Have you ever come across the ‘First Green Day’ pattern in trading?
If not, you’re in for a treat…
And if you have, you know it’s a keeper!
No matter what your experience level is, this pattern offers something special…
It’s a straightforward strategy that traders of all sizes appreciate.
So if you want to know what makes this pattern stand out and why it’s one of my favorites…
You’re going to want to keep reading to find out!
First Green Day
A green candlestick happens when the opening price is lower than the closing price…
And a red candle stick is when a stock opens higher and closes lower on the day.
That makes sense, right?
Let me show you what I mean in the chart below…
Source: StocksToTrade
See where I drew that arrow?
This is why it’s called a First Green Day, it’s self-explanatory…
But when you see this, it doesn’t mean every trader should immediately buy that stock…
There’s a lot more to trading than just that.
As a long-biased trader, I want to buy low and sell high…
And most of the time you’d hear me talk about my dip-buying strategy…
But what I’m going to be talking about today is a little bit different.
When I look to trade a First Green Day pattern, here’s what I look for…
- Big percent gainer with volume.
- Holding gains
- News Catalysts
Since Friday, many of my students nailed their trades on T2 Biosystems, Inc. (NASDAQ: TTOO)
Surprisingly strong $DIA $SPY $QQQ market so far, but more importantly the cheapies are runnnnnnnning, please retweet and congratulate these GREAT https://t.co/occ8wKmT5U students already crushing it today! paulmart: Bought $TTOO @ $0.255 Friday. Sold today @ $0.31 Good start on…
— Timothy Sykes (@timothysykes) October 9, 2023
Nothing makes me happier than seeing my students nail these trades all on their own!
That’s why I’m constantly sharing my thoughts and ideas with you to help you be better prepared and understand how these penny stocks work!
So now that we understand what a First Green Day is…
Let’s take a deeper dive into how I traded TTOO to help give you a better understanding.
All Started Here
Surprise, surprise….
The one reason I spotted TTOO was because it was a big percent gainer on Friday.
This is one of the most important pieces to the puzzle when it comes to trading penny stocks….
Yet I see traders who continue to look elsewhere every time they trade.
You’re going to hear me say it time and time again…
You need to look for those early-morning runners.
Every day I’m scanning the market for some of the biggest percent gainers out there, which helps me decide what my next move is going to be.
If you want to find some of the best opportunities out there in this market, you need to start by focusing on these runners…
And if you’re already a part of my trading challenge, you know how important it is to focus on these types of moves.
TTOO started Friday around $0.22 and closed around $0.26, which is nearly a 20% move…
And It had volume…
And it was holding its gains into the close…
Just take a look at this chart.
Source: StocksToTrade
I bought TTOO at $0.258 and sold it at $0.282 for a 9.3% profit. (Risked $6,450).
As this was a perfect fit for my over-the-weekend strategy, I decided to lock in my profits during the after-hours…
But you’ll notice time and time again that I play it incredibly safe when it comes to trading because I’ve been burned so many times before.
Huge kudos to my students who nailed this trade yesterday as the stock gapped up first thing yesterday morning…
And once again, the First Green Day pattern is still SOLID!
Congrats to those with patience and if you want to know how you can be better prepared in this market…
Tune into these FREE weekly trading sessions to help you improve your game.
I’ll see you in chat.
-Tim
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