Building Wealth in the Stock Market · A Proven Investment Plan for Finding the Best Stocks and Managing Risk by Nicholson, Colin -- Read -- Imperial Library of Trantor

Index

Cover Table of Contents Title Page Foreword Chapter 1: Setting the Scene

Speculation versus investment Active versus passive investing Analysis versus investing Fundamental versus technical analysis

Chapter 2: Winners Think Differently

Forget how much was paid Don't play with the ‘market's money' Make it strictly business Focus on the bottom line Resist doing what seems natural We can't win if we lose too much Avoid magical thinking Stop looking for a guru Try to focus on the correct question Don't be seduced by tops and bottoms Avoid making predictions Simple is better than complex Act on what is happening, not what should happen Become a serial decision-maker Never stop thinking Realise that it will take time to learn

Chapter 3: What is Required To Succeed as an Investor?

Knowledge An investment plan Experience Discipline Patience Winning thinking

Chapter 4: Roadmap of My Investment Plan

My objective My basic investment philosophy Risks and strategies Managing investments Summary of the plan Case studies

Chapter 5: Asset Class and Performance Target

Choice of asset class Speculation or investment Other asset classes My investment performance target My investment track record Calculation of my returns Chapter 6: My Simple Big Idea

Chapter 7: The Risks to be Managed

Market risk Financial risk Liquidity risk

Chapter 8: Managing Market Risk

Deciding on asset classes Passive investing Active investing Which approach is better? The first tool: Dow Theory phase analysis Introduction to bull markets Bull market phase 1: reviving confidence Bull market phase 2: improving earnings Bull market phase 3: rampant speculation Introduction to bear markets Bear market phase 1: abandonment of hopes Bear market phase 2: decreasing earnings Bear market phase 3: distress selling Conclusion: market phase analysis The second tool: the Coppock indicator Appropriate use of the Coppock indicator The third tool: trend analysis of the market index Corrections and rallies in the form of trading ranges When bull and bear markets begin Strategy for managing market risk Strategy for getting into the market Strategy for getting out of the market

Chapter 9: Managing Specific Risk

Diversification Position size Important caveat on position size

Chapter 10: Managing Financial and Liquidity Risks

Financial risk: gearing and leverage Liquidity risk: size of company Capitalisation Frequency of trading and volume Type of company Long, short or both Time frame

Chapter 11: Selecting Stocks to Buy

Introduction to value and growth models Charting the two models The growth model Charts which are neither value nor growth model The technical analysis filter The fundamental analysis filter Comparing the two filter runs A general philosophy

Chapter 12: Managing Investments

Guidelines for buying Guidelines for position building Rules for placing sell stops Guidelines and rule for calculating position size Guideline for taking profits My chart templates

Chapter 13:Executive Summary of My Investment Plan

Policy Strategy: Managing market risk Strategy: Managing specific risk Strategy: Managing financial, liquidity and other risks Tactics: Stock selection Tactics: Managing investments

Chapter 14: Case Studies

Sources used Case studies of managing market risk Case study 2: the decision to begin reducing exposure to the market Case study 3: the situation at 12 December 2008 Case studies of specific stock investments Case study 4: Fiducian Portfolio Services (FPS) Case study 5: Kresta Holdings (KRS) Case study 6: Imdex (IMD) Case study 7: Mincor Resources (MCR) Case studies conclusion

Chapter 15: Conclusion Appendix A: Insight Trader Chart Format Appendix B: Semi-log or Linear Charts?