“My biggest concern at the moment is: how could I choose optimal stocks for my portfolio…”

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Dear Michael,

Thank you for your email.

I’m impressed. When I subscribed to your newsletter, I wasn’t expecting such a question. I understand you really want to learn, what’s important for the people who read your newsletter; me included.
That’s interesting, thank you! First of all, I’m a software engineer and since about a year, also a trader. I’m trading stocks on the Polish stock market, with help of my personal software.
My biggest concern at the moment is: how could I choose optimal stocks for my portfolio? I already tried a few approaches, including the one that [name] has described in his “[name]”: based on Momentum score and volatility. I know that was mostly educational, and not to use in real scenarios, but still I was expecting better results. These are, at least according to my backtests on [name], not very impressive. What would you recommend for stocks selection? What approaches have you tried so far, and what are you using now?

Looking forward to seeing your newsletter!

A place to start to think about markets. Big picture you need to address more than just a portfolio:

• Exact rules for selecting your tracking portfolio.
• Exact rules for entering your trades at the right time.
• Exact rules for exiting your trades with a loss.
• Exact rules for exiting your trades with a profit.
• Exact rules for how much money to bet on each trade.

The Author