Tim Sykes’ Weekend Pattern: Key Takeaways
- Learn the pattern with the potential to make you money over the weekend.
- Find out how and why it can work…
- Want to stay safe and potentially profit at the same time? Check this out…
Imagine this scenario…
You place a trade before the market close on a Friday. Then you walk away and have a stress-free weekend away from the markets. When you log back into your account Monday morning you see your position jumped 10%. And that’s on the low end.
Even better? You don’t have to check your account until the market opens again on Monday morning. That’s because the stocks I play don’t trade in premarket or after hours. That’s the beauty of trading OTC penny stocks.
All this is what makes my weekend pattern beautiful. Let’s get into it!
Table of Contents
Understand Why Patterns Work
Day traders like me use patterns to guess what a stock might do next. It’s far from a foolproof system. As I often say, trading isn’t an exact science.
Traders also use indicators in conjunction with patterns to help strengthen their convictions. I have 7 indicators I use for every trade.
There’s a reason patterns work: Trading is emotional.
When people get emotional they become predictable. Traders are no different. It’s all about being able to think how your opponent thinks.
When specific things happen in my niche, there are predictable outcomes. But only if you can recognize the pattern. Does that make sense?
The reason most traders lose is that they’re not prepared. They haven’t studied enough to recognize the patterns. Then they get emotional. I teach my students to patiently wait until it’s the perfect time to strike. Trade like a sniper.
How My Weekend Pattern Works
I’ve been over this strategy so many times. I thought it would have stopped working by now because I keep telling everyone about it. But without fail, it keeps happening.
Basically, it boils down to hype and information inefficiency.
Every Friday I scan for stocks that are up on news. If I like the news and the chart I’ll buy them before the market closes.
Remember that OTC stocks don’t trade premarket or after hours. So everyone who hears the news after 4 p.m. Eastern stacks their buy orders on top of each other. Then they all get executed at the market open at 9:30 a.m. ET.
All I have to do is sell at the open into all the buying pressure. That’s called selling into strength. Pretty great, right?
The main idea of this strategy is to watch stocks up on news. Anything up on news on a Friday could have legs over the weekend.
How to Stay Safe With My Weekend Pattern
So what happens when this pattern doesn’t work? It’s not an exact science, so it’s bound to fail sometimes.
I have two main strategies for staying safe…
Cut Losses Quickly
This is the #1 rule. If my strategy doesn’t work, I get out.
Some people say, “Tim, I held a losing stock before, and it came back. Maybe you’re just early.”
I don’t care. I’d rather be out early with small losses than have to sit through hours of bag holding. That’s excruciating for me. Also, every minute I waste in a bad position means I’m missing potential spikers.
Buy on Support
This is my second rule. You’ve gotta know when to buy these stocks. If you buy at the wrong time you could take an unnecessary loss.
The phrase “buy on support” might confuse you. I’m talking about support and resistance lines. Learn more about support and resistance here.
Here’s a video if you’re more of a visual learner.
Bottom line: Penny stocks are a dangerous niche. Learn the right rules to be safe. Volatility lurks around every corner.
Sure, sometimes volatility is good. It can make stocks spike big. But it also makes them crash.
Now that you know about my weekend pattern, go look for more examples in the market. That’s how you can best use the information I’ve given you.
And you can read these past posts to gain a better understanding …
- Friday’s PERFECT Example of My Weekend Trader Strategy
- Solid Lessons from My $6,476 Weekend Win
- How I Made $2,236 on a Friday Afternoon Selling WAY Too Soon!*
I often say you have two accounts — your knowledge account and your brokerage account. You have to grow your knowledge account before you can think about the money.
Take time to digest what you learned here, then see if you can confirm it.
That’s how all my top students began their journeys as millionaire day traders.* It took a lot of time and effort, but hard work can pay off.
If you think you’re ready to take the next step in your trading career, apply for my Trading Challenge. Heads up: I don’t accept everybody…
Our private chat is full of dedicated students ready to learn. I can’t risk clogging up our chat channels with newbies who won’t put in the work.
Keep studying every day if you want to attain your goals. It’s true that anyone can become a day trader. But you’ve gotta be able to put in the grit.
Tell me what you think of my weekend pattern. What tickers can you find that show good examples? I love to hear from all my readers.
*Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. Most who receive free or paid content will make little or no money because they will not apply the skills being taught. Any results displayed are exceptional. We do not guarantee any outcome regarding your earnings or income as the factors that impact such results are numerous and uncontrollable.