By Steven R. Selengut
W&A Publishing
270 pages, $29.95
Selengut’s goal is to provide a personal stock market investing plan using a conservative strategy focused on a diversified portfolio. The key concepts are quality, diversification and income. Along the way, he dispels much Wall Street propaganda, urging investors to establish a detailed, personalized investing plan with rules, strategies and procedures. Only then can investors face the market’s hazards.
Selengut urges investors to critically evaluate the information that Wall Street analysts and commentators spew and implores them to chart, predict and act rather than obsessively analyze. He highlights a few indicators to discerning the market’s health. Two indicators he uses are the cumulative number of NYSE advancing and declining issues, and the trend in the number of stocks making 52-week highs or lows.
The author highly recommends that investors construct a spreadsheet to track their portfolio. The spreadsheet should track positions and the performance of the portfolio components. The objective is to buy high-quality stocks when they are 20% or more below their 52-week highs.
Selengut has penned an enlightening and entertaining guide to prudent investing. New and seasoned investors will potentially gain useful insights and strategies from a market veteran who has managed money for clients and has decades of market experience.
Leslie N. Masonson is the author of “All About Market Timing” and “Day Trading on the Edge.” E-mail him at lesmasonson@yahoo.com
