Minervini Trend Template VCP Screener (W3-T155)

Updated: October 8, 2026 · Author: Jennie Chu · Reviewed by: Gemral Research Desk · Editorial Policy

Minervini Trend Template VCP Screener (W3-T155)

Interactive screening instrument automating Mark Minervini Trend Template 8-point criteria and Volatility Contraction Pattern (VCP) breakout detection. Auditing institutional moving average alignment, 52-week price channels, and asymmetric pivot entry points.

• Trend Template Strictness: 8 Filter Rules — 8 Required Trend Rules
• Stage 2 Momentum Rule: 1.50x Volume Surge — Minimum 30% Above 52w Low
• Hard Risk Containment: 8.00% Max Stop Loss — Absolute Stop Loss Cap

Interactive Trend Template & VCP Diagnostic Engine

Enter current equity price, key moving averages (50, 150, 200 SMA), 52-week price extremes, and contraction count to audit Stage 2 qualification and VCP setup readiness.

• Trend Template Compliance Score:
• VCP Base Tightness Index:
• Breakout Success Probability:

Prime Stage 2 Trend Template Leadership Candidates

• NVIDIA Corporation — [Ticker: NVDA | Company Name: NVIDIA Corporation]
• AppLovin Corporation — [Ticker: APP | Company Name: AppLovin Corporation]
• Palantir Technologies Inc. — [Ticker: PLTR | Company Name: Palantir Technologies Inc.]
• CAVA Group, Inc. — [Ticker: CAVA | Company Name: CAVA Group, Inc.]
• Axon Enterprise, Inc. — [Ticker: AXON | Company Name: Axon Enterprise, Inc.]

Automating Specific Entry Point Analysis (SEPA)

The primary challenge facing momentum traders is eliminating emotional bias and subjective chart interpretation. This screener automates the exact mathematical pre-requisites developed by Mark Minervini in his SEPA engine.

By testing tickers against rigid algorithmic filters, traders can scan thousands of listed equities in seconds, immediately separating high-probability Stage 2 compounders from lagging value traps.

The engine enforces the fundamental rule of momentum: only allocate risk capital when technical trend alignment and volatility contraction converge simultaneously.

Using this screener ensures complete adherence to institutional trend principles before placing any live trading orders.

Auditing the 8 Trend Template Rules Algorithmically

Rule 1: Current stock price must be above both the 150-day and 200-day simple moving averages. Rule 2: The 150-day SMA must be above the 200-day SMA.

Rule 3: The 200-day moving average must be trending upward for at least one month. Rule 4: The 50-day moving average must be above both the 150-day and 200-day moving averages.

Rule 5: Current price must trade above the 50-day moving average. Rule 6: Current price must be at least 30% above its 52-week low.

Rule 7: Current price must be within 25% of its 52-week high. Rule 8: The relative strength ranking should ideally be in the 70th percentile or higher.

Quantifying the Volatility Contraction Pattern (VCP)

A Volatility Contraction Pattern is quantified by tracking the percentage magnitude of sequential price swings from base high to base low.

A text-book setup exhibits 2 to 4 distinct contractions, where each swing is roughly one-half the depth of the preceding swing (e.g., 20% -> 10% -> 5% -> 2%).

As price compresses horizontally near the upper boundary of the consolidation, trading volume drops below the 50-day average, signaling the exhaustion of supply.

When volume dries up and price tightens, even modest institutional buying will propel the stock upward into a high-momentum breakout.

Calculating the Optimal Pivot Buy Point and Risk Stop

The pivot buy point is defined as the peak of the final, narrowest contraction within the base structure.

Entering at the pivot minimizes exposure by allowing a tight stop-loss placed just below the low of the final contraction (often only 2% to 5% below entry).

If the breakout is legitimate, the stock should advance immediately and never violate the pivot low on high volume.

This asymmetric execution mechanism ensures that losing trades are clipped at negligible losses while winning trades compound freely into multi-week runs.

Practical Routine: Scanning and Order Management

Run this screener every weekend and post-market to compile an active watchlist of equities scoring 7 or 8 on the Trend Template.

Flag stocks displaying mature VCP bases with at least 3 contractions and record the exact pivot breakout price.

Set buy-stop limit orders with your broker at 10 cents above the pivot, pairing the order with an automatic stop-loss order.

Maintain disciplined trade journaling to monitor your win rate, average win-to-loss ratio, and execution consistency over time.

Minervini Trend Template Criteria, Volatility Contraction Pattern & Pivot Breakouts

Mark Minervini's Trend Template establishes strict quantitative technical filters to identify market-leading growth equities entering powerful Stage 2 institutional markups. The primary criteria require the current stock price to be above its rising 50-day, 150-day, and 200-day Simple Moving Averages (SMAs), with the 50-day SMA positioned above both the 150-day and 200-day SMAs, and the 200-day SMA trending higher for a minimum of one month.

Within confirmed Trend Template structures, systematic traders search for the Volatility Contraction Pattern (VCP). A classic VCP exhibits a series of successive price contractions from left to right across the base (typically 2 to 4 pullbacks, such as 25% contraction, followed by 15%, then 8%, and finally 3%), accompanied by marked volume dry-ups that confirm institutional supply absorption and the elimination of weak retail hands.

The exact entry trigger occurs at the pivot breakout point—a specific horizontal price level defined by the peak of the final, tightest contraction. Optimal execution requires daily breakout volume to surge at least 100% to 300% above the 50-day moving average volume, confirming aggressive institutional accumulation as the stock clears overhead supply resistance.

Risk management in the Minervini framework enforces asymmetric reward-to-risk asymmetry. Initial stop-losses are strictly placed no more than 5% to 7% below the purchase price, or immediately underneath the lowest low of the final contraction wave, guaranteeing that trading capital is swiftly preserved whenever an anticipated momentum breakout fails to sustain immediate follow-through.