India Fund (IFN) Trade Example

After I published my book on stock trading, I found that, when we would go to parties, people would start talking to me about the markets and finance.

Most asked for my opinions on the market, economy, and/or stocks.  Some people, though, would tell me things like investing in stocks is gambling, and that you have no control.

I don't agree because a good system will give you an edge. Instead of being like a gambler, you are more like the house/casino. As long as you set "table limits" (e.g. don't over-trade) you can build wealth over time.

Here is an actual trade that I experienced. It shows my Stock Trading Riches system (and its edge) in action:

I initially bought 142 shares of the India Fund (IFN) at $14.07 in January, 2005 and then turned over the management of this position to my formula.

Here are the buys/sells that the formula recommended in January of each year:

2005 Buy 142 shares @ $14.07
2006 Sell 72 shares @ $28.27
2007 No Trade @ $28.61
2008 Sell 19 shares @ $39.05
2009 Buy 66 shares @ $16.97

Even though IFN went up 21% from 2005 to 2009, the formula was up 82%.