You asked, Sykes and Grittani answered. SUBSCRIBE: https://bit.ly/2MDNeVq to get INSTANT alerts when I post a new video outlining my penny stock trading techniques.*
When do you use pre-market high and lows as critical versus when do you only look at the levels during the normal trading days?
I would use it if there was significant volume pre-market or post-market. If it’s like one little print of a few hundred shares, I’m not going to count that as a pre-market high and say that should be my risk level. Like if it’s something that was trading a couple of million shares pre-market then yeah, that level’s going to matter to me and it’s going to be something I’m going to watch.*
Could you go into details if a challenge student wants to take the step of quitting their job and trading full-time?
The first question you have to ask yourself is can you go a year without making any money or possibly even losing money? I think that’s the number to start with just because, and it depends on how far along in the process you are as well and if you’ve got any consistency in your training already. But plan for the worst case scenario. Last thing you want to do is put yourself in a situation where you’re dipping into your trading account every month to pay bills. I want to like have money in a bank account like off to the side where my trading account is untouched, and there’s just a zero pressure situation.*
Watching SIGA for a 52-week breakout and good news on FDA approval with their smallpox drug. Trying to learn breakouts better. Is it better to wait for a pullback and consolidation on higher loads before looking to buy the breakout?
When I buy a breakout, I’m either buying like the instant it breaks, you know, if it’s past like a multi-month or multi-year high, or if that move happens too fast then yeah, I’m looking for the first pullback.
When cutting losses, do you sell into panics or wait to sell into strengths?
Depends on the situation. If it’s like if I’m long a stock that’s already really, really extended and it’s having a snap, then I’m probably selling the panic like as quickly as I can because I feel like it still has a lot of room to come down. If it’s a setup where like there’s not that much extension on the daily chart and I don’t things could get too much worse then I’ll maybe try to wait for first pop. But then it turns into a battle of making sure I get out into that. Because sometimes I’ll be like oh, well it’s coming back, maybe I’ll break even. And then the next thing you know, it’s back to new lows. So I think usually I’m best off just getting out quickly.
Sometimes you take months off from trading or weeks off. Do you ever get FOMO, fear of missing out?
My vacations have gotten longer because I’ve found that a week doesn’t quite give me enough time to get over that. But once I’m out of it for like two weeks or three weeks, those last couple of weeks, I don’t care anymore. Like I’m just totally detached.
I understand the importance of making the watch list the evening prior when a large portion of the trades have been pre-market on that day. So what is the best way to prep for these daily trades?
Wake up early. I do both. I do my nightly watch list, and that’s great because those are the ones where the setup is already formed a bit and the trade, I feel like is coming to me versus me like trying to guess what’s going to happen. I feel like it’s a very familiar setup. So those are always like my main focus in the morning.
Thank you guys, for all your questions. Leave some comments underneath this video. Remember, this is a process, this is a marathon, not a sprint. You’re in this for life. The stock market is going to be around your entire lifetime, your kids, your grandkids.
* Results may not be typical and may vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here: https://www.timothysykes.com/terms-of-service/. stocks for beginners day trading how to trade penny stocks