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Watchlists-Penny Stock Investment Strategy

Top 3 Stocks I’m Watching Today 💥

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Written by Timothy Sykes
Updated 10/17/2023 6 min read

99% of penny stocks will fail, there’s no denying that…

But as that may scare many newbies away from trading them, it shouldn’t.

Right now, these penny stocks are offering some of the best opportunities in the market…

And I want all of you to fully understand how you can take advantage of these opportunities every single day!

In just a few minutes I’ll be sharing with you three stocks I’m closely watching…

And why they have so much potential in the days ahead.

Are you ready?

I know I am!

Stock #1 Tempest Therapeutics, Inc. (NASDAQ: TPST)

You may remember me talking about TPST last week and it boggles my mind how many newbies tend to forget about it just after a single day.

Just take a look at this chart!

Source: StocksToTrade

TPST continues to get squeezed higher…

And just because it started failing after its initial squeeze, it doesn’t mean you should forget about it.

To put things into perspective, I remember every Supernova play…

And being in this industry for over 20+ years, I’ve learned that previous Supernovas always have a chance to go Supernova again!

Just take a look back at Global Tech Industries Group, Inc. (OTC: GTII) 

Late last week, short sellers thought they finally won the battle and guessed where the top was and were about to send the stock back down below the $2 mark…

But they were wrong.

TPST went from nearly $10 per share down to around $3.50 before spiking back up to over $7 per share in just two days.

I get it, that volatility may seem scary, but we need this volatility to be successful.

When I see a stock spiking like this, I’m looking for that dip-buying opportunity…

Unfortunately, when I travel, I tend to miss out on some great opportunities and we had a decent morning panic yesterday…

Take a look.

Source: StocksToTrade

Here the stock panicked from nearly $7 per share down to $6 as it was getting hammered by short sellers…

But once again, these short sellers got squeezed out of their positions and there was a wall of buyers at $6, which sent the stock squeezing to $9 per share!

Listen, I’m not a genius by any means, but you need to think about different ways to trade.

I honestly don’t like trading short squeezes, but here I am because this is what the market is offering us right now…

And if you want to take advantage of these opportunities, you need to be willing to adjust your trading strategy.

Keep a close eye on TPST in the coming days for more potential squeezes or dip-buying opportunities…

But remember, this play has already spiked down once and short sellers will eventually be right…

So don’t hold and hope for it to squeeze higher.

Stock# 2- Tupperware Brands Corporation (NASDAQ: TUP)

Do you remember this play from weeks ago?

This play is back on my radar again given its recent move higher, just take a look at this chart…

Source: StocksToTrade

TUP announced that it plans to replace its CEO and from that news, the stock spiked higher…

And the last time TUP was around the $1 per share mark, the stock squeezed to $6 per share!

At the time I’m writing this, TUP was spiking over 16%

But if you missed the run-up, it’s not the end of the world…

Knowing the history of this stock and based on my recent trades, I’ll be looking for a solid dip-buying opportunity…

Or for a solid breakout if it’s to squeeze higher from these over-aggressive short sellers.

Remember, you don’t need to risk a lot to make a lot with these plays…

More Breaking News

So don’t think you need to go all in!

Stock # 3- Microbot Medical Inc. (NASDAQ: MBOT)

MBOT was spiking higher based on this successful outcome news from its pivotal pre-clinical study…

Here’s the chart.

Source: StocksToTrade

When we hear the words disease, cancer, surgery…

It strikes fear into many of us…

And when you introduce positive news that could improve patient outcomes, that stock could start to spike.

Looking at this chart history you can see that this beaten-down stock spiked from nearly $1 per share to above $4 per share in a day…

And knowing that, this news could potentially trap these over-aggressive short sellers and spike like it did earlier in the year.

Not every stock I’m watching will work as planned…

That’s why I focus on so many big percent gainers every day to see which ones offer me the best setups to capitalize on.

When you have these small-priced plays with positive news and over-aggressive short sellers lurking around, you can see some amazing opportunities…

But you need to understand how to put everything together and know what your next steps are if you want to be successful in the days ahead.

As we continue to prepare for another day, I want you to focus on these three plays…

Plus every early morning spiker you find…

And when you dive into them, I want you to look to see if there is any news associated with it..

Or if it’s just a giant short squeeze…

And from there, that’s when you’ll want to think about what strategy fits best.

If you’re unsure of what to look for and are just starting, I recommend you start by joining this FREE Trading Session that we hold weekly.

Stay safe and I’ll see you in chat.

-Tim

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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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* 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”