Momentum is a key factor found across all asset classes. It is persistent and perhaps the most used of the major risk factors. A paper I had not read before provides more light on the topic by showing that you can have both reversal and momentum with 1-month returns if you sort on turnover. The low turnover decile shows short-term reversals, while the high turnover decile shows momentum. See "Short-term Momentum".
Reversal and momentum can coexist once you account for turnover. Large liquid stocks are less sensitive to price pressure effects. The price pressure effect is the main driver for short-term price moves and reversals, but turnover does matter. Don't fight short-term reversal unless you account for the turnover issue.
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