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Is This The Best $1K A Day Strategy?📈

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Written by Timothy Sykes
Updated 9/12/2023 9 min read

I nearly made $1K in trading profits in the ticker WE yesterday before making one fatal error.

I utilized one strategy to rack up those wins.

And If you’ve been reading the blog for a while, you can probably guess what it is.

If not, then you’re in for a real treat.

Either way, it’s worth a refresher.


Because this is probably the number one strategy, I’m applying to make money in this market.

And I will continue to ride it until it stops working.

Today, I’ll show you how I used it to profit in WE, its mechanics, and what I eventually did wrong to ruin my day.

Before We Get Started: A Word Of Caution

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While the strategy I will share with you is among my favorite to trade in this market, it’s not reserved for big-account traders.

It’s true, I used it to make nearly $1K in trading profits trading WeWork yesterday. However, if you’re a beginner trader, your focus shouldn’t be building up your trading account.

First, you must build up your knowledge account.

Don’t get caught up in the numbers; focus on the process.

That said, this strategy works whether you have a $1000 or $1,000,000 account.

In other words, it’s scalable.

My Go-To Strategy

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If you want to make money as a day trader, you must get comfortable trading volatile stocks.

That generally means trading stocks with some sort of news or catalyst.

In addition, you want to focus on the most actively traded stocks.

Some of the best plays recently have been low-float stocks that have traded the float several times.

And while I do prefer to trade catalyst stocks…I’m often not in a position to trade them right away.

A lot of the time, we’ll get these news alerts in the pre-market.

By the way, if you’re looking for a fast and reliable source, the best place to get real-time, actionable news is StocksToTrade Breaking News. 

That said, I typically don’t trade in the pre-market.

So, three things usually happen when a stock gaps up at around the open.

  1. Bag holders use the gap up to get out of their position.
  2. Undisciplined and newbie traders chase the move up
  3. Aggressive short sellers try to knock down the stock

And while we don’t know who will win the battle, I’m generally looking to play it one way.


It typically happens when the overaggressive longs start puking their position, while the short sellers attack.

I’m waiting for maximum panic situations when considering dip buying opportunities.


Because they create price inefficiencies that can lead to bounces.

I love trading this strategy at or near the open…but lately, I’ve traded it a few hours after the open.

Like in the ticker symbol WE yesterday.

Source: StocksToTrade

You can see and read all about my trades in it here. 


Mastering The Dip Buy

The reason why this pattern is working so well is because the shorts are getting overly aggressive.

And it’s creating massive squeezes.

We’ve all heard about WeWork’s financing issues.

That said, when shorts put on their analyst hats you know a squeeze will likely happen…

They start talking about the fundamentals of the company, and how the stock shouldn’t be up that much…

But here’s the thing…

Stocks don’t trade off fundamentals. They trade off price action.

The law of supply and demand rules the day.

Eventually, these things correct themselves, but most traders can’t absorb the moves, forcing them to get out at the worst time, or stubbornly getting blown out.

Besides looking for a panic…here’s what else I’m paying attention to:

Don’t worry about whether the company is “good” or not. Lately, the worse the company, the better. I know that sounds crazy, but that’s what happens when shorts forget the principle of supply and demand.

Instead, focus on whether it has a pre-market catalyst or not.

  1. If it has a catalyst, watch the volume. Ideally, you want to be trading the heavier volume stocks.
  2. And, of course, it has to be a high-percentage mover. Why? Because shorts think this company doesn’t deserve to be up that much, the more they short, the greater the squeeze.
  3. Trade these stocks; don’t fall in love with them. For the most part, I’m looking at these stocks as plays. Some have run significantly, but I’m not here to chase. I’m here to make a quick move and be out.
  4. Follow the momentum. Pick your spots. You don’t have to be in them the whole day or try to HODL. I ended up trading WE 3x yesterday.

My Fatal Mistake

Trading mentor Tim Sykes realizes he made a trading mistake
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One of the best parts of being a coach and mentor is seeing my students succeed. If I miss a trade and they make in it, I’m just as happy or even happier.

However, my third attempt in WE was around $4.16, and I cut losses quickly on it shortly after it rallied to $6.70.

One of my rules is not to trade these plays near the end of the day. But unfortunately, I was at my screen watching, I was excited and upset I missed my chance to profit from the last runup.

I ended up buying 2K shares at $5.97 at around 3 PM…thinking that was a sufficient dip from its highs of $6.70.

However, it didn’t get back to $6…in fact it started selling off.

Instead of cutting losses quickly, I added to a loser, something you shouldn’t do. I added 4K shares at $5.67.

That didn’t work…and I ended up puking the entire position at $5.54. It wiped out my nearly $1K in gains and then some. I ended up losing -$1,835 on that trade.

And while I’m not happy about the result, I can’t be upset at the outcome. This happens when you break the rules, lose discipline, and overtrade.

You can read the details of the trade right here. 

Want To Find The Next Epic Short Squeeze?

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Ever wondered how to spot a potential short squeeze before it erupts?

The stock market is full of surprises, but you can be one step ahead with the right strategy and know-how.

Let me tell you, it’s not about guessing or using complex mathematical models. It’s about understanding the psychology, the indicators, and, most importantly, the behavior of the market participants.

You might recall my recent trade with the ticker WE, where I raked in nearly $1K.

It was no fluke. It culminates with years of experience, pattern recognition, and knowing when to strike.

Here’s the deal: The current market conditions are ripe for certain patterns, and I’ve honed one particular strategy yielding consistent returns.

Want to know the ins and outs of this strategy?

Want to learn how to spot these squeezes before they pop?

That’s where our live training comes into play.

Join us as we dissect recent trades, break down the core elements of a potential short squeeze, and give you actionable insights to apply in real-time trading situations.

The best part? This knowledge-packed session is available without burning a hole in your pocket.

Are you game?



The market waits for no one.

Make sure you’re well-armed for the next big move.

Seize the opportunity now!

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Author card Timothy Sykes picture

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

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* 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”