a short note to the recently new Toolbox Members:- This is a
monthly email with some pointers and tips on focused topics. They often
include references to specific eBook Articles
in my Share Market Toolbox
, as well as key web pages in the free area of the Toolbox (eg. on the extensive Share Market web page
I have been writing these eBook Articles since October 2008 - that's
now more than 3 whole years! You can see a quick introduction to the eBook Articles here
remember, anything mentioned here, and in the referred eBook Articles,
is for general education only, and is not advice of any sort.
month's eNews email is going to all Toolbox Members as normal (a part
of the Toolbox service), and to the people who have registered to
receive occasional information about the Share Market. Any
non-member who no longer wants to receive this material can simply
unsubscribe from all topics using the SafeUnsubscribe link at the bottom
- or just Update Your Profile
to change the interests
Please read on....
This month's focus:
Looking for strong stocks or sectors
by understanding GICS codes
and basic Dow Theory
This month's eNews
focus is all about using an investing strategy based on finding strong
sectors in the market, or perhaps strong stocks in strong sectors.
The key points are expanded in the Articles and web pages listed below; but they include the following:
There are several different types of market index. It is useful to be aware of at least two of these: capitalisation indexes and sector indexes.
There are 10 sector indexes in the share market, based on the GICS standard coding system which is implemented in numerous markets around the world.
codes are a hierarchy of classifications to group together similar
companies. The full GICS code comprises eight digits. A company's sector classification is indicated by the first two digits of it's 8-digit GICS code (explained in the eBook Article listed below).
Dow Theory includes reference to the market averages, suggesting that there can be benefits in comparing the performance of sector indexes (remember there are ten of these).
- It can be useful to compare the performance of a stock to it's
sector - eg. QBE Insurance and the XFJ sector (see page 4 of the eBook
- It can be useful to compare the performance of
two similar stocks, looking for divergence - eg. BHP and RIO (see page 5
of the eBook Article below).
- How to find which stock is in which sector, and how to find the strong sectors? See the eBook Article below.
More details on all of these topics are below, so please read on...
GICS codes and basic Dow Theory
Links to the relevant materials this month include the following (and any Articles are also available from this public page
in the Toolbox):
There are now a total of
118 Articles in this collection of eBook Articles - a total of 508
pages of information! You can see the Master List of all Articles here (recently new or updated ones are highlighted), and the Detailed Topic Index here.
Don't forget to see the updated Table of Contents pages for all articles (see links in the side-bar at right).
Recent monthly focus topics
The monthly focus in the last few months has been: For the benefit of all the new readers this month,
useful information in the last few month's emails is
available in the email archive (no password needed).
eBook (PDF) Articles - Summary
Over the last three years I have accumulated quite a collection of eBook (PDF) Articles
on three subject areas - Share Trading/Investing, Technical Analysis
and BullCharts software (actually more than 500 pages of material
in more than 115 articles). These Articles are invaluable for both new
and experienced investors and traders. I am now writing brief monthly
notes in this eNews email to highlight specific Articles on targeted
topics. I am also writing new Articles and updating existing ones as
For more information see:
Article front pages
For any new readers of my Toolbox eBook Articles, there are some useful introductory Articles including an Introduction and an Overview Article for each of the three subject areas. You can see them here:
- Share Trading / Investing:
What if you have some sort of problem with accessing the
Toolbox and any of these Articles? Or maybe the Username and Password
doesn't work. If there is any problem at all, simply contact me by email
or phone. The best email address for this is: email@example.com
Occasionally emails disappear - the system thinks they are spam, or the
ISP might think they are spam. If I don't reply within a day or so,
please contact me by either email address or phone
There is nothing secret in this
email, so feel free to forward it to someone if you think they might
benefit from the information, or from being a Toolbox Member. The
easiest way to do this is to use the "Forward Email" link at the bottom.
am also confident that my Toolbox Members won't be sharing their
username and password with non-members. It is not fair that I spend all
this time preparing the materials, and then my Toolbox Members pay money
to have legitimate access, only to let some people pay nothing to read
and view the details.
Please feel free to email
an individual Article to others as a sample; but if they want online
access to all the materials, it is pretty cheap, so they should
subscribe as a Toolbox Member. There is information about Toolbox Membership in the Quick Links section at right.
Happy to receive feedback, or suggestions for new content or improvements.
Until next month,
happy investing or trading,
Robert B. Brain
(mobile: 0438 355 910)
ps: watch out for the sharks in the ocean!
Robert is always very happy to receive feedback about the Toolbox, and the articles and weapons therein.
Please feel free to contact Robert by email or phone.
How to contact - click here.