Strength on Stress Days

Follows Ben Bennett’s idea and asks how a share behaves on bad days. A stress day is a day on which both the overall market and the share’s own sector closed down at least 0.5 percent. Over the past six months or so, those stress days are counted — how often the share still closed higher. That produces a ranking of all stocks. The list takes the strongest 10 percent or so — shares that get bought when everything else falls. The price has to be above 3 dollars and average daily turnover above 2 million dollars. Only shares our own deep-dive analysis rates green are bought — yellow or no analysis at all is not enough. The check and any new purchase happen every trading day; a position is sold as soon as the price falls 15 percent below its highest level since purchase, the share drops off the list, or it is no longer rated green.

This portfolio buys shares.