Are you overwhelmed by all the strategies, tips, and tools on how to invest in stock market?
Do you get confused with all the different technical indicators floating around?
Well, I certainly did…till I found the solution…
Everyone and their cousin has a new fad about how to invest in stocks…but sifting through all this BS and finding a reliable and proven method has taken me several years.
Once I found this incredibly simple method, my life as a stock trader changed dramatically.
What if you can identify a stock that is about to skyrocket, before it takes off?
What if you have the proven tools and strategies right in your hands to succeed as a stock trader?
Sounds amazing, right?
If you think so, then you’re in the right place…
Today, I’m sharing a proven method that is used by institutional investors to build their portfolios and rake in huge profits.
But before I do so…
You may wonder who I am and how I can help you.
I am Murali Sajja and I have been studying investing for 20 years and learned from two of the best traders in the world William O Neal and Ed Seykota.
Along with Dan Griffin, I developed a trading system combining the best practices of Technical, Fundamental and Momentum Analysis.
I am also the author of two works titled “Mindful Stock Investing” and “Seven Minute Ritual for Abundance”.
It is not the lack of information that impedes you from making money in stock market.
It is the lack of credible strategies and the will power to execute and stick to this strategy.
This is not a get-rich-in a day scheme; not a read it once and forget about it post.
Now let’s get into these strategies…
The 7 Step Trading System
So what is the The 7 Step Trading System and how can it help you?
There are a lot of moving parts in this strategy but in order to simplify it, we went through thousands of winning stocks and analyzed the 7 fundamentals patterns in successful trading…
…and then came up with these 7 Steps that every winning stock had shown before it took off.
By looking at these Seven Strategies, you can identify a winning stock.
Now I will be lying if I say that every stock that you buy using this seven step approach will be a winner…
…But the odds are tilted greatly in your favor!
So what are the 7 strategies to analyze in the 7 Step Trading System?
- Current Quarterly Earnings
- Annual Earnings
- New Products and Management
- Supply and Demand
- Leader or Laggard
- Institutional Investment or Sponsorship
- Market Direction
All these 7 patterns together form a cohesive winning strategy that can catapult your investment results.
It has done so for thousands of investors…
And it will do so for you!
Let’s dig deeper into the first step and understand what exactly it is…
Step 1 of 7 Step Trading Strategy
Current Quarterly Earnings
All public companies have an earnings report which rates their performance over a period of time.
These reports are for shareholders who understand how companies have fared financially over the given time period.
A ‘quarterly’ is filed by public companies to report their performance at the end of each financial quarter.
Most companies file these in the months of January, April, July and October.
The key metrics used to calculate quarterly earning are Net Income and Earnings Per Share(EPS) which are then weighed against the previous years’ numbers.
By careful analysis of this comparison, investors understand the financial health of the company and whether or not they must invest in the company at all.
The stocks you choose to invest in must show a relevant increase in percentage when it comes to current quarterly earnings per share as compared to the prior year’s same quarter.
How To Incorporate Quarterly Earnings Into Your Trading Strategies
Take a look at the list of 12 pointers below which will help you do so.
- Always buy Stocks Showing “Huge Current Earnings Increases”
- Keep in mind that there may be misleading earnings report you might fall prey to – so keep out an eye and dodge those!
- It would be advisable to compare a company’s earnings per share to the same quarter a year earlier and not to the prior quarter, to avoid any distortion resulting from seasonality.
- Make sure you do not take into account a company’s one-time gain(s) while deciding to invest. While doing so, keep an eye out to set a minimum level for your current earnings to map the increase.
- Think before investing because of a “brand name” in the market. Though they might seem like the way to go, avoid going for older and bigger companies.
- Make sure the quarterly earnings are growing for the company you are tracking. The earnings growth will indicate whether they are on a path to great stock returns.
- Along with earnings and the growth don’t forget to track the sales growth of the company too. If the sales remain stagnant and yet the earnings are growing, it may be because of temporary efficiency in their operations.
- Traders insist on mapping Sales Growth as well as Earnings growth. These measures have helped traders understand stock a lot better.
- Stocks can get into trouble due to Two Quarters of Major Earnings Deceleration. Therefore, it is important to note that you must not invest in stocks that pose such an issue.
- Consult Log-Scale Weekly Graphs before deciding to invest.
- Other than the stocks you were aiming to buy, keep an eye out about stocks which could be a potential buy.
- Always note that the Current Quarterly Earnings per share should be up a major percentage— 25% to 50% at a minimum— over the same quarter the previous year.
The best companies enlisted in the stock market can show earnings up 100% to 500% or sometimes even more.
Ok so there are companies with good earnings growth. Now What?
As you can see, the Current Quarterly Earnings analysis is just the first step of the 7 Step Trading System…
and, this surely will help you in your investment decision!
But, for you to really identity the winner,
You need to have the complete picture to come up with a cohesive investment strategy that can create wealth for you!
Get the full report here. It will explain each of these seven steps in detail.
The Seven Step Secret Strategy Used Institutional Investors
If someone tells you investing in stocks is one day get rich scheme, search for your wallet, hold it safe and run.Trust me I have tried such schemes and lost my shirt too. Don’t want others go through that pain. Investing in stocks will take time to learn, discipline to execute and patience to record your wins and losses and tweaking your strategy.
If you are not up for it, please buy an index fund and be done with it.
Don’t lose your money in stocks.
In fact I would say don’t spend another rupee of your hard earned money before you read this report completely.
It Is Free And There Is No Catch