Is William O'neils canslim methodology viable? Anybody making good money with it? I've been following it for a year and a half or so now and his market "timing" has been right on. When wanting to go long he sais to wait for a "follow through" day. Each time in the last year and a half (3 times I think) the follow through day has signaled the beginning of a new rally). Just not sure about the rest of his techniques (chart patterns, money management, etc). Thoughts?
CANSLIM is garbage, as well as IBD. The rules outlined in IBD tend to contradict each other or or are simply wrong. The doesn't have to be follow through. It is also irrelevant how many distribution days there are. If you follow every rule in IBD you will find yourself overtrading and missing out on upside potential, especially during a bull market such as the one we are in now. The only rule you need to know is buy the dip. Buy on Monday morning and wait a month or two at which point you will be ahead.
Yes...I think last WEDS was a "follow through day" for IBDers and accordingly they are now on a 'buy"...looking for "distribution days" aka instit. sellers... I don't follow it, but I do receive some market commentary from IBDers.
The same think probably happens to stock turd too, he just hasnt checked his account statements in awhile.