Check Chart Before Making Buys Or Sells.(B)

Byline: CHRIS GESSEL

The Investor's Business Daily 100 focuses on some of the fastest growing businesses in the U.S.

The list gives you insight into the sectors driving the economic rebound. Retail, medical and Internet companies all figure prominently.

It also tracks some of the most powerful stocks in the market. The median gain during the past six months? This week's lineup has rallied 98% vs. 20% for the S&P 500.

But don't confuse the IBD 100 with some sort of buy list. Instead, use it as a watch list to uncover potential winners for your portfolio.

Blindly purchasing these top-rated companies solely because they appear here each week is a dangerous proposition.

The reason? Nearly every outstanding market leader looked perfect on a fundamental basis at the very top of its massive run. Earnings and sales were surging. Profit margins were fat. Analysts were falling over themselves to raise their price targets.