Annie 所长|8月 01, 2026 07:21
"5 classic buying strategies worth practicing, besides Livermore's pyramid:
1. CAN SLIM Buying Method: Only buy strong growth stocks with accelerating earnings and technical breakout patterns.
- Quarterly EPS YoY growth of at least +25%, ideally accelerating for several quarters
- Annual earnings compound growth ≥25% over the past 3 years
- New products/new business/stock price hitting new highs
- After forming consolidation patterns like cup-and-handle or flat base, buy on volume breakout at key points
- Stop loss unconditionally if price drops 7% below buying price
2. Turtle Buying Method: Ride big trends by buying when prices break historical ranges.
- Buy when price breaks past the highest price of the last 20 days or 55 days
- Position sizing: Account risk of 1% ÷ (ATR × value per point)
- Add to position every 0.5 ATR increase, up to 4-5 units max
- Set stop loss 2 ATR below entry price
- Exit if price breaks below the 10-day/20-day low
3. Graham/Buffett Value Investing Method: Buy good companies temporarily undervalued and use time to unlock value.
- Choose companies with strong moats, long-term ROE >15%, and manageable debt
- Calculate intrinsic value (discounted free cash flow or reasonable P/E ratio)
- Buy in batches only when stock price is 30% below intrinsic value
- No short-term stop loss; sell only if fundamentals deteriorate
4. DCA Buying Method: Dollar-cost averaging to smooth out costs and completely abandon timing the market.
- Invest a fixed amount on a fixed date every month (best on payday)
- Buy broad-based indices or quality leaders
- Don’t reduce or interrupt during bear markets
- Hold for at least 3-5 years before reassessing
5. Pullback Buying Method: As long as the trend structure remains intact, dips are buying opportunities.
- First confirm the overall trend is upward (price above 20/60-day moving averages, higher highs and higher lows)
- Buy on pullbacks to key support levels (20-day moving average, previous lows, Fibonacci retracement levels)
- Wait for reversal signals (long lower shadow, engulfing candle, volume breakout bullish candle) before entering
- Stop loss immediately if price breaks below previous low or trendline"
#InvestingTips #TradingStrategies #StockMarket
Share To
HotFlash
APP
X
Telegram
CopyLink