Stocks at Proper Buy Points

One of the best strategies that a trader or investor can utilize in order to manage risk in their portfolio is by initiating positions in stocks at proper buy points. Buying at a proper buy point helps minimize down side risk, keeps emotions in check and gives you a better exit/stop loss strategy. The recent market correction has helped create several interesting buy points in many stocks.

Here are a few of them: ASTE, OMCL, TLEO, TRAK

ASTE

OMCL

TLEO

TRAK

A common theme that can be seen among these stocks is that they have all reported great earnings. In addition, their stock prices are at proper buy points, near their major MA's, such as the 50 day MA. The riskiest of the bunch are OMCL and ASTE as they are slightly further away from their 50 day MA. The correct stop loss would be if the stock drops 7-8% from the buy point or if the stocks closes beneath the 50 day MA on major weakness.