How to Apply PowerRatings to Low-Priced Stocks

Today’s
PowerRatings
article will focus on our
Top 10 PowerRatings Low-Priced Stocks.

For
aggressive traders and investors, some of the biggest moves on a percentage
basis come from low-priced stocks. If you are willing to assume more risk, you
will find ample opportunities in low-priced stocks with high PowerRatings.

PowerRatings performance shows the returns versus
the S&P 500 for the equivalent 5-day hold. The stocks which have had a PowerRating of 8 have outperformed the S&P 500 index on average over the next 5
days by an 5.8-1 margin. Stocks with a PowerRating of 9 have outperformed by a
10.1-1 margin. Stocks with a PowerRating of 10 have outperformed the S&P by
nearly 14.7-1 margin. This potential edge opens up a number of possibilities for
your trading and investing.

One more interesting fact about the
PowerRatings; PowerRatings of 1 and 2 have on average lost money over the next
week. A PowerRating of 1 has underperformed the S&P 500 by a 5-1 margin.
Obviously, you should ideally be looking to be buying high PowerRating stocks
and avoid (or short) low PowerRatings stocks.

If you would like to attend a free class which covers this
research and strategy further, please
click here
for the calendar of the upcoming online classes. Topics
covered include our latest research on
entries and exits, and
how to use PowerRatings with our new
Preferred Stock List.

Here is a list of today’s Top 10 PowerRatings Low-Priced
Stocks:

Here are a few individual daily charts from the
list above:

La Jolla Pharmaceutical
(
LJPC |
Quote |
Chart |
News |
PowerRating)

MindSpeed Technologies
(
MSPD |
Quote |
Chart |
News |
PowerRating)

Wet Seal
(
WTSLA |
Quote |
Chart |
News |
PowerRating)

For a free PowerRatings trial,
click here. If
you have any questions about PowerRatings or the new Stock Indicators please
feel free to email us or call 213-955-5858 ext 1.

Darren Wong

Associate Editor

darrenw@tradingmarkets.com



Reminder: We are in no way recommending the purchase or short sale of these
stocks. This article is intended for education purposes only. Trading should be based on your own understanding of market conditions,
price patterns and risk; our information is designed to contribute to your
understanding.