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Trading Tips-Tim Sykes Penny Stock

The #1 Time To Trade Right Now

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Written by Timothy Sykes
Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs
Updated 1/22/2025 6 min read

We spoke about the best times to trade in this blog.

But I’ve since revised my thesis …

In this 2025 market, I found the #1 time frame to look for stock spikes.

Make sure to wake up and check the market at this time every day!

For example, yesterday, I traded Asset Entities Inc. (NASDAQ: ASST) during this time frame when the stock matched my trading pattern.

Take a look at my notes below:

ASST trade recap from Tim Sykes
Source: Profitly

I wasn’t the only trader to find this setup …

The post below is from a trader in our community:

Twitter post about stock trade
Source

ASST spiked 210%* yesterday, Tuesday, January 21. There was a ton of opportunity on the table!

My trade only measured 10% of the total move.

We could see ASST continue its volatility today, Wednesday, January 22 …

But I’m most interested in new stock spikes that are moving within this specific time frame:

My Favorite Time To Trade

sun coming in on Sykes - arms out
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ASST started spiking before 5:10 A.M. Eastern during premarket …

And I first bought shares at 6:06 A.M. Eastern …

But the real opportunity started at 7 A.M. Eastern. Take a look at the chart below, every candle represents one trading minute:

ASST stock chart
ASST chart intraday, 1-minute candles Source: StocksToTrade

7 A.M. Eastern is when a lot of brokers open for the day.

It’s the first opportunity for a large cohort of traders to buy or sell shares. As a result, we see a lot of volatility around this time.

Here’s another example from yesterday, Helius Medical Technologies Inc. (NASDAQ: HSDT) spiked 110%*. And it started exactly at 7 A.M. Eastern!

On the chart below, every candle represents one trading minute:

HSDT stock trade recap from Tim Sykes
HSDT chart intraday, 1-minute candles Source: StocksToTrade

Want another example??

This is another spike from yesterday … INNOVATE Corp. (NYSE: VATE) first spiked 70% during after hours on Friday.

And on Tuesday morning, the price rallied after brokerage accounts opened at 7 A.M. Eastern.

On the chart below, every candle represents one trading minute:

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

For the strongest spikes every day … Wake up with enough time to watch brokers open at 7 A.M. Eastern.

That’s when a lot of bullish momentum hits the market.

We’re not buying shares at random throughout the day. There’s a science to this.

Mentor note: We CAN trade premarket. In some cases you have to call your broker and maybe sign some waivers. Make sure that you’re prepared to make a trade during early hours!

How To Trade

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It’s one thing to recognize this momentum at 7 A.M. Eastern … It’s another thing to trade the momentum for a profit.

This is the framework that my students and I use to trade.

There are multiple trade opportunities within the framework. And the pattern that we use depends on where the stock is in the larger life cycle.

The “life cycle” part is very important …

These stocks don’t spike forever. There’s a beginning and an end to the momentum. That’s the nature of a sketchy penny stock spike.

Our goal is to profit from the momentum before the life cycle ends.

Traders who show up at 7 A.M. Eastern are in a better position to profit because the spike is at the beginning of the framework.

That’s when the stock has the most upside.

Now, understand that we’re never certain the spike will push higher. We’re just trying to put ourselves in the best position to profit. That’s all we can do as traders.

For my newest students, this process can be scary.

  • There’s money on the line.
  • My students are working with a new process.
  • These stocks make BIG moves.

Luckily, you don’t have to build positions on your own!

Over multiple months, I trained an AI bot to follow the hottest stocks in the market that match my framework.

And yesterday morning my students could have prompted the AI with the ASST ticker … It would have spit out a trade plan that matches my process.

Not sure where to find these runners at 7 A.M. Eastern?

Don’t worry, it’s not hard. Open your StocksToTrade software and look at the “Top % Gainers” scan. It’s already built into the platform.

Take a look at the example below from yesterday:

stock scan image - list of top stocks

Prompt this AI with the hottest stocks today!

And make sure to set your alarm for tomorrow’s strongest stock spikes.

I know that it’s an early wake-up time. But sacrifices must be made for success!

Trust the process.

Every day there are new traders who realize the potential in this market.

Listen to the wise words of my existing students:

7:13AMGabriel900 → timothysykes:when I joined the student challenge I was skeptical at first but with Tim, Jack, yourself and others kicking my ass I finally feel I’m turning the corner understanding my risk/reward/strategies…you guys rock!

Thank you, Gabriel. YOU rock.

Let’s keep rocking together!

Cheers.

 

*Past performance does not indicate future results


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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”