > > C =3D Current quarterly earnings per share (should > > > > show a major percentage > > > > increase compared to the prior year's same > > quarter) > > > > [Here I think you take > > > > all earnings up to, say 10% positive. Why? > > What we > > > > are looking for are > > > > stocks which have risen with the tide in spite > > of > > > > lukewarm or poor earnings, > > > > but earnings up to 30% seem too robust to > > produce a > > > > good short.] > > > > > > > > A =3D Annual earnings (the company should be > > > > experiencing meaningful growth > > > > over the past five years) [Perhaps the cap on > > annual > > > > earnings growth should > > > > be 15%??] > > > > > > > > N =3D New products, new management, new high > > prices [I > > > > don't see how to apply > > > > this one; I don't want to exclude new high > > prices, > > > > because we're looking for > > > > overvalued stocks. Other ideas?] > > > > > > > > S =3D Supply and demand (small capitalization > > stocks > > > > with high trading volume) > > > > [Here, having large cap elephants could be a > > great > > > > idea > > > > > > > > L =3D Leader in the industry, not a laggard [here, > > use > > > > a relative strength > > > > rating of 60 or below?] > > > > > > > > I =3D Institutional sponsorship (a little goes a > > long > > > > way) [Hmmmm. Do we want > > > > high institutional ownership, or is this factor > > one > > > > to be left out > > > > > > > > M =3D Market direction (should be headed up). > > [This > > > > one goes first. For me, > > > > the market is facing a lot more easy downside > > right > > > > here than upside. > > > > Chances of a SPX in the 600, 700, 800 range in > > the > > > > next 3-4 months is much > > > > greater, to me, than a SPX move to 1100, 1200, > > > > 1300.] > > > > > > > > Now comes the difficulty of establishing a > > pivot, > > > > and selling at the > > > > breakdown of that point. > > > > > > > > > > > > > > > > DMC > > > > > > > > > > > > > > > > > > > > > > > > ----- Original Message ----- > > > > From: "Mark Crisp" > > > > <stressfreetrader@btopenworld.com> > > > > To: <canslim@lists.xmission.com> > > > > Sent: Wednesday, August 06, 2003 8:17 AM > > > > Subject: Re: [CANSLIM] WEBX > > > > > > > > > > > > > What about using CANSLIM in reverse to find > > > > shorting candidates? > > > > > > > > > > I ran this scan on my filter and came up with > > > > some nice looking shorting > > > > > candidates: > > > > > > > > > > 1 year low > > > > > RS <30 > > > > > E.P.S. <30 > > > > > Price >$30 > > > > > Volume >250,000 > > > > > Cap. >2.0bn > > > > > > > > > > Looking for poor fundamental stocks that are > > > > falling in price. Reverese > > > > > CANSLIM if you like. Trade the breakouts. > > > > > > > > > > What do you say? > > > > > > > > > > Mark Crisp > > > > > http://www.stressfreetrading.com > > > > > > > > > > ----- Original Message ----- > > > > > From: "Jiehui" <ddloyilbshrb@iartdesign.com> > > > > > To: <canslim@lists.xmission.com> > > > > > Sent: Wednesday, August 06, 2003 5:42 AM > > > > > Subject: [CANSLIM] WEBX > > > > > > > > > > > > > > > > Hi all, > > > > > > > > > > > > I'm a beginner in this and is still a little > > > > unsure of how to read > > > > charts. > > > > > I hope some of the more experienced chart > > readers > > > > on this group can help > > > > me. > > > =3D=3D=3D message truncated =3D=3D=3D > > > __________________________________ > Do you Yahoo!? > Yahoo! SiteBuilder - Free, easy-to-use web site design software > http://sitebuilder.yahoo.com > > - > -To subscribe/unsubscribe, email "majordomo@xmission.com" > -In the email body, write "subscribe canslim" or > -"unsubscribe canslim". Do not use quotes in your email. > > > - > -To subscribe/unsubscribe, email "majordomo@xmission.com" > -In the email body, write "subscribe canslim" or > -"unsubscribe canslim". Do not use quotes in your email. - -To subscribe/unsubscribe, email "majordomo@xmission.com" -In the email body, write "subscribe canslim" or -"unsubscribe canslim". Do not use quotes in your email. - ------=_NextPart_000_05C9_01C35EAA.0ED7C9A0 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 6.00.2800.1106" name=3DGENERATOR> <STYLE></STYLE> </HEAD> <BODY bgColor=3D#ffffff> <DIV><FONT face=3D"Comic Sans MS">DMC, you're a breath of fresh = air!!! =20 </FONT></DIV> <DIV><FONT face=3D"Comic Sans MS"></FONT> </DIV> <DIV><FONT face=3D"Comic Sans MS">I certainly increased my chart reading = skills when I had to turn them 'upside down' in order to short a = stock.=20 Really drove home support-resistance. </FONT></DIV> <DIV><FONT face=3D"Comic Sans MS"></FONT> </DIV> <DIV><FONT face=3D"Comic Sans MS">I'll check out your sites on=20 Monday,</FONT></DIV> <DIV><FONT face=3D"Comic Sans MS">Gene</FONT></DIV> <BLOCKQUOTE=20 style=3D"PADDING-RIGHT: 0px; PADDING-LEFT: 5px; MARGIN-LEFT: 5px; = BORDER-LEFT: #000000 2px solid; MARGIN-RIGHT: 0px"> <DIV style=3D"FONT: 10pt arial">----- Original Message ----- </DIV> <DIV=20 style=3D"BACKGROUND: #e4e4e4; FONT: 10pt arial; font-color: = black"><B>From:</B>=20 <A title=3Ddmc197807@comcast.net=20 href=3D"mailto:dmc197807@comcast.net">DMC197807</A> </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> Saturday, August 09, 2003 = 6:41=20 PM</DIV> <DIV style=3D"FONT: 10pt arial"><B>Subject:</B> Re: [CANSLIM] for = Short=20 Selling</DIV> <DIV><BR></DIV>Rolf & Mark,<BR><BR>My vote (if I get a vote) is = why not=20 discuss how to use canslim ideas to<BR>generate potential = shorts? It's=20 not like this little epistolary group<BR>hasn't gone off the track = since I've=20 been here (about 10 trading days), and<BR>it's not like it takes a = lifetime to=20 figure out Canslim in any event. It's<BR>really rather simple, = and with=20 the help of computers it's almost too easy.<BR>The real difficulty = lies in=20 disciplining oneself to limit or get rid of<BR>longs in sideways and = topping=20 markets, and be willing to reenter when the<BR>market's correction has = ended=20 and stocks are ready to rise again. You can<BR>find the names of = candidates very easily for a little coin paid for a<BR>subscription to = IBD=20 and/or a subscription to canslim.net.<BR><BR>For short discussions, = let's just=20 use the above referenced subject line<BR>"Re: [CANSLIM] for Short=20 Selling"<BR><BR>and the purists like Fanus et al (so far it seems to = be all=20 Fanus) can<BR>either eyeball them and delete them, or even program = their=20 Outlook Express<BR>to pre-delete all messages on the peripheral=20 topic.<BR><BR>I think it would be helpful to understand what kind of = screen=20 would generate<BR>the opposite of good longs in a bad market, if only = for=20 academic,<BR>mind-sharpening purposes. After all, if in = traditional=20 canslim technique<BR>you are looking for 1 or 2 stocks to buy per week = in a=20 good (M!) market,<BR>then why not reverse the order in a bad (M!)=20 market.<BR><BR>With that in mind, I'd like to explore what kinds of = things=20 people think<BR>would indicate a dangerous market, knowing in advance = that=20 calling a top is<BR>one of the hardest things to do BUT that falls = tend to be=20 so much more<BR>precipitous than climbs that there's gold in those = hills if=20 you can time it<BR>right and buy a put to get into position.<BR><BR>In = any=20 event, VTO has provided a very handy site with lots of=20 sentiment<BR>indicators:<BR><BR><A=20 = href=3D"http://www.vtoreport.com/sentiment/cot.htm">http://www.vtoreport.= com/sentiment/cot.htm</A><BR><BR>If=20 you click on Sentiment and Bull/Bear you can see a very wide gap=20 between<BR>bullish and bearish advisors, the kind which indicates a = correction=20 is<BR>coming. I'd say anytime you see a gap of 25% or more (with = the=20 bulls on<BR>top) you are looking at a dangerous situation.<BR><BR>The = Put/Call=20 ratio has been very low and is now climbing. Again = danger.<BR><BR>The=20 VIX has been unnaturally low for a long time, another coiled=20 spring.<BR><BR>For COTS, I prefer to use the Quasimodos.com = site:<BR><BR><A=20 = href=3D"http://www.quasimodos.com/marketrider/technical.php">http://www.q= uasimodos.com/marketrider/technical.php</A><BR><BR>The=20 articles are interesting, and to get the reports and COTs page,=20 click<BR>here:<BR><BR><A=20 = href=3D"http://www.quasimodos.com/marketrider/charts.php">http://www.quas= imodos.com/marketrider/charts.php</A><BR><BR>You=20 can't paste the sites, but the first 3 on the right, for the Dow, = the<BR>Naz=20 and the SPX have a very interesting graphic display of the=20 traders'<BR>positions. I don't know exactly what the timing is = on these=20 but the smart<BR>money seems to be betting against this market = continuing,=20 while the small<BR>speculators keep piling on the positions. = Good bull=20 markets (like the one<BR>we had from March to June) often begin with = very=20 small = bars.<BR><BR>DMC<BR><BR><BR><BR><BR><BR><BR><BR><BR><BR><BR><BR>From:=20 "Mark Kerson" <<A=20 href=3D"mailto:mkerson@dplus.net">mkerson@dplus.net</A>><BR>To: = <<A=20 = href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>= ><BR>Sent:=20 Saturday, August 09, 2003 11:13 AM<BR>Subject: RE: [CANSLIM] short = selling=20 (WEBX)<BR><BR><BR>> I don't know.<BR>><BR>> It does not seem=20 inappropriate to discuss using CANSLIM to short on this<BR>>=20 site.<BR>><BR>><BR>> In IBD, Thursday, August 7, 2003, on the = front=20 page of B1, in Investor's<BR>> Corner, the last line of the box = under=20 "Advanced Study" says, "Learn to<BR>> sell shares short during a = market=20 decline (see Feb. 14 Corner)"<BR>><BR>> It seems possible (at = least=20 logical, I certainly can't claim that I have<BR>> done it or know = anyone=20 who has) to reverse the principles and choose<BR>> shorts. = Therefore if=20 someone is interested in exploring it, well, I<BR>> don't see why = we=20 can't.<BR>><BR>> At any rate I would like too follow such a=20 discussion.<BR>><BR>> Mark<BR>><BR>><BR>> -----Original = Message-----<BR>> From: <A=20 = href=3D"mailto:owner-canslim@lists.xmission.com">owner-canslim@lists.xmis= sion.com</A><BR>>=20 [mailto:owner-canslim@lists.xmission.com] On Behalf Of Fanus<BR>> = Sent:=20 Saturday, August 09, 2003 1:16 PM<BR>> To: <A=20 = href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>= <BR>>=20 Subject: Re: [CANSLIM] short selling (WEBX)<BR>><BR>>=20 Rolf<BR>><BR>> Yes, WON spent about 3 pages on short selling in=20 his<BR>> book of about 270 pages. And in these three pages = he<BR>>=20 showed two chart patterns and doesn't mention any of<BR>> the = CANSLIM=20 attributes, or reverse of them for<BR>> shorting. HTTMIS = mentioned=20 lots of other things also,<BR>> but this isn't a group to discuss = HTTMIS.=20 It is a<BR>> group to discuss CANSLIM.<BR>><BR>> Just because = he=20 mentioned short selling in the book,<BR>> doesn't make it CANSLIM. = He also=20 mentioned daytrading<BR>> and swingtrading in his book. Also not = CANSLIM.=20 If you<BR>> decide to use reverse CANSLIM criteria to pick = shorts<BR>>=20 then it is fine. But this doesn't make it CANSLIM and<BR>> is = not=20 mentioned by WON at all as shorting criteria.<BR>> Any rules you = use for=20 shorting is your rules and not<BR>> WON's rules for=20 CANSLIM.<BR>><BR>> To use the criteria below, where in CANSLIM, = or=20 HTTMIS<BR>> for that matter, is the "ANI" criteria mentioned = as<BR>>=20 valid shorting criteria?<BR>><BR>> If you want to learn more = about=20 selling short, why not<BR>> find a discussion group which main goal = is to=20 discuss<BR>> shorting methods and criteria? I sell short=20 stocks<BR>> too and I am not against shorting. I am just = against<BR>>=20 discussing it out of place.<BR>><BR>> Best Regards<BR>> -=20 Fanus<BR>><BR>> --- Rolf Hertenstein <<A=20 href=3D"mailto:rolfh@mindspring.com">rolfh@mindspring.com</A>> = wrote:<BR>>=20 > ----- Original Message -----<BR>> > From: "Fanus" <<A=20 href=3D"mailto:fanus13@yahoo.com">fanus13@yahoo.com</A>><BR>> = ><BR>>=20 > > CANLSIM is a long strategy and according to the<BR>> > = rules,<BR>> > > you get out if you are in a bear = market.<BR>> >=20 > I think this type of discussions are<BR>> > > better = suited for=20 a different discussion group.<BR>> ><BR>> > I = disagree. =20 Though WON spends almost all of his<BR>> > HTMMIS pages on = long<BR>>=20 > techniques, he does discuss short selling in<BR>> > = correcting or=20 beginning bear<BR>> > markets. He even gives a couple of = chart=20 pattern<BR>> > examples, like the Head<BR>> > and = Shoulders=20 Top. I would welcome any discussion<BR>> > here from the=20 more<BR>> > experienced members on their short techniques. = If<BR>> > we are (or even if we<BR>> > aren't) at the = beginning of=20 a multi-year, mostly<BR>> > sideways market, with<BR>> >=20 occassional bull runs, seems like effective shorting<BR>> > = could really=20 help<BR>> > overall returns.<BR>> ><BR>> > Some = specific=20 thoughts on DMC's post (see below):<BR>> > A (annual earnings): = Seems=20 like a change in earnings<BR>> > (for the worse) would<BR>> = > be=20 more important a specific number like 15%.<BR>> > N (new = something): My=20 two thoughts are 1. a new<BR>> > product that *doesn't* = live<BR>>=20 > up to expectations, or 2. new 52-week low.<BR>> > I=20 (institutional): If there are large institutional<BR>> > = positions, and=20 they<BR>> > begin to dumpp the stock, might this not drive = the<BR>>=20 > price more aggressively<BR>> > downward?<BR>> = ><BR>>=20 > Rolf<BR>> ><BR>> > ><BR>> > > --- = DMC197807=20 <<A = href=3D"mailto:dmc197807@comcast.net">dmc197807@comcast.net</A>>=20 wrote:<BR>> > > > P.S. [prescript]: I can't see any = reason=20 to<BR>> > > > establish (or keep) a long<BR>> > > = >=20 position on WEBX here. Too much risk for me.<BR>> > >=20 ><BR>> > > > Mark,<BR>> > > ><BR>> > = >=20 > Welcome to the thread. I don't have any problem<BR>> = > >=20 > with you posting your<BR>> > > > website location = here; it=20 looked pretty good to<BR>> > me.<BR>> > > ><BR>> = >=20 > > On the subject of using canslim to find<BR>> >=20 breakdown<BR>> > > > rather than breakout<BR>> > = > >=20 candidates, I think that's a good idea. I'm not<BR>> > = > >=20 sure how we properly tweak<BR>> > > > the criteria, but I = think=20 it's an excellent<BR>> > topic<BR>> > > > for = education=20 here. Why?<BR>> > > > Because the M in Milscan is = very,=20 very<BR>> > precarious<BR>> > > > here and I think=20 shorts<BR>> > > > and puts are going to smash longs and = calls=20 over<BR>> > the<BR>> > > > next several weeks. = I<BR>> > > > don't see a lot more upside to the market = at<BR>>=20 > this<BR>> > > > point. Just pulling up = an<BR>> >=20 > > SPX chart shows a very very tired market, and<BR>> >=20 the<BR>> > > > path of least resistance<BR>> > > = >=20 looks to be southeast-, and not northeastward<BR>> > = bound.<BR>> >=20 > ><BR>> > > > With that in mind, how would be alter = CANSLIM=20 to<BR>> > > > look for breakdowns? [I'll<BR>> = > >=20 > put commentary in brackets for breakdown]<BR>> > > = ><BR>>=20 > > > C =3D Current quarterly earnings per share = (should<BR>> >=20 > > show a major percentage<BR>> > > > increase = compared to=20 the prior year's same<BR>> > quarter)<BR>> > > > = [Here I=20 think you take<BR>> > > > all earnings up to, say 10%=20 positive. Why?<BR>> > What we<BR>> > > > are = looking=20 for are<BR>> > > > stocks which have risen with the tide = in=20 spite<BR>> > of<BR>> > > > lukewarm or poor=20 earnings,<BR>> > > > but earnings up to 30% seem too = robust=20 to<BR>> > produce a<BR>> > > > good short.]<BR>> = >=20 > ><BR>> > > > A =3D Annual earnings (the company = should=20 be<BR>> > > > experiencing meaningful growth<BR>> > = >=20 > over the past five years) [Perhaps the cap on<BR>> > = annual<BR>>=20 > > > earnings growth should<BR>> > > > be = 15%??]<BR>>=20 > > ><BR>> > > > N =3D New products, new = management, new=20 high<BR>> > prices [I<BR>> > > > don't see how to=20 apply<BR>> > > > this one; I don't want to exclude new=20 high<BR>> > prices,<BR>> > > > because we're looking = for<BR>> > > > overvalued stocks. Other = ideas?]<BR>> >=20 > ><BR>> > > > S =3D Supply and demand (small=20 capitalization<BR>> > stocks<BR>> > > > with high = trading=20 volume)<BR>> > > > [Here, having large cap elephants could = be=20 a<BR>> > great<BR>> > > > idea<BR>> > >=20 ><BR>> > > > L =3D Leader in the industry, not a = laggard=20 [here,<BR>> > use<BR>> > > > a relative = strength<BR>>=20 > > > rating of 60 or below?]<BR>> > > ><BR>> = >=20 > > I =3D Institutional sponsorship (a little goes a<BR>> = >=20 long<BR>> > > > way) [Hmmmm. Do we want<BR>> > = >=20 > high institutional ownership, or is this factor<BR>> > = one<BR>>=20 > > > to be left out<BR>> > > ><BR>> > > = > M=20 =3D Market direction (should be headed up).<BR>> > [This<BR>> = > >=20 > one goes first. For me,<BR>> > > > the market = is facing=20 a lot more easy downside<BR>> > right<BR>> > > > = here than=20 upside.<BR>> > > > Chances of a SPX in the 600, 700, 800 = range=20 in<BR>> > the<BR>> > > > next 3-4 months is = much<BR>>=20 > > > greater, to me, than a SPX move to 1100, 1200,<BR>> = >=20 > > 1300.]<BR>> > > ><BR>> > > > Now = comes the=20 difficulty of establishing a<BR>> > pivot,<BR>> > > = > and=20 selling at the<BR>> > > > breakdown of that point.<BR>> = >=20 > ><BR>> > > ><BR>> > > ><BR>> > = > >=20 DMC<BR>> > > ><BR>> > > ><BR>> > >=20 ><BR>> > > ><BR>> > > ><BR>> > > = >=20 ----- Original Message -----<BR>> > > > From: "Mark = Crisp"<BR>>=20 > > > <<A=20 = href=3D"mailto:stressfreetrader@btopenworld.com">stressfreetrader@btopenw= orld.com</A>><BR>>=20 > > > To: <<A=20 = href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>= ><BR>>=20 > > > Sent: Wednesday, August 06, 2003 8:17 AM<BR>> > = > >=20 Subject: Re: [CANSLIM] WEBX<BR>> > > ><BR>> > >=20 ><BR>> > > > > What about using CANSLIM in reverse = to=20 find<BR>> > > > shorting candidates?<BR>> > > = >=20 ><BR>> > > > > I ran this scan on my filter = and came=20 up with<BR>> > > > some nice looking shorting<BR>> > = >=20 > > candidates:<BR>> > > > ><BR>> > > = > >=20 1 year low<BR>> > > > > RS <30<BR>> > > = > >=20 E.P.S. <30<BR>> > > > > Price >$30<BR>> > = > >=20 > Volume >250,000<BR>> > > > > Cap. = >2.0bn<BR>>=20 > > > ><BR>> > > > > Looking = for poor=20 fundamental stocks that are<BR>> > > > falling in price.=20 Reverese<BR>> > > > > CANSLIM if you like. Trade the=20 breakouts.<BR>> > > > ><BR>> > > > = > =20 What do you say?<BR>> > > > ><BR>> > > >=20 > Mark Crisp<BR>> > > > > <A=20 = href=3D"http://www.stressfreetrading.com">http://www.stressfreetrading.co= m</A><BR>>=20 > > > ><BR>> > > > > ----- Original Message = -----<BR>> > > > > From: "Jiehui" <<A=20 = href=3D"mailto:ddloyilbshrb@iartdesign.com">ddloyilbshrb@iartdesign.com</= A>><BR>>=20 > > > > To: <<A=20 = href=3D"mailto:canslim@lists.xmission.com">canslim@lists.xmission.com</A>= ><BR>>=20 > > > > Sent: Wednesday, August 06, 2003 5:42 AM<BR>> = > >=20 > > Subject: [CANSLIM] WEBX<BR>> > > > ><BR>> = >=20 > > ><BR>> > > > > > Hi all,<BR>> > = > >=20 > ><BR>> > > > > > I'm a beginner in this and = is still=20 a little<BR>> > > > unsure of how to read<BR>> > = > >=20 charts.<BR>> > > > > I hope some of the more = experienced=20 chart<BR>> > readers<BR>> > > > on this group can=20 help<BR>> > > > me.<BR>> ><BR>> =3D=3D=3D message = truncated=20 =3D=3D=3D<BR>><BR>><BR>> = __________________________________<BR>> Do you=20 Yahoo!?<BR>> Yahoo! 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