Investors Business Daily necessary?

M

marko1045

Hi all,

I recently subscribed to IBD and was wondering if it really is necessary. The only thing I find useful about them is their stock rating system. It rates stocks from 1-100 in the following categories: EPS growth, relative strength, industry relative strength, SMR(basically revenue growth), and insider accumulation.

I know and support the rest of the CANSLIM system, its just that I do not feel the need to drop $30 a month when there may be a less costly(or free) alternative that I do not know about. It would be nice if there is a website that supports momentum style investing that offers a similar rating system.
 
marko1045 said:
Hi all,

I recently subscribed to IBD and was wondering if it really is necessary. The only thing I find useful about them is their stock rating system. It rates stocks from 1-100 in the following categories: EPS growth, relative strength, industry relative strength, SMR(basically revenue growth), and insider accumulation.

I know and support the rest of the CANSLIM system, its just that I do not feel the need to drop $30 a month when there may be a less costly(or free) alternative that I do not know about. It would be nice if there is a website that supports momentum style investing that offers a similar rating system.
More...

Pay attention to the stocks that figure on the front page of IBD, they usually are good candidate for momentum day-trade plays (long or short), if you get the paper very early in the morning and act fast... :cool:
 
marko1045 said:
Thanks, is this supposed to be advice? This sounds very basic and not what the report was intended for.
More...

The idea is very simple : if IBD talks about a particular stock on the front page, you will notice that this stock will usually move very quickly after the open, up or down it does not matter, by the mere fact that thousands of IBD readers (traders) are reacting to the front page story, good or bad.
 
Possibly one newspaper per week is enough Does Monday edition come out Saturday?
They have some hooks, features , to make you want each daily edition.
I would think that a rare, good, trader cound buy the Monday , Jan. 1 edition , make a list of stocks and have a solid year.
 
@xelite777 Thanks but I invest not daytrade. I also work full time unfortunately so I do not have time to watch each tick.

Ok let me further explain. I do not use the IBD paper nor do I care for it. I like to use the CANSLIM approach and find my own opportunities and hold onto them for about a year. When I screen for stocks I find the ratings criteria that IBD provides to be a useful initial measure before I begin to research the company in more detail. I find that the rating system to be overly simplistic and feel it could be easily replicated(maybe I am wrong). Which is what I really am after. A website that offers a rating system such as the investors.com, but without the pricetag. Hope this clarifies my OP.
 
marko1045 said:
@xelite777 Thanks but I invest not daytrade. I also work full time unfortunately so I do not have time to watch each tick.

Ok let me further explain. I do not use the IBD paper nor do I care for it. I like to use the CANSLIM approach and find my own opportunities and hold onto them for about a year. When I screen for stocks I find the ratings criteria that IBD provides to be a useful initial measure before I begin to research the company in more detail. I find that the rating system to be overly simplistic and feel it could be easily replicated(maybe I am wrong). Which is what I really am after. A website that offers a rating system such as the investors.com, but without the pricetag. Hope this clarifies my OP.
More...

I used to be big on CS but switched to futures. If you've followed it for a while, you know that just buying whatever is highly-ranked is not a winning strategy unless one also considers timing, which is an important part of the book.

Therefore, I suggest you look for a free trial and make whatever selections you like from their ranked stocks, then make this your universe for the coming year, monitoring them as you usually do in order to find the most attractive buying opportunities.
 
marko1045 said:
@xelite777 Thanks but I invest not daytrade. I also work full time unfortunately so I do not have time to watch each tick.
More...

Ok, but I thought you said you were looking for a "website that supports momentum style investing". Momentum trading has nothing to do with investing, it is very short term oriented.

marko1045 said:
Ok let me further explain. I do not use the IBD paper nor do I care for it. I like to use the CANSLIM approach and find my own opportunities and hold onto them for about a year. When I screen for stocks I find the ratings criteria that IBD provides to be a useful initial measure before I begin to research the company in more detail. I find that the rating system to be overly simplistic and feel it could be easily replicated(maybe I am wrong). Which is what I really am after. A website that offers a rating system such as the investors.com, but without the pricetag. Hope this clarifies my OP.
More...

I doubt you will ever find such a website. If a stock ranking/rating system delivers superior results year after year, expect to pay a substantial weekly or monthly fee for the privilege of receiving such a list.

Also note that the CANSLIM approach, while sound, can and will experience long periods of drawdowns. Ranking/rating stocks according to specific criteria is the easiest part, but timing your entry/exit is quite another story.
 
marko1045 said:
Hi all,

I recently subscribed to IBD and was wondering if it really is necessary. The only thing I find useful about them is their stock rating system. It rates stocks from 1-100 in the following categories: EPS growth, relative strength, industry relative strength, SMR(basically revenue growth), and insider accumulation.

I know and support the rest of the CANSLIM system, its just that I do not feel the need to drop $30 a month when there may be a less costly(or free) alternative that I do not know about. It would be nice if there is a website that supports momentum style investing that offers a similar rating system.
More...

Is $30 a month really expensive? Do you have any idea how long it takes to compile and organize data? Surely even if you only value your time value at minimum wage then the value of IBD far exceeds $30. The value of IBD is they are going out into the data market and putting in front of you volatility. Each item of volatility has a subscript (vol1, vol2, vol3, etc). You can then take that information and categorize it, rank it, model it, etc. IBD is by far the most efficient investment in terms of acquiring valuable data. If you trade equities I have no idea why you would not see the value in that.
 
You must log in or register to reply here.
Back
Top