| Ken's Response: |
March 29, 2010 |
Dear Gil,
Thanks for the positive feedback on my 3/23/10 presentation in San Diego, and thanks for some great questions! Please accept my apology for the delay in responding. Here are the answers you have been awaiting. 1. Do all your yellow featured stocks meet the C & A CANSLIM investment guidelines? As a general rule you should find this to be so for stocks on the Featured Stocks page, however in any instances where there may be any shortcomings, we typically do add notes to shed sufficient light on the companies' earnings history. Along with the notes from our experts, annotated graphs should also allow you to see the critical information concerning the companies' sales and earnings track record to adequately assess the facts. 2. Why is Atheros (ATHR) not a featured stock? It has made 3 Mid-Day Breakouts Report appearances in 2010. Hopefully the most recent note from its 3/03/2010 appearance will help to answer well enough. "It has reversed today's early gain into new all-time high territory following its 3/02/10 breakout from a cup-with-handle pattern with heavy volume. Quarterly sales and earnings comparisons in prior quarters have been negative and below guidelines, yet it showed a dramatic turnaround and huge increases for the period ended Dec 31, 2009. It has a good annual earnings (A criteria) history." 3. How would you best use the month end Market Groups breakout list? The Market's Leading Groups section in each monthly issue of CANSLIM.net News summarizes the total appearances of stocks that hit new 52-week highs and appeared on the Breakouts Page. You can use this to get a view of the industry groups that have produced the greatest preponderance of stocks hitting new highs in the past month. Industry groups should be weighed into the mix when it comes to your buying decisions on individual stocks, since investors' odds are considered most favorable when choosing leading stocks in leading industry groups (the L criteria).
4. What stocks do you include in the Biotech, Banking, etc industry groups? The updated version of the Leaders List, which is now sortable but clicking on the column headings, does not currently allow members to sort the entire leaders list by industry groups. The Leaders List Screening Tool is also undergoing a redesign at present. However, your question is a VERY good reason for me to work with the programming team to get that feature (sort Leaders List by Industry Groups) reincorporated in the very near term. Please be patient, and my hope is that with a few days we can roll out a solution which will make this easier for you and everyone else. Thanks again for your patronage. This response will be published in the "Mail Bag - Q&A" section which is occasionally inserted into the daily After Market Update. Please let me know if you have any other feedback by filling out the inquiry form.

Kenneth J. Gruneisen Founder & Contributing Writer for CANSLIM.net www.canslim.net |