Bill O’Neil Quotes on Stock Market Action

By
David
– July 8, 2011Posted in: CAN SLIM, Capital Gain, Paper Assets, Strategies

The whole secret to winning and losing in the stock market is to lose the least amount possible when you’re not right.

What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower.

The best way to measure a stock’s supply and demand is by watching its daily trading volume. When a stock pulls back in price, you want to see volume dry up, indicating no significant selling pressure. When it rallies up in price, you want to see volume rise, which usually represents institutional buying.

Those who ignore what the market says usually pay a heavy price. Those who listen and who learn the difference between normal and abnormal action are said to have a “good feel for the market”.

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