Mark Minervini

Use rules and position sizing to control risk and protect capital.

Contain losses quickly while allowing gains to develop so the upside is captured without excessive drawdown.

Regularly review and refine process, charts, and decisions to improve performance.

Make a trading approach that you can repeat consistently; consistency is the primary goal.

Characterizes how Minervini treats stock selection, market timing, risk management, journaling, and trader education.

Part of the working synthesis emphasizing preparation, timing, management, and repeatability over mere prediction

Volatility indicates market risk; confirming low or acceptable volatility helps avoid being overexposed

Limits losses and preserves capital for repeatable opportunities

To manage drawdowns and protect capital while pursuing outsized returns.

To identify precise entry points and confirm leadership characteristics.

Keeps losses contained so winners can outweigh losers under a favorable R:R

Achieves a 3:1 reward-to-risk ratio when paired with a 5% stop, creating positive expectancy

Leaders are more likely to offer sustainable moves and clearer chart behavior

To find potential leadership and inefficiently priced opportunities for SEPA.

Compounding the edge by taking many independent positive-expectancy bets increases returns

Learning from outcomes improves future decision-making and discipline

To refine the process and learn from past trades.

Precise entries allow better risk control and repeatable execution