timothy sykes logo

Trading Lessons

Are You Ready For The Market’s Next Curveball? ⚾

Timothy SykesAvatar
Written by Timothy Sykes
Updated 10/11/2023 6 min read

Until recently, the buzz among traders centered around inflation and job data.

But now, with the escalating conflict in the Middle East, the focus has shifted to energy, defense, and security stocks.

The shift underscores a fundamental truth about trading:

The Market Never Stands Still. 

If you haven’t adjusted or are still praying that the markets return to how they were in 2020 and 2021, you’re in for a rough ride.

So, how do you make the right adjustments, consistently improve, and flow with whatever the market throws at you next?


#1 Pay Attention to Market Themes

the bottom line on support and resistance
© Millionaire Media, LLC

Earlier in the year, the market was buzzing about AI companies and how it would revolutionize our lives.

During that hype stage, we saw many “AI” stocks skyrocket.

Those who caught the trend early could make some handsome profits.

Lately, we’ve seen short-squeeze plays being a dominant theme.

But themes come and go.

With all the unrest happening in the Middle East, there’s been a huge focus on defense, oil, and security stocks.

If you haven’t done so, take the time to build a watchlist of stocks in these sectors.

Things you should want to pay close attention to are market cap and float.


Typically, small-cap stocks with low share floats have a greater chance of spiking whenever there’s a catalyst.

#2 Focus On Price Action

There are times when stocks are trending, and times they’re not.

Be observant.

Are huge spikers following through?

Are we seeing stocks gap up and then fade?

Is dip buying working, or do stocks continue to get crushed?

There’s no universal law here…sometimes certain setups and strategies work well…other times, they don’t.

That’s why it’s so important you study daily.

So many traders are waiting for the 2020/2021 markets to return…and are making no progress.

If nothing is holding up, then be quicker to take profits.

The only way to know this is by reviewing the best trades and your own.

#3 Focus On Yourself

top penny stocks list Tim Sykes on a cliff in Italy with a laptop
© Millionaire Media, LLC

You should always focus on your journey first.

I trade to teach. I don’t trade to make lots of money.

That said, we could have totally different goals.

That’s why I don’t want my students copying my trades.

Always make the trade yours.

Learn from what I’m doing right…and learn from my mistakes.

You don’t have to trade every day, but if you can, study and learn every day.

This isn’t a sprint…it’s an ultra-marathon.

It’s okay if you don’t trade for a day or two because you want to collect your thoughts or if you have some personal things going on in your life that have you preoccupied.

Good trading requires a high level of concentration. If your mind isn’t in it…then don’t trade.

I’m constantly adjusting my trading to my hectic travel schedule.

Take care of yourself, focus on yourself, and don’t worry about how much money the next person is making or losing.


Ready to Master the Ever-Changing Market Pulse? 📈

© Millionaire Media, LLC

In a world where the Middle East situation influences small-cap sectors and market themes are ever-evolving, it’s not just about tracking trends – it’s about understanding them before they become the mainstream focus.

🔥 Remember the AI stocks surge? The focus now is on the defense, oil, and security sectors.

🔥 With themes coming and going, are you equipped to stay ahead and adapt?

🔥 Realize that while the market never stands still, neither should your learning curve.

🔥 The key isn’t merely to observe and act with informed decisions.

But here’s the real question: How do you ensure you’re not just reacting but proactively setting the pace for your trading journey?

🚀 Join our LIVE training session and become part of an elite group who are always one step ahead.

🚀 Delve into live market analysis and understand the importance of self-reflection in trading.

🚀 Witness firsthand how to turn market uncertainties into tangible opportunities.

🚀 It’s not just about making the trade, but making the right trade for YOU.


Are you geared up to chart your path, decipher the market’s nuances, and remain unfazed by its curveballs?

Your Ultimate Guide to Navigating Market Volatility is Here.



Post image

Get my weekly watchlist, free

Sign up to jump start your trading education!

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”