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Bob Miller's FreeStockSystem
A Free Stock System
Hello, I'm Bob Miller. You can put
your charge card away. You cant buy, lease, or rent my money making free stock
system, but you can use it free of charge. I have not tried Stephen Cooper's system above,
but I have received emails from those who have, and all were complementary.
This stock system works for the small investor as well as
it does for investment groups who buy ten thousand shares. Its a simple mathematical
system that works exactly the same way every time. There is no system I know of
that offers the protection against cheap crooks in expensive suits like the FreeStockSystem.
This system forces the investor to take short-term profits. Since the shares held for
long-term profits are FREE, loses are confined to potential profit, not investment
capital.
The FreeStockSystem spread worldwide
in less than two years. What really pleases me is the fact that investors are finding ways
to personalize it and improve it.
This system is as simple as 1, 2, 3.
1.
Stock ABC is selling for $1.00 a share. For this example, let's buy 1,000
shares. That's $1 X 1,000 shares = $1,000 plus commission (I use Scottrade® for two
reasons: $7 per transaction & excellent service). Therefore, stock ABC cost us
$1,007.00 or $1.07 a share. Commissions are higher on foreign stock, stocks under a
dollar, and broker-assisted transactions.
2. Our
goal is to sell 900 shares of this stock for the total amount invested, including the sell
commission. I immediately place an "All or None" limit sell
order for 900 shares. Limit orders cost $12 + ˝% of principal. I simply double the
estimated commission fee for selling.
3. We
now have ABC listed to sell automatically at a $1.16. That's $1,007 + $34 (estimated
fee for selling X 2) = $1041.00 ¸ 900 = $1.16. The moment this stock sells, we
have recovered our entire investment plus a few extra dollars of cash profit, and we have
100 shares of ABC free. The fastest turnaround time to date has been 35
minutes. Some investors tell me that they buy 3,000 shares and sell 2,700. This system can
accommodate the 100 shares buyer just as it can the 100,000 shares buyer. Keep it apples
for apples and it will work the same way for both the small and large investor.
An actual buy and sell: I bought 1,000 shares of SWC on 03/18/03 -
Total cost $2,612.00 - Sold 900 shares on 03/20/03 for $2,624.92 - Return on investment:
One hundred "free" shares of this stock and $12.92 cash.
A
perfect example of the types of stocks best suited for my FreeStockSystem is INFS. Volatility is a key factor
to consider. The higher the better.
Based
on emails I've received, this system works well for individual investors as well as
couples or investment clubs.
Some
of the questions I've been asked include, "What happens if the stock goes down?"
and "What are the advantages of the system other than getting 100 shares free?"
and "What do you do with the free shares?" The
#1 question since posting my FreeStockSystem,
"Why are you sharing this information?"
- If a
stock drops 80%, in late-December I sell it and take the write-off.
- This
system has several advantages. It allows me to keep a small amount of capital working
in many different stocks and sectors. It also helps develop an in-depth knowledge about a
stock's tendencies. I have gotten to know the daily movements of certain stocks and
can buy and sell them again and again with confidence.
- I do
not lock the free shares away in a chest. If a stock reaches ten times what I paid
for it, I'll sell it in hopes of buying it back at a lower price. This limits the
upside, but in my opinion, it's like the old saying, "A bird in the hand is worth two
in a bush."
- Why am I sharing this system? Because I enjoy doing so.
- There's always some stress associated with investing.

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