Using stock splits as a trading strategy

dawgball

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Feb 12, 2000
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Does anyone here actively use stock splits as a trading strategy?
 

worm44

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Nov 20, 2002
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You have to be careful with splits-there a three major things to look for if you are to invest in a equity that just split

1-When was the last time the stock split? If it was less than say 2 years-I wouldnt go near it--it tells me they are artifically manipulating the stock and thats a bad deal....

2-A stock that splits with a original price under $20-stay away--same reason as #1

3-Definetly BUy a stock that is doing its first ever split (if over $20)-if the company is over 5 years old....very strong trend--check that stat out....
 
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