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Trading Stock Spikes:

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Written by Timothy Sykes Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs
Updated 12/30/2024 4 min read
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It’s Tim Sykes here.

My students get countless chances to trade alongside professionals in the industry.

Last Friday, I traded LIVE from 12 P.M. to 2 P.M. Eastern.

On the livestream, I detailed a possible breakout on Quantum-Si Incorporated (NASDAQ: QSI).

And then the stock followed my trade plan perfectly!

Take a look at the chart below:

QSI chart intraday, 1-minute candles Source: StocksToTrade

This stock spiked 90% on Friday.

Take a look at my trade notes below:

Source: Profit.ly

After my livestream … Jack Kellogg gave his own livestream from 2:30 P.M. to 4 P.M. Eastern.

You have so much opportunity to trade these stocks alongside professionals in the industry.

There are trading live streams this week as well!

Get ready for the next runner … 

Follow Along LIVE

My trading live streams are so important for new traders because hindsight is 20/20 … 

Here’s what I mean: I can show you charts of past stock spikes and show you perfect points to buy and sell, but the process is less clear in real time.

  • There’s emotion involved.
  • The chart is bouncing back and forth.
  • There’s money on the line.

My live streams help traders understand the thought process while the spike is still uncertain.

For example, on Friday, I wasn’t 100% sure that QSI would spike above $3.80 … But I liked the pattern and I found an area to build a position with risk in mind.

We’re putting ourselves in the best position to profit.

More Breaking News

Then we either take strategic profits OR sell before the stock unravels.

The trade patterns tell us when the stock is doing well, it also tells us when it’s heading the wrong direction. The key is to have enough discipline to pull the plug at the right time.

Let your winners run. And cut off the losers.

Understand that even professional traders lose from time to time. But we don’t let the losses extend further than necessary.

For example, take a look at two of my trades from last week. A 5% profit and a 2% loss:

Source: Profit.ly

Don’t feel bad if you take a loss. Smart losses are still good trades.

But you should feel bad if you don’t follow this process …

Follow along LIVE this week to see these strategies in real time.

And if you haven’t yet … Start the 10-Day Bootcamp to ensure that you’re caught up to speed.

There’s a lot to know in this niche. And you don’t want to get left behind during the live stream.

The Bootcamp will take you from zero knowledge, to your first trade in just ten days!

>> Start The 10-Day Bootcamp Today <<

And get ready for more BIG runners today.

 

Cheers.

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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”