Trading U.K stock market using Mark Minervini strategy

-->

14th Dec '18 by unwise2

1516 comments 109004 reads

Mark has been interviewed by Stocko a couple of times and from some of the comments on various threads there appears to be a few of us using his methods to trade the U.K stock market. I thought it would be useful to have a dedicated thread where we can discuss how well its working.

Personally I have been in cash at least 50% since the end of May and at 95-100% since early October. Getting out of stocks as they roll over has protected me from any real damage.

I'm struggling to find many setups I want to buy so I am developing my "sit out power"

How is everyone else doing?

Unlock with Email

Unlock with Google

Already have an account?
Login here

About the Author

Unwise2

Premium Member

1516 comments

MartDK

31st Aug '19

Thanks. I guess the purpose is to get a better yield than the broker's interest rate with negligible risk to capital . If so, you'd need to hold it in the currency you're trading in?

kalkanite

31st Aug '19

I'm no expert but Boohoo (LON:BOO) appears to be making a mini and megastructure VCP. The small VCP starting circa early May with a mega structure starting circa Sept. 2017.

looking like September could be quite an interesting month for BOO if it breaks out.

Rusty2

1st Sep '19

You can trade in various currencies but there is Forex charge of 1% with my broker. PIMCO $ SHRT MATURITY SRCE UCITS ETF (LON:MINT) is traded in £s as listed in London but the fund is in US$s, this ETF does not have any yield.

Rusty2

2nd Sep '19

I have just checked buying PIMCO $ SHRT MATURITY SRCE UCITS ETF (LON:MINT) and it is not classed as a foreign share by my broker HL, so you just buy it in £s and there is no forex fee. Not sure why it is called a Fixed Income fund if there is no income? There are charges on this ETF, I'm struggling to see any reason to buy this apart from it being based in US$s.

Smiley

2nd Sep '19

Hi, does anyone know if the trades MM made when he won the 1997 U.S. Investing Championship have been published anywhere? Would be interesting to see how long he held, where he sold etc, some real trades to learn from. I can't find them on-line.

There doesn't seem to be much about identifying when to sell either, unless that is in the second book?

unwise2

3rd Sep '19

Hikma Pharmaceuticals (LON:HIK) has spent a few more days creating a handle around the top of the base (almost a year long) and has broken out today on what looks like low volume.

unwise2

3rd Sep '19

I don't think historic individual trades have been published. There is some discussion of when to sell at a profit in the second book but it's not as precise as the rules for buying.

Rusty2

3rd Sep '19

Recently he seems to take quick profits around 8-10%. He did publish some trades last year for over a 5 months period. He only held them for about 4 weeks on average. It was about +12% winners and -4% for losers and 53/47 winners/losers. stops this tight would not work very well in the UK market.

unwise2

3rd Sep '19

Mark has considered the market a "hard penny" environment since Jan 18 so his trading style has been defensive. When the market improves I expect Mark will run his winners longer and open up his stops a bit if he makes bigger gains.

Smiley

3rd Sep '19

If anyone is interested MM is hosting a free webinar Wednesday 11th Sept at 21:30 UK time.

“Mark & Dave will be discussing buy points, stop-losses, protecting and nailing down profits - REGISTER HERE> minervini.com/webinar “

(And no doubt a bit of a sales pitch!)

Smiley

3rd Sep '19

Thanks both. Adapt and survive I suppose.

I do wonder about the tight SL's as the bid/offer spreads will take a chunk, especially for the small companies. I assumed the 10% SL was the initial stop until you can see the share behaving as expected and then you'd give it more room. With CANSLIM it's 8% initial stop, can buy more the first couple of times it bounces off the MA50, and sell if it changes character and cuts MA50 (or at least that's one way they suggest)

mikelevie

3rd Sep '19

Herbie - MM is an unapologetic long trader. He positions his current short (SPY) as a hedge for his long trades given the ongoing volatility.

mikelevie

3rd Sep '19

Hi Kalkanite, agree £BOO has potential - it's on my watchlist - but it needs to address 2 issues first: (1) entrenched overhead supply at 245-6p, and (2) needs to tighten up more on the right side. Personally, I'm not a buyer below that 245p threshold.

Smiley

3rd Sep '19

Have you seen Cohort ? If I'm reading it right it's just come out of a base with a VCP, has EPS growth, and a new contract, new 52w high. Looks like a good setup?

unwise2

4th Sep '19

Looking at a weekly chart you can see a base that goes back to April 17. At the moment it looks like you would have to pay at least 466p to buy and the bottom of the handle is 425p. It looks like a VCP setup but the handle is deeper than I would like at the moment and it isn't very liquid.

sharesurfer

4th Sep '19

I would read it as a short base (3 months), with almost a break to an ATH. But I would say it needs to break out to the ATH with strong volume for it to be a pivot point. Having checked the fundamentals.

I would be the first to to say that Unwise2 has a lot more experience reading chart set ups than me so probably listen to him more :-)

As an aside, AFX has been annoying me. Great acceleration in Revenues and Earnings, good catalysts, good TS. And a great trade at 680p a few days ago. Stop would be 650p as a lot support there. So just a 5% SL. Didn't buy principally because the TT was not met and because the spread was too wide. Now waiting for TT to be met and for the spread to recede.

unwise2

4th Sep '19

I would read it as a short base (3 months)

That's a valid opinion, sometimes you can see a cup and handle in the handle of a larger base. Personally I don't think the handle within the 3 month base is very well formed on a daily chart.

MartDK

5th Sep '19

It’s all happening on my watch list this morning - bad timing, I’m on a short holiday!

Smiley

5th Sep '19

How about Future? It just broke out as ‘earnings materially ahead of board expectations’, good earning growth, liquid, volume seems to have contracted, but not sure what to make of the base. Seems to deep for a flat base and not really a cup, but is a nice slightly reducing W ?

Smiley

5th Sep '19

boohoo! ;)

Unlock the metrics for all these stocks and more...

Take a free trial

Facebook Twitter Youtube Instagram RSS

This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.

Unlock the metrics for all these stocks and more...

Take a free trial

Trading U.K stock market using Mark Minervini strategy

Unlock the rest of this article with a 14 day trial

About the Author

Unwise2

1516 comments

Unlock the metrics for all these stocks and more...

Unlock the metrics for all these stocks and more...