Simple. We calculate the gains and losses each month in our sold portfolio, and divide that number by the total sold. As an example, if we sold Google (GOOG) for a 10% gain, Apple (AAPL) for a 10% gain, and Yahoo (YHOO) for a 4% loss, we would have a combined percentage gain of 15%. 10 + 10 5 = 15. Divide the 15 by the 3 companies and you get an average gain of 5% . We do not include commissions in our calculations and all stock positions are treated as equal value, regardless of whether the stock is a $10 stock or a $100 stock. In our calculations, a 10% gain on a $10 stock is the same as a 10% gain in a $100 stock. We keep it as simple as possible and bear in mind that the portfolios we present are hypothetical in nature. None of the portfolios are live portfolios where actual trades are taking place.

Hot Pick Alerts are designed for more active traders and day traders that have significant experience buying and selling stocks. Since many gains are taken quickly, we report results on whether or not the trade ended successfully rather than an actual percentage number. Many of our members use trailing stops to protect their gains while holding on to the stock in hopes of larger gains. Thus, the actual percentage results will vary for individual members. Our goal is to pick stocks that we believe have potential for quick gains of 10% . Sometimes it will be a little more, sometimes a little less.