Mark Minervini

Describes the focus of SEPA—identifying favorable entry points in leading stocks rather than chasing broad narratives.

Central idea from the strategy origin describing the research-driven basis of Minervini's method.

Evaluate edge by combining your win rate with average win and loss sizes to determine overall expectancy.

A framework to identify low-risk, high-reward entry points in leading stocks using screening, chart signals, and timing tools.

A research-driven framework for finding future market leaders by identifying repeatable traits in past winners.

Emphasis on focusing trading approach to maximize returns quickly and, crucially, consistently.

Increase the number of independent trades to allow probabilities to realize expected outcomes.

Specifies preferred risk-reward targets (3:1, example 15% gain vs 5% loss).

A method to compute effective reward-to-risk by incorporating win rate (batting average) into payoff assessment.

Simple payoff example to show an asymmetric reward-to-risk on a 50/50 outcome.

Warning against trying to time perfect tops/bottoms or capture absolute peaks; emphasizes it's unnecessary and often infeasible.

Positioning of his methods as transparent, rules-based, and focused on repeatability rather than opaque forecasting.

Describes Reinganum's research habit and Minervini's approach to studying top-performing stocks.

Advocates reusing the favorable risk-reward bets frequently to compound returns.

Describes Minervini's methods as intended to be systematic and repeatable rather than ad hoc.

Fix: Adopt systematic, transparent rules based on observable traits of past winners

Overestimating or underestimating true expectancy, leading to poor sizing or strategy choice

Missed opportunities, poor execution, and likely worse results because perfect timing is infeasible