Saturday, December 5, 2009

Stocks To Buy With Excellent Upward Potential

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When you are scouring the stock tables looking for stocks to buy with excellent upward potential, you'll start to figure out that you are looking for growth stocks. Growth stocks provide the best opportunity for price appreciation. To me, the best growth stocks can be uncovered using the CANSLIM stock market investing strategy. This will uncover stocks with the characteristics of some of the most prolific growth stocks in the history of the market.

Fueling that growth are institutional investors. The big money flows from these investors into stocks and almost force the price to rise on their buying alone. If you combine the upward pressure that they place on a stock with a stock with strong earnings. Buy the stock at the same time they do and you combined two of the most prolific factors that have driven many stocks prices through the roof.

Without this buying, you'll find that there aren't enough buyers to move the price up.

If you haven't figured out by now, I think that the market is somewhat manipulated. The mere fact that you can identify stocks the big money is buying and ride the stock up in price with them is enough to tell you that with enough money you can pump up the price of just about any stock. This strategy is most often found in the penny stock sector where people are manipulating the market by doing exactly that and then promoting the stock to individual investors as the next best stock.

You won't find the best stocks to buy in the penny stock price range. Stick with stocks that are over $15 dollars per share and start your research there.

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