Strategy Comparison
Stop loss, break even & profit taking rules — side by side.
| Rule | William O'Neil | Mark Minervini |
|---|---|---|
| Stop Loss | ||
| Max loss per trade | −7% to −8% | −7% to −10% |
| Stop placement | Below pivot / base | Below support / 50-day MA |
| Capital at risk | ≤ 1–2% | 0.5–2% |
| Break Even | ||
| Move stop to entry | +10% to +12% | +10% to +15% |
| Profit Taking | ||
| Primary target | +20% to +25% | +20% to +25% |
| Partial profits | ⅓ position at +15–20% | Scale out on strength |
| Special rule | 8-week hold if +20% in 1–3 weeks exceptional strength |
Pyramid into winners never add to losers |
| Trailing stop | MA, support, etc. | MA, support, etc. |
| Choppy Markets | ||
| Stop loss | −5% to −6% | −5% to −6% |
| Profit target | Take profits faster don't wait for 20–25% |
Take profits faster don't wait for 20–25% |
| Philosophy | ||
| Stock selection | CANSLIM fundamental + technical |
SEPA technical-first |
| Market timing | Critical — bull markets only | Important — more flexible |
| Min risk/reward | 3 : 1 | 3 : 1 |
| Relationship | The teacher | The student who evolved it |
Core principle — cut losses short. Let winners run.