How To Be A Winner

Everyone who invests in the stock market wants to be a winner. Each person's definition of a winner will be somewhat different, but there is hardly one who isn't looking for that stock that will double in price within one year.

Can it be done? Yes, but when you look at the odds you may want to find a better or maybe slower and safer way. The chance of finding that mother load is 1 in 200, about ? percent. Of the 11,000 listed securities you have a choice of 55. Even the pros don't like those odds. What makes you think you are better?

We have been in a great bull market from 1982 to 2000. Then the bubble burst. Yet the investing public continues to believe that we are going to see double digit returns every year. According to the Financial Research Corporation's study the mutual fund pros return was only 10.92% and the average investor had gains of about 8.7%. The great Warren Buffett says the bull is over and that we will be looking at a 5% return not the 12% to 15% that has occurred in the recent past.

As I mentioned in my recent column the returns for the past 126 years has only averaged 7% with 2/3 of the return coming from dividends which are about nonexistent today. Instead of looking for the rainbow with the pot of gold at the end my suggestion is to limit your losses and let your winners run. You have heard that clich? before, but have you every understood what it means in the stock market? The floor traders and hedge fund managers do not look for home runs. They look for slow and steady and never allow any major losses. The key to long term investment success is to limit your losing positions and never give back profits you have earned.

If tech investors in 1999 had followed this principle they would have kept about 80% of their profits. Wall Street says you should Buy and Hold and they have told this lie so often that it has become conventional wisdom. It is absolute stupidity. A simple trailing stop-loss order would have protected the investor's capital. Almost no broker and certainly no brokerage house recommends loss limit orders. No one is taught the basic winning concept of the market ? an exit strategy. Until that is learned you are doomed to give back your winnings and take losses when a stock doesn't go up and heads down.

Most investors have no plan as to how much money they would like to accumulate nor how to intelligently go about it. They don't know where they are going and they don't want o be late.

When you have decided how much you need to save the next important step is not what to buy, but how to exit in the event what you do buy happens to go down instead of up.

Al Thomas' book, "If It Doesn't Go Up, Don't Buy It!" has helped thousands of people make money and keep their profits with his simple 2-step method. Read the first chapter at http://www.mutualfundmagic.com and discover why he's the man that Wall Street does not want you to know.

Copyright 2005

no-contract cleaning service Des Plaines ..
In The News:

A 2025 data breach at fintech company 700Credit exposes personal information of more than 5.8 million people through compromised third-party integration partner.
Retailers lose $76.5 billion annually to return fraud as nearly 10% of U.S. retail returns involve fraudulent activity, with $850 billion in returns expected in 2025.
ShinyHunters claims responsibility for stealing 94GB of Pornhub user data affecting over 200 million records and demands Bitcoin ransom.
ChatGPT 2025 now connects to Apple Music, Canva, Expedia, TripAdvisor and OpenTable through built-in apps that help users create playlists, design graphics and more.
Apple releases emergency patches for two zero-day vulnerabilities actively exploited in attacks. iPhone and iPad users urged to update immediately.
DoorDash launches Zesty, an AI-powered social app that recommends restaurants through conversational search, now testing in San Francisco and New York.
Cybersecurity firm Infoblox reveals that over 90 percent of parked domains now redirect visitors to scams and malware, making simple typos extremely dangerous.
The Fox News AI Newsletter covers the latest artificial intelligence technology advancements, including the challenges and opportunities AI presents now and for the future.
GPT-5.2 is now live for all ChatGPT users with improved coding, writing and image interpretation, with Kurt Knutsson offering his review.
New iPhone replacement scam uses pressure tactics and fake carrier calls to steal devices from buyers. Criminals claim shipping errors and demand urgent returns.
Amazon Ring's new facial recognition feature sparks privacy controversy as Electronic Frontier Foundation critics argue the AI upgrade expands surveillance risks.
New Android banking trojan Sturnus steals credentials, reads encrypted messages and controls devices.
Denmark's 3D-printed student village proves automation builds 36 apartments faster than traditional methods. Skovsporet project shows housing future.
Discover Android's new Sound Notifications feature that alerts you to smoke alarms, doorbells, and baby cries even when wearing headphones.
New SantaStealer malware reportedly threatens holiday shoppers with password theft. This Christmas-themed info-stealer targets browsers and crypto wallets.
The Christmas season brings a surge in Netflix phishing scams targeting shoppers with fake emails. Stacey P received convincing scam but verified account first.
San Francisco Giants invite Jamie Grohsong to throw ceremonial first pitch at Oracle Park after he learned to play baseball with a bionic hand following an injury.
FBI warns cybercriminals are stealing family photos from social media to create fake proof of life images in virtual kidnapping scams targeting victims.
Instagram's new 'Your Algorithm' tool lets you control your Reels feed in real time. The app now gives you power to customize what videos you see.
Major Marquis fintech breach exposes 400,000-plus Americans' data through unpatched SonicWall vulnerability, with Texas hardest hit at 354,000 affected.
Free up iPhone storage fast by clearing large photos and videos from Messages app. Simple steps for iOS users to delete attachments without losing chats.
Scammers are flooding inboxes with fake tracking alerts that mimic real carriers, exploiting the holiday rush to steal logins and personal data.
The Fox News AI Newsletter brings you the latest news on AI technology advancements and the challenges and opportunities AI presents now and for the future.
Texas family reunites with missing 11-year-old cat Grayson after 103 days using Petco Love Lost's AI photo matching technology and community help.
Tired of AI customer service loops? These insider tricks help you escape "frustration AI" and get real human help when you need it most for urgent issues.

Lights of the Stock Market

There are red lights, green lights, blue lights and spot... Read More

Stock Market Course .... Day Trader Online Seminar ... Can You Generate Profits Trading from Home?

When it comes to stock market trading it PAYS to... Read More

Play another Day

Money management starts with protecting your capital, realizing profits and... Read More

The Secret Method to Selecting a Winning Trading System

Every successful trader has a winning system. There are of... Read More

Living Trust Investing: Income Considerations when the Grantor Dies

A common problem I often see when working with living... Read More

Different Types of Mutual Funds

This is a guide to the different types of mutual... Read More

Option Trading Basics

Options trading can increase the profits you make when trading... Read More

Hedge Fund Advertising

Have you seen all those big full page ads for... Read More

Attitude Is [Almost] Everything

I often play a little game with myself when I... Read More

Inertia Syndrome

When it comes to buying a stock or mutual fund... Read More

8 Penny Stocks to Avoid

There are many good penny stock investments available, which could... Read More

Investing in the Stock Market - When To!

Is really not as important as to how you invest... Read More

Defining a Long-Term Investment in the Stock Market

For some "long term" would mean holding a stock position... Read More

Stock Loans

Hedge current portfolio positions and gain access to capital resources... Read More

Seecrets on Investment: Tired of Making Huge Losses in the Stock Market ? Part 2

Fundamental analysis.Fundamentals analysis says the best way to predict the... Read More

Moving Averages

Every day on CNBC-TV they show a 200-day moving average... Read More

Look Out The Window

Quick, look out the window. It's raining. No, the sun's... Read More

Oil Stocks CHK WLL - What Is Their Worth?

(1) CHK stock price $16.74, NAV $32.5CHK is my favorite... Read More

Stock Valuation using the SMP Model

Disclaimer: Please note that I do not necessarily purchase, own,... Read More

How Much Information Do You Need?

You have decided to buy some stock or mutual funds,... Read More

Investing in Stocks and The Game of Monopoly

To begin, you might look at playing the stock market... Read More

Analyzing Growth Stocks: An Important Focus For Any Investor

Analyzing growth stocks is an important focus for any investor.... Read More

Stock Trading Secrets?

How often have you come across an advertisement or e-mail... Read More

How To Pick A Mutual Fund

Mutual funds by definition are a mixed bag of stocks,... Read More

What is Involved in Peak Performance Trading?

There is so much involved in developing peak performance, that... Read More

bathroom cleaning service Lake Forest ..