In February, Money Philosophy decided to get back into the stock picking game after having been out of it for a couple of years. Philosophy of Money was drawn to stocks such as GM and C (Citigroup), who had taken a big hit when markets fell through the floor in September 2008. These stocks looked like they were headed back and he was excited about the chance that they can finally reach their 52 week highs.
His C and GM picks were very successful, and which prompted him to seek other stocks that resemble them. He came across a couple of micro cap stocks, CTIC and LJPC that looked like they could break through in the same way.
This proved to be correct, because both LJPC and CTIC ended up being hugely successful.
He thought he really could be something with the way he was choosing these stocks, so he decided to try to create a stock screen display that would take several stocks like them just before they were about to get big gains.
The reason we write this blog post today is because his first stock pick with this new screener reached a high 30% higher than it is open today and it is certainly impressed me. My imagination is off and running with the big gains we could do by following his penny stock picks.
Obviously we can not expect every stock pick he makes for big gains. It is impossible. It is also important to remember that a profit is not "real" until the point where you actually sell the stock. Deciding when to sell is just as important as deciding when to buy. The cool thing is that he also makes a post on his blog (and on his Twitter account) when he sells.
He does not share the exact way he screens for these winning stocks, which we think he is too selfish to share all his secrets, but he certainly shares more about what he actually doing in the market than most so-called "gurus."
He does not suggest that we should invest in his stock picks. There is really nothing to gain by it. It is always recommended that you do your own research before trading.
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