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The Quiet Shift Beneath The AI Hype – Get Ready!

Timothy SykesAvatar
Written by Timothy Sykes
Updated 8/5/2025 6 min read

In this article Last trade Oct, 24 7:44 PM

  • PLTR+2.47%
    PLTR - NYSEPalantir Technologies Inc.
    $184.93+4.45 (+2.47%)
    Volume:  36.84M
    Float:  2.29B
    $180.60Day Low/High$186.17
  • SMXT-3.29%
    SMXT - NASDAQSolarmax Technology Inc.
    $0.98-0.03 (-3.29%)
    Volume:  137948
    Float:  40.51M
    $0.97Day Low/High$1.03

AI growth isn’t slowing down …

Most recently, Palantir Technologies Inc. (NASDAQ: PLTR) spiked to new all-time highs on Tuesday, August 5, after an impressive earnings announcement that was driven by AI and high demand for efficient software systems.

  • The company’s revenue grew 48% and passed $1 billion for the first time in a single quarter.

Look at the PLTR chart below, every candle represents one trading day:

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

The continuous strength of this sector is mind boggling.

Especially when we consider the huge shift in the energy sector that’s underway to accommodate this AI growth.

There’s a quiet rumbling in the market. But it’s growing louder every week.

Look at the recent headlines below:

Source
Source

And a lot of these new energy plays are much cheaper than the AI runners that started in 2023 …

For example, PLTR spiked 9% on Tuesday and reached $176 per share. But little-known solar stock Solarmax Technologies Inc. (NASDAQ: SMXT) spiked 160%* and only reached $2.50 per share … so far.

I traded SMXT already this week for a 17% profit. Look at the breakout from Tuesday morning below.

Every candle represents one trading minute:

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

The best trades right now come from cheap stocks with relation to the AI sector.

And SMXT is just one example …

Watch my video below for the next trade setup:

How I Traded SMXT

I use the same patterns on every stock that I trade.

These trade patterns repeat in the market because people are predictable during times of high stress.

Like when they have a few thousand dollars in a stock that’s spiking +100%.

These stocks can run to insane heights, but they also come with a risk …

Volatility is a double edged sword. And a poorly timed or ill-informed trade can be very dangerous for a trader’s account.

My trade patterns keep my account safe while I profit from bullish momentum on the hottest stocks.

For example, on Tuesday, August 5, I pulled a $1k profit from SMXT as it spiked 160%*.

During premarket hours, the company announced a $127 million battery storage contract in Texas. The stock immediately started to spike when the news was announced.

And that’s when it showed up on the “Top % Gainers” scan in StocksToTrade.

I even laid out my trade plan in the Challenge chat beforehand. Look at my post below:

Here are my trade notes:

SMXT trade notes
Source: Profit.ly

And here’s my trade overlaid on the chart. Every candle represents one trading minute:

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

This price action is not random.

The most volatile stocks like to follow specific patterns.

And in this AI market boom, the potential for gains is unmatched.

Catch the next AI trade setup.

More AI Energy Stocks

Most of the market would turn their nose up at the thought of renewable energy as a key part of the U.S. energy infrastructure.

But since the advent of AI, experts forecast a much larger rate of energy consumption. And the market has gradually changed its tune …

Similar to the production of Bitcoin, AI requires sophisticated and intensive computation power.

One of the main constraints of these systems is the amount of energy that’s necessary.

Major AI CEOs, like Open AI’s Sam Altman, have backed nuclear projects to try and solve this supply issue. But there isn’t a true answer yet.

That’s why we’re also seeing spikes from solar stocks like SMXT.

At this point … every solution is still on the table.

The two main nuclear stocks to watch with a connection to AI are: 

  • NuScale Power Corporation (NYSE: SMR)
  • Oklo Inc. (NYSE: OKLO)

Both stocks are trading near their all-time highs.

And SMXT is the most recent +100% energy stock spike, but there will be more!

Keep an eye on the StocksToTrade scans and get ready for the next breakout setup.

Cheers

 

*Past performance does not indicate future results


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Comments (1)
BerehaneAug. 06, 2025 at 6:08 am

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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