My Friday Trade Setup Keeps Coming Back

Written by Timothy Sykes Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs

Updated 9/19/2025 4 min read

My Friday Trade Setup Keeps Coming Back Thumbnail

In this article Last trade Oct, 10 7:44 PM

SONN-11.30%
SONN - NASDAQSonnet BioTherapeutics Holdings Inc.
$4.20-0.54 (-11.30%)
Volume: 557292
Float: 6.69M
$4.20Day Low/High$5.00
SPY-2.75%
SPY - NYSESPDR S&P 500 ETF Trust
$652.70-18.46 (-2.75%)
Volume: 168.73M
Float: 1.01B
$646.20Day Low/High$673.95

Hey! Tim Sykes here,

The stock market shot to new all-time highs yesterday after the Fed announced an interest rate cut on Wednesday, earlier this week.

As a result, this red-hot stock market just got even hotter.

And there’s a specific setup I’m watching today due to this momentum.

But first, to get an idea of our situation right now, look at the chart of the S&P 500 ETF Trust (NYSE: SPY) below.

Every candle represents one trading day:

SPY chart multi-month, 1-day candles Source: StocksToTrade

There’s money flowing into the market right now due to the lower borrowing cost from the Fed.

And that’s not all … The Chair of the Fed, Jerome Powell, indicated there are two more rate cuts scheduled for this year.

Anyone who thought the market was overextended, prepare to be proven wrong.

Bullish momentum is surging back into the market, and it’s causing small-cap stocks in our sector to spike higher.

I’m looking for a specific entry this Friday afternoon.

I look for the same setup every Friday, and with this week’s bullish momentum, today’s setup could blow off the roof.

Look at the price action below of last Friday’s setup, Sonnet BioTherapeutics Holdings Inc. (NASDAQ: SONN). It spiked as part of a short squeeze after we learned of a shareholder investigation.

Every candle represents one trading minute:

SONN chart intraday, 1-minute candles Source: StocksToTrade

Notice the breakout into the afternoon … The stock pushed even higher into this week.

There’s another explosive move just like SONN setting up today.

Don’t miss the entry this afternoon!

Watch my video below for all the details:

Last Weekend’s Setup

SONN surged into the close on Friday, September 12.

More Breaking News

For all of these weekend runners, the price action is a little unique. But the base framework is the same.

We’re looking for strong stocks that spike at least 20% intraday.

And it helps when the stock follows the specific factors outlined in my weekend-pattern tutorial.

But essentially, we’re looking for strength into the close.

Now, this next part is very important …

A stock that spikes higher right before the close can exhaust the chance of a Monday gap up.

Which means, there are two scenarios for profitable trades with this pattern:

The stock breaks to new highs on Friday afternoon.
The stock spikes to new highs on Monday morning.

Last weekend I took some profits into the Friday afternoon spike. But I let some shares ride over the weekend in case the stock pushed higher.

True to my pattern, the price traded lower on Monday.

Eventually it spiked higher on Tuesday, but I don’t have time to wait around and worry about these plays all week.

Take gains if the stock spikes higher after your entry.

Look at the price action of SONN below form last Friday, every candle represents one trading minute:

SONN chart intraday, 1-minute candles Source: StocksToTrade

Here’s what happened on Monday and Tuesday:

SONN chart multi-day, 1-minute candles Source: StocksToTrade

The momentum in the market right now points to a massive Monday gap up or a huge afternoon spike higher …

Follow my weekend pattern for a proper entry today.

One good trade a week can make all the difference for your account. Start this Friday!

Cheers

*Past performance does not indicate future results

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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.

* 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”