Mark Minervini

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

Small percentage gains compounded over multiple iterations can produce outsized aggregate returns.

Multiple modest, successful trades compounded over time can match or exceed rare large winners while offering more opportunities.

Modeling trades as repeated independent bets with asymmetric payouts to evaluate long-term profitability.

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

Using a simplified probability assumption about price movement after the buy point.

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.

Creates an objective reference for position management and risk assessment

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

Smaller targets are easier to find and allow more frequent compounding of returns

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