Mark Minervini thinks that the next amazon is the time to start looking. This can end up being a company you’ve ever heard. – Mark Minervini
Numerous periods “Great Seven” shareholders “The advantage of numerous periods is historically unusual – the fact that long-term dominance for these seven major technology reserves is called Mark Minervini, twice the US investment champion.
In an interview with Marketwatch, the Wall Street veteran, which has traded in almost four decades, said the speculative nature of the stock market was not a security line for any share. To drive his point home, he reminded him of a “fifty-fifty” group consisting of 50 large lids leading to the market in the 1960s and 1970s. Only one handful of shares from this group, American Express Co AFD and Coca-Cola Co. Like KO, not like others and polaroids.
Minervini is known for the presence of two-story winners of the US Investment Championship, first of all ranking the first place In 2021 by 334.8% annual return. In 1997, he also won the competition by 155% refund. The next wave of investors who teach the most investment waves of his career teaches how to find fundamental and technical analysis using fundamental and technical analyzes.
It is one of its main guidelines, when managing basics, you can not always see the basics – but the basics can improve or reduce the technicalities from the public.
This is always looking forward and factoring in future expectations when Wall Street always evaluates current stock prices. “The Discount Mechanism of Shares” is where it enters. This means that when there was a great news or profit, so investors must assume that this was taken from the price.
“Sometimes the stock market will earn a great profit, and it will be overthrown or gives a terrible profit and all these bad news goes out, and therefore” buy rumors, buy news, buy news. “
What does your discount mechanism mean for magnificent seven, do you ask?
Well, Minervini believes that so much positive information has already been discounted for the place where these shares are trading. Although these shares are withdrawn in recent weeks, all the magnificent seven companies other than Tesla Inc. have a trillion dollar-playing market capital. This means that there is less space to be superior to them for a long time. This was not over for the great technology, but most likely noted that the market performance progressed.
Investors should be more voter if they want to continue to pick up performance in technological stocks. Remember that Minervini, at once Amazon.com Inc. Amzn and Microsoft Corp. MSFT’s Midcap companies were Midcap companies that many people heard. He believes the time to start looking for the next amazon.
“The good news is that the American innovation is completely developing and there are many companies that add them to that picture,” he said Minervini. “And therefore there will be many new companies.”
Some of these companies still have not heard of many investors. It can even be instructed to provide and serve the magnificent seven.
So how do you find them?
If the new leaders are a few criteria to stain, the main ones (1) stocks, 200-day moving average and (2) stocks are stocks with a medium-level average of 200 days.
“If you are looking for a stock with a great winner, the main criteria are the most important criteria.” Said Minervini. “If you return in the last 100 years and look at the largest winning shares, 99% of them made their greatest movements in 200-day 200 days. Thus, would you like to be in 1% club or 99% club?”
Additional criteria (3) shareholding includes 52-week height or near.
If the shares exit a bear market, seek the best detacts and lower parts behind the relative base.
Now some of these rules are against what the fundamental value can look for. A value investor is generally great, which trades near the 52-week heights, which is generally large, and is looking for a beaten shares in bad news. Minervini said that both strategies could make money.
“But if you want to find out where the management is, leadership is never a 52-week low list,” Minervini said. “Always close to 52 weeks highlist. The only way you can go from a stock to 100 to 100 should be a new height.”
