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Watchlists-Penny Stock Investment Strategy

I Told You To Watch For These Stocks …

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Written by Timothy Sykes Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs
Updated 2/18/2025 5 min read
I Told You To Watch For These Stocks … Thumbnail

In my blog from last Wednesday, February 12, we covered my most effective process for finding trade opportunities.

Here’s the blog.

And less than a week later, we’ve seen multiple opportunities to profit from massive stock spikes using the exact process that I shared.

We’ll cover two of the most recent opportunities in this blog.

  • ScanTech AI Systems Inc. (NASDAQ: STAI) spiked 110%* on February 18.
  • Allogene Therapeutics Inc. (NASDAQ: ALLO) spiked 160%* in two days starting February 14.

We got trade alerts for both of these stocks.

Here’s an example of a trade that I made from these spikes:

Source: Profit.ly

Let’s review these trading opportunities in today’s blog.

Because there will be more this week!

How I Find Trade Opportunities

© Millionaire Media, LLC

STAI started to spike on Tuesday, February 18 after the company announced an agreement with the Virginia Department of Corrections to combat contraband in correctional facilities.

It’s a U.S. government business agreement for AI technology … And it’s a perfect catalyst for a stock spike.

Plus, StocksToTrade shows that the float was only 2.4 million shares at the time of the spike. The low supply (below 10 million shares) will help the price spike higher when demand increases.

For any savvy trader, this stock was a no brainer.

But you don’t need to be an expert to find these plays …

StocksToTrade’s Breaking News system alerted the move right when it started!

You can see the alert overlaid on the chart below. Every candle represents one trading minute:

STAI BN alert
STAI chart intraday, 1-minute candles Source: StocksToTrade

The price spiked even higher that afternoon.

Look at my trade notes again … I found this stock early because I got the Breaking News alert:

STAI stock trade with notes
Source: Profit.ly

I made another trade on it too …

Breaking News gave me enough time to find two solid setups on this runner.

Here’s my second trade:

STAI stock trade with notes
Source: Profit.ly

Get the next Breaking News alert!

Then watch for the stock to spike and confirm the bullish momentum.

We only want to trade the hottest stocks.

ALLO Trade Opportunity

© Millionaire Media, LLC

On February 13 during after hours, ALLO announced the publication of bullish data from its phase 1 trials of a treatment for Lymphoma.

The stock spiked 48% by Friday afternoon, on February 14.

And at 3:15 P.M. Eastern that day, my AI-trading bot alerted a 74% gain opportunity …

Take a look at the alert overlaid on the chart below. Every candle represents one trading minute, from Friday to Tuesday:

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

I could have made this trade but I was exhausted after a long week of trading.

And I wasn’t psyched to wake up early on Tuesday morning.

I cut my weekend trade on Recursion Pharmaceuticals Inc. (NASDAQ: RXRX) for the same reason. Take a look at my trade notes below:

RXRX stock chart with notes about entry and exit
Source: Profit.ly

I missed ALLO but there’s always another trade to make around the corner.

And these trading tools will always be here to help me find solid setups.

Get the next AI-trade alert from XGPT.

Make sure that you’re prepared for the next hottest stock spikes!

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”