The Optimum Investment Strategy
At Optimum Financial Services, LLC, we’ve developed a comprehensive list of criteria that we use to screen thousands of stocks in search of companies that may be positioned to perform well.
Narrow the scope
Stocks are screened based on:
- Earnings and Sales growth
- Industry Group Strength
- Institutional Sponsorship
- Return on Equity and Profit Margins
The stocks that pass the initial screen are analyzed and ranked based on a combination of these winning attributes.
Select stocks positioned to breakout
After we develop a list of fundamentally healthy stocks that have positive sentiment behind them, we then put that list into review for technical analysis. For a stock to have favorable technicals it must show support in the following metrics:
- Relative price strength
- Moving averages
- Daily trading volume
These stocks are then analyzed to find bullish chart patterns that point to higher share prices. Optimum looks for signs of Institutional buying before incrementally forming a position in the company.
Review analyst opinion and market view
Once a stock is determined to have the supporting fundamentals it’s market sentiment is then reviewed. Optimum takes into account:
- Analyst Recommendations
- Earnings Estimate Surveys
- Investor Articles
Reviewing these areas helps Optimum gain an overall investor sentiment that the investment community has for the stock.
Review positions daily
As economic conditions change these stock positions may also change. Assets are steered incrementally into those areas of the market that are demonstrating strength. This strategy relies on daily observations, rather than predictions, to determine which securities to buy, hold and sell. There is no substitute for daily hands-on analysis.