King Edward’s Investments
The markets today are in turmoil. Tariffs and wars are wreaking havoc on the lives of hundreds of millions of people in the west. In Canada, American tariffs have all but stunted our economy and all sectors but the precious metals sector is felling it. So it was important to filter out short term investments that could be held for less than 10 days and return from 5% to 10% gains over the period. The csv file included with this document and the industry sorted list may be used to determine the current best and next best investment if used correctly. For instance, the new Ranking system is for companies with a positive SLOPE20 to SLOPE ratio and a negative Z_SCORE (the SLOPE20 being the most recent 20 day price slope the SLOPE being a 60 day price slope and the Z_SCORE being the deviation from the price index for a company) producing a list of viable investments that trade-off between price and strength. Furthermore, included in the ranking is the 10%OPPS, which is a measure of the number of times in a 10 day span over the course of 60 days a company traded for more than 10% gains. It is the purpose of the Ranking system to find large short term value in the markets. Although no ranking system is perfect, with a little insight, solid decisions can be made.
Although the markets have taken a downturn in recent weeks there is still hope on the horizon for some interesting investments in some companies. They are companies which are listed on the Toronto Stock Exchange, have positive earnings and trade more than 1 million dollars in market cap per day. From this pool of companies it is hoped that at least two a week will be selected for investment.
Due to the recent down turn in the markets there are no comfortable investments to be made as almost all stocks are dropping in value. If 2008 can be used as a reference point, the markets in this downturn may not bottom until 2026. In the mean time I will be assessing some exchange traded funds which might reduce the risk of investment at this time. Right now because the markets are dropping so severly, it is best to choose stocks with the lowest non-zero ranking from the ranked company CSV. I recommend ELD.TO company name, Eldorado Gold. ELD.TO appears to have held its value well during the downturn and it has positive earnings in a growth industry - looks good!