Peter Lynch Value

In this time where every financial commenters are talking about strong sectorial rotation from growth to value stocks I decided to publish my Peter Lynch Value indicator.

I wish retail investor might find it useful in this time of FOMO where even junk stock started to growth strong.

The indicator displays two price lines :
Green : Represent the earning per share multiplied by 15 like Peter Lynch showed in his book One Up on Wall Street
Blue : Represent the expected earning per share for the coming period

Depending on stocks you can see that for some price movements are higly correlated to earning.

The price earning threshold of 15 can be adjusted to a different value if you want to refine your analysis.

Basic strategy :
Buy stock when the price is below either the green line, the blue line or both.
Sell when the price is far above either the green line, the blue line or both

For this strategy to be effective you must only buy growing stock, not declining, like Peter Lynch recommends to do.

Feel free to add any comment so I can make improvements on the indicator.