Swing trading
What is the CAN SLIM investment methodology created by William O'Neil?
By Easy Money Scanner · Educational reference · Not investment advice
The short answer
CAN SLIM is a growth-investing framework developed by William O'Neil that screens stocks on Current and Annual earnings growth, New products/management/highs, Supply and demand, Leadership, Institutional sponsorship, and Market direction.
How it works
Investors using CAN SLIM typically favor stocks with strong quarterly and annual EPS growth, breaking out of proper chart bases with increasing institutional ownership during confirmed market uptrends.
An example
A company showing 25%+ quarterly earnings growth, a new product launch, and a breakout from a cup-and-handle base during a market uptrend would score well on CAN SLIM criteria.
Risk & limitations
CAN SLIM requires continuous monitoring of multiple fundamental and technical factors; strong historical growth does not guarantee the pattern will repeat going forward.
Examples are hypothetical, not trade recommendations. US contract and regulatory references do not automatically apply in Canada. Rules, margin requirements and broker policies can change; confirm them with the relevant authority and your broker.