CAN SLIM(8)

New Products, New Services, New Management, New Price Highs(2)

Winning Characteristics


A stock that makes big gains often results from new products or services.

But be wary of unproven products, especially if the company management doesn't have a solid track record.

Superior management is essential to a company's success.

That's why often a shakeup at the top pushes a stock's price higher.

Quality stocks making new price highs just as they emerge from sound chart bases on higher volume are often likely to continue climbing, while stocks making new lows are probably headed even lower.

Therefore, focus on the new price highs list for the best potential opportunities.

You can think of a stock's price as a measure of its quality and, consequently, its potential.

Typically, stocks higher in price reflect higher quality.

Always be on the lookout for new products, new services, new management, or major improvements in industry condition.