Momentum Breakout Strategy

The Momentum Breakout strategy is suited for aggressive, short-term, active investors. The strategy is designed to hold up to 20 stocks in its portfolio, with a maximum of 5 stocks in one industry group. The strategy emphasizes stocks with current prices that are close to their 12-month high price. Importance is also placed on stocks with high earnings estimate revisions and prices that are rising versus their short-term average price. Stocks are screened to ensure they have minimum liquidity, analyst coverage, earnings surprise and next quarter earnings momentum as well as positive current year earnings estimates and earnings estimate revisions.