Clear and Simple, what is the best way to win a stock market competition?

I have won competitions, the NH chapter of the Boston Globe's SMG.

Here is how, you will not win trading individual stocks, you must practice diversification within sectors, it is the only way. Ask yourself: In the next three months, what sector will move the most, up or dow? After answering that, you can but into Ultra Longs and Shorts. Real Example: Examining candlestick charts for the past few months, a few days ago I it was a right time to buy into UYG, the financials sector. Do it. In the past two days i have already made 5K.

Buddy Me

JBD

WHAT YOU SAY MAKES ALOT OF SENSE AND WATCHING SECTORS,WHICH I PRESUME MOST PEOPLE ARE DOING THAT ARE DOING WELL,BUT ITS STILL A RISK IN THESE TIMES ON HOLDING TO LONG ON ANY GIVEN STOCK,THAT I HAVE NOTICED ,BUT I BELIEVE YOUR RIGHT ON THIS MATTER AS OF NOW,AND WILL GIVE IT SOME INPUT OF SOME OF MY DOLLARS THAT ARE STILL IN MY ACCOUNT AS NOW,,,THANKS ALOT WE'LL KEEP IN TOUCH MAYBE AND I CAN SAY IT WORKED REALLY WELL,I HOPE !

 Yea, except then someone goes and puts it all on red and makes a killing and your looking at hard times trying to play catch up.

 Throwing darts is just as good.

blindfold or no?

majik13:

 Throwing darts is just as good.

If you approach this competition or the market like throwing darts you will lose.  There are many ways to make money in the market, sector tracking is one of them. If you dont know where to go to find which sectors are doing well try this link: http://www2.barchart.com/sectors.asp?base=industry. But as in anything yoo have to learn what to look for.

Just recently had someone say I was a fool to move money in and out of the S&P index fund in my 401K. Knowing that they were a put your money in the fund and hold it person, I Sent them my next two all in and all out trades I was doing just before I did them.  I made 4.5% in a manner of weeks and pointed out that they were down close to 20% on the year.  It can be done you just need to learn and know what to learn, Secotrs by the way is one of the best ways of determining where the market on the whole is going for you 401K Index participants.

As for winning this competition knowing what sectors are hot will definately help you but might not win the competition, why? Because Sector trading is a mid to long term strategy. For example you can hit some stocks, using sectors, that make 100% or more in a year.  The problem is that this competition lasts a month. So the people using short term stratigies will have an advantage. Although knowing a sector that is going to take off can definately make some quick money fast.

Bushenomics:

blindfold or no?

I think you know my answer to that.

 By the way, why not just make multiple multiple accounts - like, dozens or more. Wouldn't that increase your chances, and isn't that being done??