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The #1 Pattern For New Traders

Timothy SykesAvatar
Written by Timothy Sykes
Updated 7/16/2025 5 min read

In this article Last trade Aug, 28 7:38 PM

  • APM-1.56%
    APM - NASDAQAptorum Group Limited
    $2.17-0.04 (-1.56%)
    Volume:  417841
    Float:  3.84M
    $2.20Day Low/High$2.40
  • NUWE+0.58%
    NUWE - NASDAQNuwellis Inc.
    $5.13+0.03 (+0.58%)
    Volume:  22026
    Float:  721409
    $5.07Day Low/High$5.25
  • YHC-0.02%
    YHC - NASDAQLQR House Inc.
    $0.89-0.00 (-0.02%)
    Volume:  379078
    Float:  10.27M
    $0.88Day Low/High$0.92

Traders who still search for success in the market, it’s easy to feel left out …

Every day in this market, there are multiple +100% spikers.

From yesterday, July 16:

  • A small biotech company spiked 360%* with merger news.
  • A liquor stock spiked 120%* after an investor bought $1.8 million worth of the stock.
  • Another tiny biotech stock spiked 270%* after it announced a new U.S. patent.

In this hot market, there’s a lot of opportunity.

But some people are still missing the best plays.

It’s OK to miss out.

But don’t feel left out.

I can teach you how to trade these plays with a simple pattern that repeats in the market.

You’re still learning, just like a ton of my other students. Eventually this process will click for you.

Look at the post below from one of my up-and coming students.

I had to redact certain values because X doesn’t verify trades:

Source

You’re not too late.

But it might feel like that because of the intensity in this 2025 market.

Do your best to catch up fast!

Yesterday’s +100% Stock Spikes

© 2025 Millionaire Media, LLC

There were multiple opportunities to profit from these spikes.

On the front side, and the backside.

The reason why most traders lose is because they try to squeeze a maximum amount of profits from each stock.

That’s a fool’s game.

Even my most successful student, Jack Kellogg, while trading multiple setups on both sides of the spike, he still misses out on some of the potential gains.

Jack has $21.3 million in trading profits (including losses) after starting with $7,500 in 2017.

Take the same route that Jack took … 

Focus on one key pattern until you’re proficient. Then you can add more patterns to your arsenal as you gain success.

Take a look at the charts below from yesterday’s three runners. In the order that I listed earlier …

Aptorum Group Limited (NASDAQ: APM):

APM chart intraday, 1-minute candles Source: StocksToTrade
APM chart intraday, 1-minute candles Source: StocksToTrade

LQR House Inc. (NASDAQ: YHC):

YHC chart intraday, 1-minute candles Source: StocksToTrade
YHC chart intraday, 1-minute candles Source: StocksToTrade

Nuwellis Inc. (NASDAQ: NUWE):

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

This price action is not random.

The most volatile stocks in the market like to follow a specific framework as they spike.

Watch my video below to see how my students and I trade these runners:

The #1 Pattern To Focus On

There are a lot of angles to profit from these stock spikes.

But the simplest and most recognizable is identifying breakouts on volatile runners with news.

Look below at all three charts again. I overlaid key resistance lines that the stocks broke past.

APM chart intraday, 1-minute candles Source: StocksToTrade
APM chart intraday, 1-minute candles Source: StocksToTrade
YHC chart intraday, 1-minute candles Source: StocksToTrade
YHC chart intraday, 1-minute candles Source: StocksToTrade
NUWE chart multi-day, 1-minute candles Source: StocksToTrade
NUWE chart multi-day, 1-minute candles Source: StocksToTrade

Our goal is to profit from this explosiveness while minimizing our exposure to risk.

Take advantage of the next breakout trade setup.

We see new runners that follow this pattern every week!

Cheers

 

*Past performance does not indicate future results


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Comments (1)
BerehaneJul. 17, 2025 at 10:05 pm

Beautiful great lesson.Thanks Tim!!


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.
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In this article (YTD Performance)


* 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”

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