The following information is a brief and concise stock market course, aimed at beginners, which will have you trading right away. This is a proven investment strategy which made an average of 1,351.8% from 1998-2008. Furthermore, those gains were made regardless of general market direction.

This method, known as the CAN SLIM method, has helped earn its creator hundreds of millions of dollars. CAN SLIM is a mnemonic checklist of how stocks that are about to take off should perform. Follow these steps in order, and you will be on the road to stock market success.

“C” is the stock’s current earnings. Only pick stocks whose earnings per share (EPS) has grown consistently over the years. Furthermore, stocks which have shown recent growth and whose current growth is at least 25% are an excellent choice.

“A” is the company’s annual earnings. Choose stocks from companies that have had a good annual growth over the last five years. More specifically, try to pick a stock whose annual earnings have increased by at least 25% over the last three years.

“N” is for a company’s new product or service. A company should have recently come out with a new product or service, and the launch must have been successful. Also acceptable is introducing new management if the new executive team has a track record of success.

“S” is for supply and demand. Try to find companies that have few outstanding shares, as fewer shares equal higher prices.

“L” is for Leader or Laggard. In every industry there are winners and losers. Find the leading stock in a leading industry, and then choose them. This can be measured objectively through the Relative Price Strength Rating (RPSR) of the stock, which allows you to compare a stock to the rest of the market based on an index such as the S&P 500. If a company is a Laggard, or the industry is lagging, then steer clear.

“I” is for institutional sponsorship. Look for stocks that have institutional sponsorship, such as commercial bank loans or mutual funds. If large companies and investors pass over a company, you should too.

“M” = is for market indices. Despite the fact that this method has made money regardless of market conditions, it hasn’t done so by fighting against a trend. If the major indices, such as the Dow Jones Industrial Average, S&P 500, or NASDAQ are in a bear market, it’s probably not a good idea to invest. This is because 75% of stocks tend to follow the direction of these market indices.

That is your free, crash course on the stock market. It doesn’t get much easier than this to invest in the stock market. Using this method you can dominate the stock market, and it doesn’t require an expensive education to do so. While this strategy is proven to work, it is still a good idea to look for a stock market course so you can learn what terms such as RPSR and EPS really mean.

Author Bio: Learn about a stock market course with Knowledge to Action-learn more on their site www.knowledgetoaction.co.uk, via Greg Secker and Knowledge to Action on Twitter or Brand Viagra on one of Greg Secker’s specialist blogs.

Category: Finance/Currency Trading
Keywords: stock market course, stock market, stocks, shares, stock exchange, training course