By Tirthankar Chakraborty
Publication Date: 2026-10-06 18:00:00
For investors looking to maximize their returns in October, high-momentum stocks deserve a closer look. To identify stocks with strong upside potential, investors can adopt Richard Driehaus’s “buy high and sell higher” strategy, a momentum-based philosophy he famously championed, which helped him earn a place on Barron’s All-Century Team.
Using Richard Driehaus’s momentum-investing strategy, NVIDIA Corporation NVDA, TD SYNNEX Corporation SNX and KE Holdings Inc. BEKE stand out as the top momentum picks, offering attractive entry opportunities for investors at the current levels.
How the Driehaus Momentum Strategy Identifies Winning Stocks
Regarding the strategy, Driehaus once said: “I would much rather invest in a stock that’s increasing in price and take the risk that it may begin to decline than invest in a stock that’s already in decline and try to guess when it will turn around.” In line with this insight, the American Association of Individual Investors (“AAII”) considered the 50-day moving average one of the key criteria when creating a portfolio aligned with Driehaus’ philosophy.
It is calculated by dividing the numerator (month-end price minus 50-day moving average of month-end price) by the 50-day moving average of the month-end price. Another momentum indicator — positive relative strength — has also been included in this strategy. A positive percentage 50-day moving average indicates that the stock is…
