|Brainy's Share Market Toolbox|
An arsenal of weapons to help you tackle the share market.
|Monthly Share Market eNews email update|
Tools to rank stocks
|eNews + eBook Articles Update ||#62 - May-June 2014|
This month's Share Market eNews email
is going to all of our subscribing Share Market Toolbox
Members as normal, and to the non-Members who have expressed an
interest in receiving it. And it is going to BullCharts users because of
the relevant content on scans, and using BullScript in the scans. (Any
non-members who want to access the detail in the Members Area can easily
join as a Toolbox Member
- it's not expensive.)
The best performing stocks?
How to rank stocks by performance.
A keen topic of
conversation in the BullCharts User Group sessions in recent months has
related to our hypothetical $100,000 portfolio. We ran a scan to select
some stocks meeting our key selection criteria, and lo and behold we
ended up with too many to buy all at once. So, how can we rank this list
of stocks to identify those that are "performing" better than the rest?
The price chart of just one sample "performer" is shown below, and
featured in the eBook Articles listed below (click on this chart image
for a larger one).
|A sample performer|
to identify the performers? That is the question that we answer in this
month's materials below, with three new eBook Articles, and the slides
from the public presentation.
taking two weeks off in May for an overseas holiday, I had to hold over
the May edition of this update, and do this combined bumper edition for
Any non-member who no
longer wants to receive this material on a monthly basis can simply
unsubscribe from ALL topics using the SafeUnsubscribe link at the bottom
- or just Update Your Profile
to change your interests
. (BUT NOTE
: Toolbox Members and BullCharts mailing list members should not unsubscribe, as it will remove you from all my mail lists.) Please
remember, anything mentioned here, and in the referred eBook Articles,
is for general education only, and is not advice of any sort.
Please read on....
About the eNews emails...
Just a short note to the recently new Toolbox Members:- These share market eNews emails
always go to Toolbox Members (a part of the Toolbox service), and to
the people who have registered to receive occasional information about
the Share Market. This is a monthly email with some pointers and tips
on focused topics - see a quick intro to the eNews emails
. 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 the eBook Articles since October 2008 - that's
more than five years, and these eNews emails help you to navigate to
related and useful information each month.
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.
Price charts summarise the underlying opinions
and emotions of the market participants.
Every chart tells a story.
It's very helpful to
the stories in the price charts.
This month's focus:
Ranking stocks by performance
say that we invest (or trade) in shares, and that we have a reasonable
stock selection strategy that tends to identify good shares that are
worth investing in. However, we currently have too many stocks on our
buy list. (There are a couple of reasons why we shouldn't buy several
stocks all at once - explained in the eBook Article). So,
given that we have this problem of too many candidate stocks for
purchase, how do we decide which ones to invest in today, and which ones
to leave for a few days?
one of our key investment criteria is to make good capital gains, then
it makes sense to focus on the stocks that have a strongly performing
share price. So we need to look at our list of candidate stocks, and
rank them in order of share price performance. This means finding a way
to quantify the price performance, and then rank them to compare one to
another. But how can we do that quickly and easily? See all the details in the new eBook Articles and the slide presentation below.
Here are the links to this month's information:-
- "Ranking stocks by performance" presentation - The slides from a public presentation, already delivered to the Manningham U3A Stockmarket Group, and the BullCharts User Group
(both in Melbourne and via webinar). This presentation will be updated
to include a demonstration of ranking the market sectors to identify the
strongest sector - for presentation at the Melbourne ATAA meeting on Thursday 10 July.
- Article ST-6070, "Ranking stocks by performance" -
This new (and free for everyone) five page eBook Article walks through a
discussion of whether we should use fundamental analysis criteria to
select our stocks, or a combination of approaches, and it discusses one
very useful approach which is expanded in the Technical Analysis Article
- Article TA-6510, "Tools for ranking stocks" -
This new 4-page eBook Article discusses two of the tools that are
readily available to help achieve our objective of ranking stocks by
performance. The discussion continues with further explanation in the
BullCharts eBook Article BC-10-410, including details of the special
formula and how to implement the ranking method to produce a sorted list
of stocks. Toolbox non-members can see the free page 1.
- Article BC-10-410, "BullScan to rank stocks by performance" - This brand new 7-page eBook Article walks through the process of setting up a scan (in BullCharts using BullScript
code) to scan your own list of stocks and produce a list sorted by
performance. What criteria or formulae do we use for this? All I can say
here is that we focus on the Moving Average of share price. You will
need to read the eBook Article for the formula and all of the detail.
The detailed BullScript code is included in the article, along
with a detailed explanation of how to create the scan (and Toolbox
Members are welcome to request assistance with creating the scan if
needed). Toolbox non-members can see the free page 1.
growing collection of eBook (PDF) Articles, don't forget to see the
latest Table of Contents pages for all articles (see links in the
side-bar above right). There are now a total of 144 Articles in this collection - a huge total of 663 pages of information! You can see the Table of Contents for all eBook Articles here (recently new or updated ones are highlighted), and the Master Toolbox Index which includes the eBook Articles, plus web page references, and helpful videos.
eBook (PDF) Articles - Summary
Since October 2008 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 630 pages of material
in more than 138 articles). These Articles are invaluable for both new
and experienced investors and traders. I write brief monthly notes in
this eNews email to highlight specific Articles on targeted topics, and
sometimes referring to new or updated web pages in the Toolbox (also see
a history of Toolbox updates). I am also writing new Articles and updating existing ones as required. For more information please 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:
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: firstname.lastname@example.org
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
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.
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.
Always 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!