| Jim Cramer's stock picks have become | | | | Relative strength also tells you a thing or two about |
| world-renowned and world-reviled--depending upon | | | | a stock--namely, is its price action holding its own |
| who you talk to--as CNBC's "Mad Money" TV show | | | | against the market's other stocks? A ranking of 80 in |
| has grown in popularity. | | | | either of these categories means a stock is |
| But the truth is, you can find your own hot stock | | | | performing better than 80% of all other listed stocks. |
| picks without Cramer, if you want to. It just takes a | | | | You want at least an 80 ranking, if not significantly |
| little more work than propping your feet up in front | | | | higher in both earnings and relative price strength. |
| of the TV and watching Cramer rant and rave to the | | | | You also want a stock in a strong industry, and here |
| audience's delight. True, you may miss out on some | | | | again, IBD gives you a readout as to whether the |
| of the hysterics, but a fat trading account balance | | | | stock is in an A+ rated industry or a D- one. A stock |
| can go a long way towards making up for the lost | | | | pick's "Accumulation" ranking tells you whether the |
| entertainment value. | | | | institutions that drive stocks higher are onboard your |
| Your first stop for hot stock picks is to the IBD 100 | | | | stock or passing it by. |
| list that is published in every Monday edition of IBD. | | | | Want to get really good at picking stocks? Start |
| IBD ranks its top 100 stocks according to a variety | | | | finding those stocks that are forming one of a small |
| of criteria, the most important of which are earnings | | | | handful of stock charts that a stock forms just |
| and relative price strength readings. | | | | before making an explosive more. Using these chart |
| No strong earnings, no stock pick. Earnings and | | | | patterns in your stock pick selection process is one |
| especially a track record for earnings growth is what | | | | of the best ways of ascertaining the all-important |
| powers stocks higher. Many people buy into a stock's | | | | when to buy a top-rated stock, and believe me, |
| story, but even "story stocks" must report their | | | | these stocks really pour on the volume when they |
| earnings 4 times a year, and the last thing in the | | | | break out! |
| world you want is an unpleasant surprise! | | | | |