Doing a little post-Thanksgiving stock hunting and I came across this one at Bernie Schaeffer's site. It's getting some high call option activity and the TradeRadar buy signal looks pretty good (just beginning to signal a buy on 11/20/06 at $7.05). This trade is playing out right now; this is not a back-test. Buying it anytime within the last week or when the market opens Monday would be the agressive approach. Waiting a bit to see how things look over the next few days or so might be more prudent. Note that the red signal line is just barely below the green trigger point. Seeing that signal go a little lower would provide more confidence. Let's keep an eye on this one.
This is the first in an ongoing series of articles where I discuss what I feel are keys to successful investing. It is based on a post that provides a summary of the ten keys that individual investors should use to identify profitable stock trades. ( Click here to read the original post ) There are two basic steps to investing. First, you need to find stocks that seem to have some potential. Then you have to determine whether these stocks are actually good investments. There are many stocks that at first glance look interesting, but further research reveals that there are too many negatives to warrant taking a position. This first post in the series starts at the beginning: getting good investment ideas. Key #1: If something special is happening to a stock, it will be reflected in some kind of unusual activity in the markets. As individual investors, we will never be the first to know; however, unusual activity can be an early sign that allows us to follow the Wall Street profess