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Stock buying strategy
For my stock pick for today - Thursday, May 16, 2013 click HERE.

There are a lot of stock trading strategies and theories out there and here is
mine.  I look at it as more of a tool.  Use the stock market and the process of
trading stocks online as a tool to making a lot of money fast, within six to eight
months starting out with only $2,000.  Stock traders are very fortunate these
days to be able to buy and sell stocks online with the use of online trading
brokerages.  There are many of them to choose from with low cost trading fees.  
You can buy the stock, set it to sell at your desired price and walk away.  You
don't have to babysit it, but it is tempting to watch it to see how fast it reaches it's

My strategy is to buy a stock and set it to sell at 2.5% higher to create a
compounding interest
senerio.  It is amazing how fast money grows in this
situation.  I have created a chart so you can see how it works.  Click
see the chart.   I start out with only $2000.  I do this for two reasons.  In order to
day trade, the FTC rule is that you have to have at least $2,000.  The second
reason is that you need $2,000 to start a margin account,  which is needed to
make your money grow more rapidly.  

There are a couple of rules with day trading.  Day trading is when you buy and
sell a stock on the same day.  If you account has less than $25,000 in it, you
can only do this three times within a five business day running calendar.  If you
have more than $25,000, you can trade as much as you want.  Also, under
$25,000 the margin account will be 2 X whatever amount you have in the
account.  If the account have over $25,000 many brokers will make it 4 X.  You
don't have to use it, but it's there.

Stock market regular trading hours are 9:30am to 4:00pm Monday - Friday with
a few holidays here and there throughout the year in which the market is closed.
You can also trade pre-market hours and post-market hours.  The hours vary
depending on the online trading company you go through, but tipically start 8:00
am for pre-market and end at 5:00pm or later for post-market.

My theory is to buy pre-market to try to catch it before it goes up when everyone
else jumps in when the market actually opens at 9:30am.  It is tricky because
usually the volume is much lower and the price that you can buy it at is hard to
figure.  You can't buy at market price, you have to put in a limit price.  
Sometimes you will be the first one to buy for the day.

The first step is to look at Street Insider's Upgrade page  Let's look at  this morning to find a stock upgrade that
I think will go up the 2.5% that we need to continue the 2.5% daily compounding
interest project.

I find that it doesn't make much difference if futures are up or down.  Of course it
helps a little if they are up, but most of the time this strategy works when they
are down too.

First I look for  a more dramatic upgrade like BUY or OUTPERFORM.  Next I look
for something that is lower in price, like under $10 per share.  When I find one I
look it up in Market Watch  Enter
in the stock symbol.  Look to see if it is up already in pre-market, look at the
volume and where the price falls in the 52 week low and high.

Remember that you have to sell the shares by the closing bell.  You never know,
the company could have something go wrong between closing bell and the next
opening bell and then your stuck or at least at a loss.  If you are at a loss, you
only loose money if you sell it.