Wall Street Shuffle

17th Nov '17 by buyhard

5 comments 5080 reads

I have now read both Mark Minervini's books (twice!) and I must say I like his approach of using a stock's fundamentals together with TA to time his purchases and exits. But it got me thinking: is this approach valid for any stock market or is it only applicable to Wall Street? The answer is I don't know. I have no reason to think it wouldn't work for London markets but as Mr Minervini made his wealth by investing in US stocks then I am going to try and do the same.

My starting point was to add the United States region to my Stockopedia subscription. I am happy to report that the StockReport screen looks exactly the same as it does for UK stocks. My only (small) gripe is that the news section doesn't give links to the company's news release but just headlines from Thomson Reuters. Maybe that's a good thing as it makes me head to the company's Investor Relations page of their website and read the news from the source. Also when I click in the Discuss tab there is nothing there! I actually like this as in the past I have been swayed by other people's comments, sometimes for the good, sometimes not. Therefore my stock picking decisions will be entirely my own and I will have no one to blame (or praise) other than myself.

Next was to create a Stock Screen to find those Minervini type shares. It would be nice if there was a Minervini Guru screen on Stockopedia that I could have used as a starting point but there isn't so I had to create my own from scratch. I spent a day making the screen; I am not sure if it does past muster as a Minervini screen but it did throw up some interesting stock ideas for me to investigate further.

After many hours of research I decided on purchasing four stocks. These are they:

Carter's https://www.stockopedia.com/sh...
Mohawk Industries https://www.stockopedia.com/sh...
NVIDIA https://www.stockopedia.com/sh...
Planet Fitness https://www.stockopedia.com/sh...

I made my purchases using spread bets. The stocks I chose are very liquid so the spread was quite small. I am not using leverage and I have put in place guaranteed stops if things don't go as planned.

As I said, I am not sure if these…

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Redrichmond

17th Nov '17

I too have paid for US version and raised a number of issues with ED, its a work in progress I believe. Even the discussion boards all point to the UK. Problem with trading with the US is the currency.. You are taking 2 risks.. One with the stock and the 2nd with the currency hit.. Prefer to just take one.

Try reading and let me know what you think of the below book.
"How to Make Money in Stocks: A Winning System in Good Times and Bad, Fourth Edition" by
William O'Neil who does the CAN-SLIM-esque screen in stockopedia

Bypass his adverts in chapter 16 and all the too many charts on chapter one (100 odd) but a very good book as is David Dreman Contrarian investing...

I,m combining minveras momentum investing with William O Neils EPS Growth

buyhard

Thanks for your comments. I did read the CAN-SLIM book but found it quite hard going and I am not sure if its investing style suits my personality. I don't think I am taking a currency risk as I am using spread bets rather than buying the stocks.

Rusty2

I also have some US shares, I think they are probably more predictable than UK ones certainly small caps. Yes I agree not much outside the UK is discussed on here, I would welcome more Euro share discussion. I don't think that US$s are much of a risk at the moment I can see £ falling again. But buying foreign shares there is often a forex cost, not sure how it works on spread betting.

I use SeekingAplha for news and articles, only problem you tend to get too much.

A few to consider: AMAT, ALGN, ANET, CGNX, ICHR, MU, UCTT.

I follow Minervini but he is 95% cash and only holds one long share ANAB.

JohnEustace

Are you able to share your Minervini screen rules?

5th Jan '18

These are the stock screens I created to try and mimic the trends that Minervini looks for in a stock. One screen is for UK only stocks and one is for US stocks. The screen will only throw up potential stocks and obviously each one will need to be evaluated on its own merits. DYOR!

US Stocks: https://www.stockopedia.com/screens/minervini-trends-349213/
UK Stocks: https://www.stockopedia.com/screens/minervini-trends-uk-349258/

Note: as there is no ratio for 150d MA I have used 130d MA instead.

Any comments and/or improvements for these screens gratefully accepted.

Mike

Wall Street Shuffle

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Buyhard

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