Did you know that $1000 Invested one time, if it returns 100% a year would be worth over $1,000,000 in 10 years? Here is how it breaks down
Start $1,000
End of Year 1 $2,000
End of Year 2 $4,000
End of Year 3 $8,000
End of Year 4 $16,000
End of Year 5 $32,000
End of Year 6 $64,000
End of Year 7 $128,000
End of Year 8 $256,000
End of Year 9 $512,000
End of Year 10 $1,024,000
That is doubling your money every year.
Of course that scenario doesn't include taxes etc.. However if you had a 401K you wouldn't get taxed on it.
Maybe you have seen that before but that shows that the person with a Long term strategy can make a great deal of money from not a big investment. 100% a year isn't a lot when we are talking about HYIP investments but how many of those are going to last 10 years as well? NONE
Did you know a good percentage of Stocks double each year? I just did some quick research on this with the newspaper. I opened up the Stock Market section for the Nasdaq/AMEX. I decided to check the 52 week high and 52 week low for some stocks. What I was searching for is how many stocks under a certain letter were at least double from its 52 week low. In other words for a stock like "Hansen" (I have NO IDEA WHAT THEY DO OR ANY INFO ON THEM THIS IS JUST AN EXAMPLE) This company (Hansen) had a 52 week HIGH of $44.25 and 52 week Low of $8.51 and was trading above $44. So from the low of $8.51 to the high that is over 5x increase. Point being their are a LOT of stocks that move up 100% in a year, Hansen moved up 400%+!
I did research on a few different letters. (I only looked at letters that had a small # of companies just to show you the research. I didn't want to do like the letter "S" which would have hundreds of companies)
I did the letters "H", "J", "O", and "XYZ". In my paper the letter "H" had 33 companies listed for the Nasdaq/Amex of those 33 companies 16 of them had a 52 week hi/low difference of at least 90%. 17 of the companies did not.
The letter "J" had 9 companies that had a 52 week hi/low of 90% or better, and 5 companies that did not. The letter "O" had 27 companies that had a 52 week hi/low of 90% or better and only 15 companies that didn't. The letters "XYZ" had 17 companies with a 52 week hi/low of better than 90% and 6 that did not.
So of those 6 letters listed above companies under those letters had companies with a 52 week hi/low of 90% or better 69 times and not 43 times.
My point of this is MANY stocks each year double in value no matter what the overall stock market does. All you need is to find 1 a year that can double. That could go from .50 cents to $1. Or $5 to $10 or $20 to $40. You ONLY need 1 stock!
One stock I mentioned on our Alley Cat Trading Newsletter went from .26 cents back in late November to almost $1 in early January. That more than doubled in less than 2 months!The stock was CYGX. I am sure there are many stock trading newsletters online and off. Do some research on them and the companies they recommend. Remember you only need 1 good stock a year. You could very well have a situation like with CYGX where it doubled in a very short time You take your profits and go hunting for the next stock. You don't always have to be in a trade. If that trade took you 2 months you are 10 months ahead of schedule take your time to find the next stock that could turn. Maybe that stock ends up taking 14 months to double.
Copyright 2006 Steve Hoven
Steve Hoven has had years of experience trading. check out his free newsletter at http://www.alleycatnews.net.