Originally Posted by
RalphR
Hi Mike,
My name is Ralph and I just joined your group - thank you. As I understand your method, you look for positive volume greater than any negative volume over the last 10 days, a stock that has come back to it's 50 day, or close, or is breaking above it's 10 ma from a universe of stocks you have selected.
How do you pick your universe of stocks, and is there a list available of your universe?
Thanks in advance, look forward to your posts.
Regards,
Ralph
Ralph, Welcome to the group.
I don't have a static universe of stocks. Every weekend I run some fundamental screens and select the universe for the week and those are the stocks that you see in the Volume Trigger Alert table. Basically I am looking for stocks with great earnings growth, good sales growth, high ROE, trade more than $20M per day on average. They also need to be trading above the 200-day moving average. Because of the selection criteria about 90% of the IBD 50 and IBD Big Cap 20 end up in my universe plus others that I like.
My regular watch list is a down select from this same universe but they must also be at a recognizable classic base buy point (such as the pivot point in a cup with handle or double bottom base).
Mike Scott
Cloverdale, CA