Modern Security Analysis: Simple & Effective

By Tony Pow

This book is modern (as of 2016) compared to similar books written 20 years ago. At that time, they did not have free internet sites providing all kind of financial ratios such as P/E. The need to examine the financial statements is substantially reduced. The 1 billion earnings do not tell you much, but the P/E and other fundamental metrics that are readily available to you via many free websites. In addition, they did not have technical analysis (or charts) to detect market plunges. We have lost an average of 45% in the last two market plunges and hence 'buy-and-hold' is not a good strategy since 2000. This book uses simple techniques with or without charts to detect market plunges that work for the last two major ones. We do have our challenges. Sometimes we are overloaded with information. Some articles in the free web sites are written with hidden agenda that could cost you lots of money. We need to select the relevant data and ignore traps and garbage. I make it easy by splitting this book into two parts: Basic and Advanced (from Chapter 16 and on). Even for the basic I try to implement the advanced concepts using simple and free information from the internet. Even if you are an advanced investor, try to glance it through the first part to review anything you may have missed. This book helps someone looking for simple but profitable strategies in investing. The swing strategy only takes about half an hour a month to monitor the market and decide what stocks to buy and sell. I select finviz.com, a free financial site for most of my investing techniques and it is supplemented by other sites (some free and most requiring small fees). I start with market timing. You should not buy any stocks when the market is plunging. Actually you should sell most of the stocks you own when the market is plunging. I have a simple way to spot market plunges. It is based on charts. However, you can obtain similar info without creating charts and there is nothing to subscribe. The chart tells us when to reenter the market for the best opportunity to make money. It worked very well in the last two market plunges. It may not give us ample time as the last two. I have not tested the market plunges before 2000 as they were quite different from today's market. Last update: 11/2016 Size: 295 pages (6*9)

• Format: Paperback
• Language: English
• ISBN: 1511585080
• ISBN13: 9781511585088
• Release Date: April 2015
• Publisher: Createspace Independent Publishing Platform
• Length: 298 Pages
• Weight: 0.88 lbs.
• Dimensions: 0.6" x 6.0" x 9.0"