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Byline: JONAH KERI
Blindly buying stocks off any list is asking for trouble.
During a market correction, three out of every four stocks will follow the major indexes down. Even the best stocks face long odds in such an environment.
While the stocks on the IBD 100 offer more fundamental and technical strength than most any others out there, it's important to recognize each stock's stage of trading. If you buy a stock that's well extended from its breakout, you're only increasing your chances of failure.
Fortunately for market watchers, the Nasdaq and small-cap S&P 600 followed through on new rallies last week. While not every follow-through triggers a new bull market, no new bull market has ever started without a follow-through.
What does that mean for stock hunters? A follow-through increases the odds for a healthy market. If a new bull market emerges, your odds of success suddenly go from one in four to three in ...