How I'm Trading My Top 4 (Part 2)
If you haven’t read my piece reviewing my 2026 short list, it’s essential to do so before I dive into the trade plan framework. Also, here’s part one, in case you missed it. The timeframe for all these positions is a ‘swing-to-position’, meaning if high percentage gains are made in a short period of time, the trade will be exited, but if growth is slower and more linear, the position can easily be held anywhere from quarters to years. The core rules that follow this time frame:
Scale in with levels and DCA, not a one-time purchase
Partial profit-taking is mandatory
Stop losses are mandatory if leverage is used
Let’s dive into these last 2 companies and how I will be trading them.
Bitfarms (BITF)
Bitfarms is certainly in the “speculative industry” category, not one I’m exactly used to. So, with this bitcoin miner going into a full data center, I’ll treat it as the trading vehicle it’s supposed to be and be rather aggressive, unlike the other Mag 7 stocks on the list. As previously mentioned, Bitfarms is moving all of its high computing from bitcoin mining to data centers, which will likely be occupied by a large AI giant willing to pay a pretty penny for the pre-built infrastructure. This was stated to switch in 2027, but anything can happen in the time leading up to this, which is why I label it as speculative. The percentage of capital you spend should be less than what you would spend on a ‘normal’ holding, but enough that you would be happy with the potentially much higher percentage gains; for me, this is around 4-5% of my portfolio.
Entry
A dynamic entry point is mandatory, likely 30-50% down from recent local highs but still able to keep the lights on.
Another dynamic entry point is when Bitcoin is going through a downturn—Bitfarms is likely as well, making it a more optimal buy point. Try to shoot for around 20% down from local highs.
Exit
Based on my research, many people recommend taking profit every 25-40% move up in speculative stocks. Again, this should be dynamic and not a stock you’re married to.
As for me, I will likely sell partially every 50% gain as I’m very bullish on this stock in the coming years (if you are familiar with IREN, you can understand why).
If anything from the industry Bitfarms is in, the high beta it has, or the expected down/up swings it will have scares you, I would not buy this stock. It’s definitely not a usual holding that I write over. It’s the ‘swing’ side in ‘swing-to-position’.
Alphabet (GOOG)
Back to the more ‘normal’ Monk Investments stocks: Google is often called the “King of all AI trades” for 2026. This makes plenty of sense if we look at the data: many people switching from ChatGPT to Gemini, constant infrastructure development, and the many, many more applications Google is piecing together in their unbeatable moat. With a strong rally in 2025, it’s hard to say where’s where for entry and exit points for Alphabet stock. However, one thing remains: bullish conviction for a growing company.
Entry
Tier 1: Start around $325-335 with 50-65% capital. This is at least a couple of percent lower than its current price at the time of writing. However, it’s had a close to 8% rally to start 2026, so it’s not unreasonable for it to level out in this range.
