How I Predicted A 20% Down Move In A Stock & My Subscribers Made Thousands Of Dollars From It
Posted by Timothy Sykes on Wed 4th of Mar, 2009 03:05:53 PMIf it seems like lately every day I have a post featuring my TIMalert subscribers profiting from my picks, it’s because they are. This is a great time short Penny Stocks because it’s soooo easy–after all, if GE, once the world’s largest company, is having problems staying in business, these little pipsqeaks haven’t a chance.
Especially when they’re up against falling commodity prices…and the failing economy…and when they’re running low on cash…and of course my favorite when their debt is waaaay too high, in which case, they are tiny tiny versions of our failing economy.
Bet enough talk, let’s get to what I sent TIMalert subscribers the other day and how it played out:
Trying to short 5k XTEX Here at $1.70…my first trade with my new interactive brokers account, somehow getting canceled, i dont understand it, supposedly 40,000 shares available to short…pisses me off but this is another MIC-situation where the company reported horrific earnings, $1.3 billion in debt, these guys are even exposed to ugly oil/natural gas, probable MIC-type stock price failure over the next few days…i’ll let u guys know if i even get an execution, no wonder why i like Thinkorswim so much better!
That was right around 3:30pm & the stock closed just lower at $1.68 and I never did get filled because IB sucks! (And I’ve gotta get used to the fact that while they have better borrows on these hard-to-borrow names, their customer service and platform pale in comparison to my love, Thinkorswim.) But several of my TIMalert subscribers, like my theory (MIC dropped 30%+ 3 days in a row after their earnings conference call), took the plunge and shorted.
Yesterday, the market/stock started strong–trading at $1.95 premarket and scaring my subscribers (and me, even though I had no position), so many of them covered around the open at $1.70, in fear that a 50% one-day drop might have been too much….basically small losses of 5 cents/share or breakeven. But some held…
And, as you can see from the 2-day chart, that 50% drop was just the beginning–just like MIC:
Of course, anybody whose watched my instructional trading DVDs knows that earnings are just about the only fundamentals variable I care about,s o just as I buy stocks breaking out on strong earnings–HRZ, SFLY–I look to short those breaking down on terrible earnings, especially those who appear likely bankruptcy candidates.
So, check out my instructional trading DVDs, learn the lessons that took me a decade to put together or sign up for TIMalerts so you don’t have to learn, you’ll just continue to be knowledge-less lemmings, unable to adapt to changing markets & patterns. Whichever you prefer is fine by me. The three TIMalert subscribers who really banked on this are all DVD students, 1 even did a 1-on-1 coaching session with me:
Net profit on XTEX was $1354.25 -tbohen
…was definitely sweating at first, but ended up with a $746 profit for the day tim -L.M.
Held on until $1.50, sweet $630 profit from my $1.68 entry, thanks Timmay! -George
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TIM Trades
View All| Date | Stock | Buy | Sell | Net |
|---|---|---|---|---|
| Nov 19 | AENY | $2.80 | $3.02 | $1148 |
| Nov 18 | NLST | $4.16 | $4.40 | $947 |
| Nov 18 | IMGG | $1.42 | $1.64 | $2094 |
| Nov 17 | NLST | $5.04 | $5.59 | $2195 |
| Nov 13 | VRMLQ | $21.50 | $22.97 | $2901 |
| Nov 11 | EONC | $2.61 | $2.80 | $687 |
| Nov 10 | EONC | $2.74 | $3.36 | $9784 |
| Nov 6 | QXM | $4.31 | $4.80 | $1936 |
| Nov 4 | COT | $8.66 | $8.88 | $642 |
| Nov 4 | QXM | $4.61 | $4.89 | $822 |
| Oct 30 | DDRX | $25.70 | $26.53 | $812 |
| Oct 29 | CTDC | $4.00 | $4.42 | $781 |
| Oct 26 | AWSL | $3.24 | $4.10 | $2516 |
| Oct 23 | RODM | $5.27 | $5.23 | $301 |
| Oct 22 | AMLM | $2.69 | $2.97 | $820 |
| Oct 22 | USEG | $6.12 | $6.09 | $85 |
| Oct 20 | CBOU | $8.93 | $9.06 | $243 |
| Oct 16 | VRMLQ | $16.79 | $18.65 | $2773 |
| Oct 13 | YONG | $11.05 | $11.66 | $1202 |
| Oct 13 | NPHC | $0.59 | $0.71 | $583 |
| Oct 12 | IMGG | $0.60 | $0.70 | $682 |
| Oct 9 | ZAGG | $5.50 | $6.10 | $2380 |
| Oct 7 | GVBP | $0.03 | $0.27 | $702 |
| Oct 1 | NPHC | $0.70 | $0.85 | $1482 |
Total: $98,094 (681%)

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