$Invesco QQQ Trust(QQQ)$Fantastic earnings from almost all of the tech giants, congratulations to all that managed to pick up some more shares at alow in the past week.
During volatile times like this, always make sure your risk reward ratio for shares you buy are adjustedfrequently.
Risk reward ratios are best when purchasing stocks at the bottom, the only caveat is you have to buyshares that have great fundamentals so that they can bounce back at a fast pace than the others.
Always screen for winners with great fundamentalswhen the market is going through a correction. Great fundamentals are stocks with:
1. High Relative Strength Rating >85 (not RSI but RS rating)
2. High EPS Rating >85
3. High Sales, Profit Margin, & ROE Rating
4. High Accumulation Rating (accumulation by institutions)
All four criterias are critical in screening for stocksthat can beat earnings and be the cream of the crop when correction ends.
Always ensure a minimum of 2:1 for risk reward ratio so that for every 2 wins, you will only have one loss and we are still net win.
Take care and stay safe, tread wisely!
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