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10 Lessons From Student Who Just Passed $100k In Profits

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Written by Timothy Sykes
Updated 1/17/2023 8 min read

Nothing gives me more gratification than one of my Trading Challenge Students hitting that whopping $100k mark** (or, in some cases, like this and this, even more)!

Because the strategy I teach aims for singles, not home runs, the key is having lots of little gains add up over time so that when you make six, or seven, figures, it’s not a fluke.  It’s a very meticulous strategy that’s all about trading like a sniper as I outline here. And, whether the student begins with just $1,500, like this guy, or $27,000, like this guy or maybe even $50,000, like this guy, when you learn to grow your account exponentially, it’s ALWAYS the result of lots of testing, studying, paying attention, hard work, perseverance and…lessons learned.**

And, when my students win, I win and together we inspire the next Trading Challenge Student to either get in the game, step up their game a bit or simply get the proper mindset with a winning and positive attitude…no negativity or BS allowed these days.

So, just weeks after I announced that this dedicated student had passed $100,000 in profits, meet my latest six-figure profit Trading Challenge student, Roland, a dedicated student who just hit $119,000 in trading profits, every trade detailed here.**

I asked Roland to share with us 10 basic lessons that helped him to get to $100k, so the rest of you can see the path and hopefully follow it with a few tweaks of your own.**

This is what Roland came up with and I’m hoping you’re paying attention because these lessons are SOLID:

#1 Put Your Education First!!!!!!!!!!

Before entering the market and risking your hard-earned money, it is vital to invest in your education. It is so easy to fall into the trap of wanting to just jump in and trade, as there is nothing to stop you from opening a brokerage account and trading.

Unfortunately, without first gaining the necessary knowledge on all of the different variables which determine whether you will be consistently profitable, your chances of success are slim to none (remember that a majority of traders lose). It is better to learn from the mistakes of seasoned and successful traders than to let the market teach you those lessons the hard way.

#2 Be Disciplined!!!!!!!!!

As a trader, you have no one telling you what to do, or how to do it. Because of this, it takes an enormous amount of discipline to experience success. You need to have the discipline to study and prepare, late into the night and early morning at times (weekends included). You need to have the discipline to wait for the proper trade opportunities, cut losses quickly and to control your impulses.  Trading is hard, but being disciplined will give you a much better chance of succeeding in the long run.

#3 Patience!!!!!!!!

Patience is a virtue, and it is a definite necessity in all aspects of trading. It takes patience to get through a difficult learning curve, full of losses and setbacks.  It also to takes patience to wait for the right set-ups, and then after entering a trade, to give it the appropriate amount of time to develop (if the chart and price action permit). I still struggle with this at times but am working hard on exercising patience, especially when it comes to respecting my risk levels.

#4 Strive for Self-Sufficiency!!!!!!!

Becoming a self-sufficient trader should really be one your first goals. I admit that when I first started trading, I would impulsively buy Tim’s picks, even though he specifically said not to. My results with this ill-advised strategy were terrible, and I learned quickly not to do it. Instead of trying to get hot picks, you should really be focusing on how to identify potential runners on your own. It is vital to strive for self-sufficiency and to develop the skills that will give you longevity. You will know you are on the right path when you are able to identify set-ups and good trade opportunities, without the assistance of a guru or chat room.

#5 Cut Losses Quickly!!!!!!

This is Tim’s #1 Rule for a good reason. There is no sense in letting one loss wipe out weeks or months of gains. That can be demoralizing and debilitating for any account, large or small. Cutting losses can be difficult, as no one likes losing or admitting that they are wrong, myself included. But, I have always taken this rule to heart and continue to cut them as quickly as possible (sometimes too quickly). I’d rather cut my loss too quickly and see a stock rip back up, than not cut at all and watch it tank. Having trouble cutting losses? Try closing your eyes while you sell or cover! This may be #5 on my list, but it’s #1 when I trade.

#6 Lock in Profits!!!!!

Locking in profits goes hand in hand with cutting losses quickly. Trading can be difficult, so if you find yourself in a winning position, be sure to take the gains while you can. I can’t tell you how many times (especially early on), I was up on trade, but wanted the Grand Slam home run and then watched as my profits diminished to nothing. Since focusing on hitting singles, my results have been so much better.  I aim for singles and lock in profits early. This then allows me to be much more patient and less emotional with any remaining shares that I decide to hold onto.  It is much easier to trade with house money, than your own!

#7 Focus on Preparation!!!!

As with any profession, good preparation can be the difference between success and failure. Trading is no different. I used to get up 30 minutes before the market open, stumble to my computer and then, with one eye opened, try to get my bearings and see what’s “hot.” My results during that period reflected that clear lack of preparation. I now spend several hours a night researching, studying and devising plans for possible trades in the morning. I then wake up hours before the market open, review my plans and I am ready for whatever the market throws at me before the bell rings. Preparation is key and has certainly been a crucial part of my success up to this point.

#8 Stay Humble and Eager to Learn!!!

Though I’ve experienced a bit of early success, I still look at trading as though I was a complete novice.  This keeps me humble and hungry to learn as much as I can, as often as I can.  We are truly lucky to have so much information at the tips of our fingers, particularly in an environment like Profit.ly, and in the Trading Challenge, where we are fortunate enough to be able to learn from elite traders like Tim Sykes, Tim Grittani, Michael Goode, Steven Dux, and Mark Croock. Take advantage of it!

#9 There is No Magic Formula!!

The markets are constantly changing, so as traders, we must also change to adapt to market conditions. It is so important to continue to evolve and avoid being reliant on any one strategy.  I am continuously looking for strategies and set-ups that will give me an edge in all different types of market environments. Trading is not an exact science, so don’t treat it as if it were.

#10 Attitude is Everything!

I believe this to be true in anything you decide to do in life. With the right attitude, anything is possible.  I think this an extremely overlooked quality to have, especially as an aspiring trader. A good attitude and mindset will help get you through the difficult times, and will also keep you humble through the best of times. It will give you the ability to shrug off the bad trades and to learn from them, rather than morbidly obsess about them. The proper attitude will help you cut losses or take profits if need be.  It will get you through that last hour of late night weekend study and analysis. You may not be able to control the markets, but you can control your attitude, and ATTITUDE IS EVERYTHING.

WOW, how awesome of a guest post was that? Please leave a comment below and congratulate Roland, not just on his trading profits, but also on his knowledge and attitude, which you can clearly see throughout this blog post is solid.

So, congratulations and thanks again Roland, for sharing what’s made you successful and for adding to the ever-populated Trading Challenge Student pool with your $100k+ in trading profits.** We’ll be watching for you when you add another zero to your profits as is inevitable when you keep grinding every day and sticking with this positive attitude/work ethic!

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Timothy Sykes

Tim Sykes is a penny stock trader and teacher who became a self-made millionaire by the age of 22 by trading $12,415 of bar mitzvah money. After becoming disenchanted with the hedge fund world, he established the Tim Sykes Trading Challenge to teach aspiring traders how to follow his trading strategies. He’s been featured in a variety of media outlets including CNN, Larry King, Steve Harvey, Forbes, Men’s Journal, and more. He’s also an active philanthropist and environmental activist, a co-founder of Karmagawa, and has donated millions of dollars to charity. Read More

* Results are not typical and will 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

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”