The CAN SLIM® Investment System Explained.

The system was developed by William J. O'Neil, founder of Investors Business Daily. It consists of buying and selling rules derived from an extensive analysis of all of the greatest winning stocks each year for the last half-century.

All known fundamental and technical (price and volume) variables and facts were studied in exacting detail to determine what common characteristics occurred just before these super stocks had huge price increases and how these variables changed when the stocks topped and began substantial declines.

The buying and selling rules of this highly successful system reflect only the time tested facts of how the stock market actually works. It is not based in any way on personal opinions and certainly not the current personal views and beliefs of most Wall Street analysists, commentators or strategists on TV.

Each letter in the word CAN SLIM® stands for one of the 7 chief characteristics of great winning stocks at their early developing stages, just before they made huge profits for their shareholders.

C - Current Quarterly Earnings Per Share: The Higher, the Better
A - Annual Earnings Increases: Look for Significant Growth
N - New Products, New Management, New Highs: Buying at the Right Time

S - Supply and Demand: Shares Outstanding Plus Big Volume Demand
L - Leader or Laggard: Invest in the Group Leaders
I - Institutional Sponsorship: Buy What the Best Money Managers are Buying
M - Market Direction: To Make Money You Must Go With the Trend.

To learn more about this investment system read "How To Make Money In Stocks" by William J. O'Neil