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Patterns To Watch

Do You Recognize This GREAT Stock Pattern ?

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Written by Timothy Sykes
Updated 1/9/2023 7 min read

Weed stocks are back in play for a variety of reasons, not just because it’s 4/20 today LOL! Today I’ll share a great stock pattern.

Mostly it’s due to Canada’s pending legalization of weed happening in just a few months from now on June 7, 2018 and so the classic pattern of “buy the rumor, sell the news” is taking place in the weed sector and if you’ve seen my now 5,000+ video lessons, you know this pattern well.

So, it’s nice when a rising tide lifts all boats in a sector, but be aware that every sector, especially the marijuana sector, has both good and bad companies…so which of these weed stocks are good and which are bad?

As I always say, trust in self-made millionaires, not just random people who claim stuff on the Internet and my friend Doug here has been a documented big earner on weed stocks and he’s agreed to host a webinar here in just a few days from now where he’ll reveal 5 new pot stocks he thinks has big upside potential in the coming week.

And because people are always dubious of anyone who claims to have knowledge of a hot sector like Bitcoin or marijuana, I made sure this webinar here, happening on April 26th at 8pm EST was of no charge so you have NO excuse not to tune in…unless you’re lazy…and if you are lazy please get off my website right now as I promise you that we will not get along (ask the too many lazy people who have been in my life if I’m a nice guy to them and they will all emphatically say something like “No, Tim is the opposite of a nice guy, he’s the biggest dick I’ve ever talked to”…to which I’d say, well at least you got off your lazy ass and finally formed an opinion of something so I’m glad I could help you finally do something with your useless life!)

After all, I get along MUCH better with hard workers/dedicated students who are obsessed with finding the best performers in the stock market and those who specialize in a specific pattern, strategy or sector. ..like this guy who is a masterful short seller of morning spikes (I tried and I sucked at it) and this guy is a masterfully patient penny stock trader who holds gives breakouts far more time to show what they can do and has often reaped the rewards of such patience (something that I’ve tried, but could never do) or several of my other trading challenge students who have proven themselves time and again with one or two patterns, NOT being a master of all patterns and strategies in order to become a successful trader as is a far too common misconception that too many people have and message me about.**

Remember, I’m not that great at math or even that smart and I became a multi-millionaire even without having any teacher — although I wish I did have a teacher/mentor so I wouldn’t have made so many boneheaded mistakes along the way, hence why my goal for the  trading challenge is to be the mentor to you that I never had…**

But I digress — maybe because today is 4/20 so I’m not thinking so clearly, but the point of this blog post is that weed stocks are back in play and I’m VERY thankful as Bitcoin and crypto-currency stocks that had been all the rage the past few months have fallen dramatically off their highs and it’s still-to-be-determined if they can come back in any meaningful way (so far their bounces have been weak so they resemble a #6 pattern from this must watch new study guide which means they’re actually good short selling candidates, not longs)

As you can see in the charts below, weed stocks have been the strongest performers the past few days:

…with low priced plays like General Cannabis Corporation (CANN) and WEED, Inc. (BUDZ) roughly doubling in the past week alone while weed-sector leader GW Pharmaceuticals plc (GWPH) has risen nearly 40% and is right at all-time highs now:

…all of which bodes very well for this sector…even though these 3 companies are just examples of the strength in this sector as I don’t think these companies will be the top-performing plays going forward…and to tell you the truth I don’t personally know the best plays in this sector as it’s not my specialty, which is why I’m linking my friend Doug’s upcoming webinar here so many times because myself will be tuning in and listening to what he says as he IS the specialist in this sector and it usually pays to listen to the most knowledgeable person in any given sector.

To this day, I still get too many messages every day like “I know you only trade penny stocks, but what do you think about…” that is followed by an endless number of tickers, both US and international, none of which follow the patterns outlined here that I teach, companies of all shapes and sizes, almost none of which being microcap, smallcap or nanocap, in fact, most being large-cap which I specifically have dozens of video lessons on explaining why I do NOT trade those, various sectors, commodities and random ass charts that have no predictability whatsoever!

Is it any wonder that most traders lose and many of investors fail to beat the pathetically 10-20% per year performing S&P 500? Too many people think the secret to success is playing random ass guessing games where you have no advantage whatsoever and the odds of you being right as so low, you might as well not even guess in the first place!

But that’s Wall Street, and finance, and that’s why so many financial companies are so profitable — they peddle BS and feed the addiction of gamblers everywhere…and that’s also why I specifically do NOT play that game as brokers hate me for telling everyone not to trade as much and to stay away from risky brokers like these, penny stock promoters hate me for exposing how their promotional schemes work in free penny stock guides like this, short sellers hate me for explaining how the game works and which brokers are best for finding shares to short (while also too many of the most successful ones usually forget who showed them this niche and taught them in the first place) and all the while I’ll continue teaching honestly and be cutting through the BS as misinformation gets my blood boiling and it’s not just a job anymore for me, it’s a way of life.

So don’t do me a favor by looking to buy the hottest weed stocks as they ramp higher in the next few days/weeks, do yourself a favor and focus on this pattern that is working well right now and also tune into this webinar April 26th, 8pm EST so you can learn more about this hot sector and find out which companies/stocks are likely to be the leaders.

Please leave a comment below too if you understand what I’m saying as the big money is made over time thanks to repeatable/predictable patterns so hopefully I can at least get through to some of you!

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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”