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These 3 OTC Stocks Are Spiking

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Written by Timothy Sykes
Updated 4/19/2023 6 min read

Stocks are selling off, in what seems like a bottomless pit…

The Fed’s latest interest rate hike has investors worried about a possible recession, as all major indices are in bear market territory.

Just check out the SPDR S&P 500 ETF Trust (NASDAQ: SPY), are new lows in the works?

Source:StocksToTrade

But as scary as it looks and feels out there…

I could care less.

Why?

Because my core strategies aren’t dependent on the overall market. I’ve figured out how to profit in all types of markets, and the stocks I focus on are not correlated to the economy, interest rates, or the overall stock market.

As the market continues to bleed red, I am watching these 3 stocks very closely…

The Lingering Side Effects From The Fed

After the Fed announced its expected 75 basis point hike, the market continued its sell-off as traders feared that the Fed may be overdoing it…

As inflation continues to tick higher, it doesn’t look like the Fed will ease back on rising interest rates anytime soon…

Spiking fear into traders as to what steps the Fed may take next if the inflation continues to tick higher…

Will they raise it by 100 basis points the next time…?

Regardless of what the Fed may do, what does this all mean going forward?

Well, today, I have some good news on how these specific types of stocks may be on the upswing…

Are OTCs back?

Are OTCs starting to make a comeback, despite the weakness in the overall market?

It’s been a while since we have seen a lot of these previous supernovas uptrend/spike nicely…

But the beauty behind these previous supernovas is that they have the ability to spike again.

I always remember supernovas as they can have little spurts up, and that is what we are seeing now.

Trading is not an exact science, but these recent OTC stocks caught my attention because of the First Green Day Pattern.

What 3 OTC Stocks I Am Watching

There are 3 OTC stocks I am closely looking at, but what 3 key items in this specific pattern caught my attention?

In The First Green Day Pattern, I look for…

  • Big Percent Gainers
  • Holding Gains
  • News Catalysts

These are all items you should be familiar with, especially big percent gainers!

Everyone reading this, if you aren’t focusing on big percent gainers yet, start doing so today!

A great trade can come up at any time, so let’s take a look at the most recent charts.

Good Gaming, Inc. (OTC: GMER)

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Source:StocksToTrade

Here you can notice GMER has been in a nice uptrend this week as the overall market has been down.

So what is causing this latest uptrend? 

This recent news caught traders’ attention, which brought a significant amount of volume to the stock.

These types of catalysts can help propel the stock upward, even when the overall market is down trending.

Source:StocksToTrade

With every trade, I always like to see where the resistance and support areas are to help with my entry and exit points.

Above you can see that GMER broke through its previous resistance area and has continued its path upwards.

SmartMetric, Inc. (OTC: SMME)

Source:StocksToTrade

SMME had a similar pattern as GMER, but what is causing this significant increase in volume?

SMME also had positive news.

Source:StocksToTrade

As SMME approaches a multi-month resistance, I am going to watch it closely to see if it can break out and move to the next level.

More Breaking News

Global Tech Industries Group, Inc. (OTC: GTII)

Here you can see a significant volume increase with GTII compared to the past 30 days.

Remember, you always want to see what type of catalyst can be moving these OTC stocks.

For GTII, this latest news is what helped propel the stock through its recent resistance level.

GTII tested its multi-month resistance level before it came back down.

Closing Thoughts

The market continues to be pummeled after the recent remarks from the Fed…

But you can see that there are still opportunities if you just focus on these big percent gainers.

With each OTC play, they had a catalyst behind their recent spikes…

But Identifying these stocks is the first step, then applying my fundamentals is the next.

It takes practice and dedication to get to the next level…

There is a lot I can teach you to help you regardless of the market’s performance.

Get prepared and don’t miss the next opportunity!

Study up and stay safe!

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”