Expert: Dr. Joseph de Beauchamp - 2/5/2007

Question
Hi im having a competition in my class for stocks and my plan was to invest in blue chip stocks with a lot of money for a short period of time, maybe a few days, then sell and buy more.  So my question is, is this a good strategy, and what stocks should i be looking at specifically?

Answer
In thirty-two years, I have never recommended short term investments in stocks. Hold for ten years or more. Stocks are better for those that are fundamentalist, and know how to reach a balance sheet, and never buy fewer than ten stock positions for fewer than 100 shares each. You might want to go to the public library and read over the 3000 page valueline, since this is the best way to obtain the information on stocks. After this, I would still tell your teacher that this is not a good way to study stocks, or equities, at all.

Dr. Joseph deBeauchamp