timothy sykes logo

Trading Tips-Tim Sykes Penny Stock

Mark Croock’s Top 5 Trading Lessons

Timothy SykesAvatar
Written by Timothy Sykes
Updated 11/16/2021 8 min read

Mark Croock’s Trading Lessons: Key Takeaways

  • See how this trader took my patterns and evolved his unique strategy…
  • Find out how Mark leverages his negative bias to work for him…
  • Learn from one of my best — and most dedicated — students…

One of the most remarkable trading strategies I’ve seen in 20+ years of trading…

The Student Becomes the Teacher

Back in 2011, Mark Croock applied to be in my Trading Challenge. That was two years after he started in my Pennystocking Silver service. Over the years, I’ve watched as he’s worked so hard to learn my rules and patterns. He always strives to do better.

I respect that. And by applying himself and studying HARD, Mark became a millionaire trader.

Now, he’s an excellent teacher in his own right. You can learn from Mark in the Challenge now. He hosts weekly webinars for students. And he’s evolved my patterns far beyond what I could ever have imagined. Read on to learn more about that…

Here are Mark’s top 5 trading lessons, straight from him.

An Evolved Trader’s Top 5 Trading Lessons

© Millionaire Media, LLC

Hey, Mark Croock here.

In 2018, after years of hard work, I officially became a millionaire trader.

But I started just like so many others — as one of Tim Sykes’ students. I first learned how to trade through Tim’s Trading Challenge.

That’s where I discovered Tim’s “Pennystocking Framework” DVD, which details his 7-step framework. And I saw all the material Tim puts out for traders and students.

I was hooked — rewatching and organizing every webinar and video lesson Tim made. It was my goal to absorb as much as possible.

It’s how I’ve used Tim’s framework to build a career of my own, applying OTC penny stock patterns he taught me to short selling and MORE. See what I’ve accomplished and how you can learn with me here.

Today, I’m paying it forward by sharing the top five trading lessons I use every day.

1. Focus on Ideal Setups

This is big — only focus on the best plays.

If I had to choose one key to my strategy, it would be focusing on volatile momentum stocks.

Recently, it’s been as simple as targeting the single hottest momentum stock that week. In other words, I’ve been trading the news.

These stocks tend to provide the best volume, volatility, and price action for day traders.

Every time I break this rule, I regret it. Do this — and this alone — and you’ll already be ahead of the curve.

How do I identify these patterns? In my opinion, ideal setups contain the following:

  • Above-average volume
  • Exaggerated price action
  • A major catalyst

Do yourself a favor — cut your watchlist down to the stocks that check these boxes — and focus on plays with your highest probability of success.

2. Pay Attention Near Big Round Numbers

© Millionaire Media, LLC

Volatile stocks tend to find support and resistance levels near big round numbers. This isn’t a coincidence.

$50, $100, $500, $,1000 — these numbers (and any other multiple of 10) have a psychological significance in many traders’ minds.

When momentum stocks near these levels, limit sells are set at the same prices all over the market.

This creates natural price resistance. How many times have you seen a stock back off just cents before $20, $50, or $100? This is what I’m talking about.

This principle works the other way as well…

If a well-known stock is dumping, bulls will set limit buys at certain prices on the way down. They’re always there to “catch a falling knife,” so to speak.

Stocks regularly bounce off of these key price levels on the way down, the same way they fade them on the way up.

Bookmark the big round numbers. Watch them closely.

Be ready for a reversal — and you may just catch it at the perfect moment.

3. First Red Day/First Green Day

Some of my favorite patterns that I’ve learned from Sykes are the first red day and first green day patterns…

The idea behind both of these patterns is the same. When momentum stocks hit a big reversal moving into their first red or green close in several days incredible trading opportunities can arise.

I have a negative bias, so I tend to focus on the first red day. I target tops on overextended stocks. Then I wait for the inevitable dump.

This part is crucial entering a short position too early can be a disaster.

Instead, I’d rather risk missing the beginning of the move at the end of the last green day. I wait to see the first red day.

The first red day is often the biggest single-day drop in a momentum chart. This can lead to juicy setups for short sellers like me.

On the first red day, I often eagerly day trade put contracts. When the right patterns come along, it’s important to strike while the iron is hot.

4. Be Aggressive on Perfect Patterns

© Millionaire Media, LLC

I’ve missed a few huge trades this year by second-guessing myself. In hindsight, the chart patterns were perfect.

I’ve learned from my mistakes. If the pattern’s perfect for me — it’s time to be aggressive.

This is especially true for traders with small accounts. Take advantage of golden opportunities when they come to you.

I don’t mean you bet big on a speculative trade. Never risk more than you’re willing to lose.

I’m saying you should take the time to do your homework. Study hard and it will become easier to find conviction in your trading plan.

Then, if the pattern you’ve been patiently waiting for suddenly appears — don’t hesitate. Strike immediately.

5. Know Your History

Here’s another trading commandment I learned from Tim — know your history.

This is so important, yet so many traders miss the historical context of their trades.

No matter what stock you’re trading, you should learn everything you possibly can about its history. Pay close attention to the following historical metrics:

  • Prior price action in the chart
  • The company’s earnings history
  • Major catalysts in the past

Know how the stock has reacted throughout history. Then you can form a strong plan for what may happen in the near future.


These are my trading commandments. I trade by them every day.

My wish is that these lessons will help you as much as they’ve helped me. You can learn more from me in the Trading Challenge. And discover how you can learn with me in a NO-COST live event November 22 at 8 p.m. Eastern.  Don’t miss it!

No matter what educational route you take, remember to work hard and study. You may be amazed at what you can accomplish.

Leave a comment and share your thoughts AND your #1 trading lesson. We love to hear from you!

How much has this post helped you?

Leave a reply

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

* 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”