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How To Make Money In Stocks: A Winning System in Good Times or Bad, 3rd Edition

How To Make Money In Stocks: A Winning System in Good Times or Bad, 3rd Edition

List Price: $12.95
Your Price: $9.71
Product Info Reviews

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Rating: 3 stars
Summary: Fundamentally NUTRICIOUS.
Review: He is certainly right to incorporate charts and fundamentals together (how anyone can sensibly ignore either factor is beyond me,but many do ! )

I personally found a few things on which i agree with the broad essence of Bills views,eg. Diversification,Stops,Funds,and Charting....and yet not with his particular method of application.

As to his thoughts on classic investor mistakes,sectors,and company specific fundamentals,i found the book to be an abundance of information.

From my own perspective,what the book did for me above all,is finally rid me of an automatic dismissal of High-PE stocks,thanks to his lookback research on the best growth companys of past decades,as a result i now feel better equipped (emotionally and knowledge-wise)to participate in the growth stocks of the future.

Rating: 3 stars
Summary: Interesting book
Review: This book seems to be based on research, not on luck. I have not invested according to their method, but I plan to. This book has caught my attention more than others. I give it three stars; and if it makes me some money I will give it five.

Rating: 5 stars
Summary: I hate spam
Review: This book has great advice for anyone who is looking to invest in the market. The CANSLIM methodology has been proven to work for many great investers. It really works. In the markets today you have to cut your losses fast, and this book helps you to do that. Anyone looking to start investing should deffently look at this book, it'll be a great help. It was cool

Big Truck

Rating: 5 stars
Summary: The Best Single Book on Investing
Review: I have read many books on investing, and this one is, all things considered, the best. It has it's weaknesses--the section on technical analysis is inadequate, and the numerous signs by which one can supposedly tell when a stock is topping out are simply too vague to be be followed. Nevertheless, the system does work. Though retrospective (and therefore subject to the charge of data mining), O'Neil's 40 year database has identified numerous factors associated with stocks that are likely to go up. James O'Shaughnessy, in What Works on Wall Street, has performed a similar study, and has found roughly similar results, the main difference between the two being that O'Shaugnessy's data supports the idea that a low p/e stock is more likely to be successful, while O'Neil discounts the influence of p/e. No matter. Both have confirmed that a stock that has been going up is likely to continue going up. Relative strength counts. In addition, O'Neil's insistence on cutting your losses while they are still small is perhaps the single most important lesson an aspiring millionaire can learn. About two years ago, I was telling a colleague of mine that I felt lucky to have sold Cisco, Juniper and Sun for small losses. His comment was an amazed, "You mean you locked in a loss?" A few days ago, I made a similar comment to him, figuring that he had probably forgotten our earlier discussion. This time, he listened attentively, smiled sadly, and nodded. The many Amazon reviews which regard the book as an advertisement for Investor's Business Daily do have a point. However, there are many free search engines (stockpoint.com, marketguide.com) with which one can identify stocks satisfying the CANSLIM criteria. Similarly, there are a number of free online charting sites (clearstation.com, bigcharts.com) which give much of the same information as O'Neil's proprietary charting service. I've lost money the past few years, but I haven't lost much, thanks to the fact that I've been mostly in cash, which puts me way ahead of most professionals. William O'Neil gives very, very good advice.

Rating: 5 stars
Summary: great book
Review: This was the first investing book I ever read. And since then it still reamins to be one of the best. This book is ideal for all investors. I do not suggest it for trading or day trading though.

Rating: 5 stars
Summary: Outstanding!
Review: I have been utilizing William O'Neil's CANSLIM method of investing for several years with great success. I don't really understand the negative reviews that have been showing up here for the last year. Some reviewers complain that they have lost a great deal of money the past two years by following O'Neil's method. Evidently they did not read (or apply) Chapter 9: When to Sell and Cut Your Losses. In other words, they were not following O'Neil's advice. O'Neil is very clear on the importance of cutting your losses. Also, O'Neil provides a clear framework for exiting the market (Chapter 7: Market Direction: How to Determine It). There were several clear indicators that the market had topped in 2000. These indicators are clearly addressed in Chapter 7 and would have enabled anyone to get out of the bubble market with the majority of their profits. Personally, I have been out of the stock market since October 2000 (and making a nice return in bonds). I'll move back into stocks when the market returns to a sustained uptrend. It's not O'Neil's fault that people succumb to human nature and do the exact opposite of what he teaches in his book and in Investor's Business Daily. I guess we all need someone else to blame for our own shortcomings and greed. If you want to take responsibility for your own investing results, then read this book and patiently apply the principles it teaches. Otherwise, let a money manager or stockbroker make your decisions for you (good luck!), or simply stay out of the market.

Rating: 4 stars
Summary: Good fundamental framework. You DON'T need to buy IBD
Review: This book provodes excellent criteria for slecting stocks. .

My only critiques of the book are the mediocre charting/technical information and application to bull markets only. I had to do further research on his "cup and handle" to approach to understand it. O'Neil recommends sitting out of bear markets. He says this and admits his poor success in short selling ....

Don't expect this book to make you successful in a short period of time. Be patient utilize it as a tool to find good fundamentals and potential breakout stocks. Even O'Neil has admitted he is right only 50 percent of the time. He is successful because he cuts his losses and rides his winners. Three words: 8 percent trailing stop.

Rating: 1 stars
Summary: Conflict of interests
Review: I have to agree with the reviewer equityanalyst, this book is garbage. Of course I am not surprised that the book continues to be a good seller since the average investor thinks that he is above average, and with a little guidance will beat the market. Guess what you won't. Technical analysis presupposes momentum in the market, which there isn't. Anybody that still believes technical analysis will make them rich, also believes in the January Effect, Hemline Effect and can even possibly predict bull and bear markets by studying weather patterns. Better yet, develop a contrarian approach. Whatever the latest investment bestseller proposes, do the opposite, since the elusive search for quick riches by the ignorant will always make the improbable investment tricks popular. Do yourself a favour don't waste your time or money looking for the investment "holy grail", educate yourself on efficient markets and investor psychology, and stop pouring money into this author's undeserving pocket, his interest is merely revenue maximisation, not your wealth creation.

Rating: 3 stars
Summary: Other books to consider
Review: O'Neil's book is a well-written, clear and succinct guide for momentum investors. He recommends that you buy stocks with positive earnings surprises and strong technical fundamentals. If you're attracted to the momentum investing approach, but want a more thorough and broader discussion of this investing style (including application of the style globally), then look also at "The Hedge Fund Edge" by Mark Boucher.

The key problem with books like this is that they ignore the factor that statistically accounts for most performance: asset allocation. They encourage you to focus on stock picking rather than diversification; and the momentum style discourages you from rebalancing your portfolio when sectors get overheated. To put this book in that perspective, look at the material on sites like ABetterWayToInvest and ETFResources.



Rating: 1 stars
Summary: Professional analyst shares an opinion
Review: Several years ago, I wrote a review that lucidly and candidly explained why this book is trash, and why honest, talented, highly educated investment professionals occasionally write reviews telling beginning investors not to bother wasting their time or money. Here's the (brief) scoop:

In over fifty years of study, no one has ever consistently beaten the market using technical analysis. That is a deplorable record, especially compared to the fact that many professional investors beat the market over time (before taxes and trading costs). It is inexplicable to me that people think they can drive solely by reference to the rear view mirror.

I'll warn you: This is a dirty industry, the vast majority of returns accrue to the smartest, most ruthless players, and lay investors invariably get hurt in the end.

I suggest seeking out books that describe discounted cash flow analysis in very basic terms, and go from there. One example is "The Warren Buffet Way". I would also seek out books and articles on investor psychology. Good luck!


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