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    of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that t

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    I bet you are wondering what criteria I use to pick my potential money making shares? Ok I will list them for you very briefly.

    1. Adhere to your written down plan for buying and selling shares. I.e. The amount you are going to spend.

    Have a stop loss in place (This is the amount you can afford to lose if things go the wrong way. 2% of the total value of your portfolio is a good guideline)

    The % profit you want to make after allowing for brokerage etc.

    The time frame you would like. (Not always possible) for the total transaction. Is it short, medium or long term?

    The number of shares you want. (This depends also on your capital constraints)

    Diversify don’t invest just in one area. Spread your risk over different types of companies. So if resources go downwards and you have Banks and Retail in your portfolio the chances of all thee going downwards are very slim.

    Unless of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that th

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    Have a stop loss in place (This is the amount you can afford to lose if things go the wrong way. 2% of the total value of your portfolio is a good guideline)

    The % profit you want to make after allowing for brokerage etc.

    The time frame you would like. (Not always possible) for the total transaction. Is it short, medium or long term?

    The number of shares you want. (This depends also on your capital constraints)

    Diversify don’t invest just in one area. Spread your risk over different types of companies. So if resources go downwards and you have Banks and Retail in your portfolio the chances of all thee going downwards are very slim.

    Unless of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that t

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    rokerage etc.

    The time frame you would like. (Not always possible) for the total transaction. Is it short, medium or long term?

    The number of shares you want. (This depends also on your capital constraints)

    Diversify don’t invest just in one area. Spread your risk over different types of companies. So if resources go downwards and you have Banks and Retail in your portfolio the chances of all thee going downwards are very slim.

    Unless of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that t

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    ify don’t invest just in one area. Spread your risk over different types of companies. So if resources go downwards and you have Banks and Retail in your portfolio the chances of all thee going downwards are very slim.

    Unless of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that t

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    of course there is a general market crash then every thing goes down. Thank God they are not too common.

    2 When I pick a stock one criteria I like is the stock to have the last high in the share price has been higher that the one the day before. I do this for a minimum of three days to five days consecutively.

    3 Plenty of liquidity meaning a good volume of shares has exchanged hands recently.

    4 Buyers outnumber sellers. If the other way round, the share price will drop downwards for sure.

    4 Recent news or rumours of news .i.e. Takeovers, profits etc. Only good news of course.

    5 Directors buying shares {not selling} in the last 2 to 3 weeks.

    6 The “Trend Lines” show a definite trend upwards. If in doubt don’t trade.

    7 A visual look {the old “eye ball test”} at the most recent chart, preferably over the last month’s performance.

    Again if in any doubt drop the share till next time; just add it to watch list.

    I have around 30 to 40 companies currently on my watch list. I whittle them down to around 3 -4 using those basic criteria above.

    It is not a hard a fast criteria, make up so

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