After a particular stock has had it's boom period the chance for the best gains are over. Often buying a booming stock will lead to a capital loss. Take iron ore stocks, It is almost too late to get the best result. BRM was agreat buy 1 year ago but is it great now. Same goes for Coal seam gas. The benefits were there when AOE was 70c, even a few weeks ago I bought at $1.70. Originally buying in the 70c, sold out at $2.77 and bought back at $1.70. They are the flavour of the month at the moment and should rise further but the best returns are for those that got in early.
I bought LYC at 37c. Sold out for $1.30. Once again got in early.
I bought SMY from 32c to 72c , AGM from 33c to 75c. Again got in early.
Then there were others I got into too early, got impatient, sold out and missed out, ORG is a good example, YMLO another as I sold them not wanting to take a risk as they were running out of time.
I'm not talking spec stocks here such as some I'm in, like ADI, AUT, MHL, NSL,IRL,MOG,NWR,PRE,TEY. These are specs that may advance to investment stocks or just be traded.
I mean groups of stocks with proven potential but not yey getting recognition. Is it going to be alternative energy with stocks like EDE , a new mineral group mineral group with stocks like MGO or MOL ( molybdenum), or innovative stocks like ACE ( Natural gas engines), VCR ?(medical) etc.
I like ACE as an investment at this stage. It has been a bit slow and testing my patience but now that natural gas is getting a move on then it follows that anything that helps use the gas should follow. ACE is making sales now from it's proven technology.
Will property stocks return?. Is it agricultural stocks?, with a world wide shortage of food it should be but then which section. In my experience a shortage of a food crop quickly leads to overproduction and price falls.