Dow research: How to place a short term bet on stock?

July 12, 2020

Introduction

It is my idea how to write a short article to show me how to find what stocks to bet on when Dow goes up more than 300 points in one day.

Market research

First, I should spend time to get familiar with yahoo -> Finance -> Dow -> top 30 companies first.

And then I have to review those 30 companies and see which one goes up quickly when market opens.

I also need to figure out if DOW is high position, how much risk it is. It is better to bet on SPX 3000 crash on June 26, compared to July 10 5% return on JPM etc.

If JPM stock goes up, then I should bet on small bank like CIT, and then based on my investment experience related to the stock, invest $5000 or $10,000 dollars, and expect to get 5 to 8% return in one day.

Depending on market overall, I should look into DOW one month range, and then feel comfortable to try 3 days return, 5 days return or one month return instead.

The idea is to take some risk, and then try to get to know business better on this market.

Dow went down lowest on June 26, 2020. I should think about what to purchase on June 26, and then later in a week or two, I can sell them with profit.