Evaluating trades by risk and reward rather than correctness, Mark Minervini notes

Evaluating trades by risk and reward rather than correctness, Mark Minervini notes
Trade decisions driven by risk and reward

Mark Minervini, an independent trader and educator, said his approach to trading focuses on risk versus reward rather than on being right or wrong. He described this as "Bell Curve Thinking," asking if making a particular trade 1,000 times would produce a winning outcome and whether the potential upside is at least two to three times greater than his stop.

Minervini has previously emphasized the importance of stock picking during periods of elevated volatility, saying identifying top individual stocks is essential in bifurcated conditions. He has also pointed out that many tech names and S&P 500 stocks have experienced substantial declines not reflected in headline index movements. These observations provide context for his risk-focused trading philosophy.

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