How My Latest $400 Profit On Arena Pharmaceuticals, Inc. (ARNA) Proves You Have To Be Quick When Buying In This Market

Posted by Timothy Sykes on Thu 5th of Mar, 2009 06:00:19 PM

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Looking at this chart of ARNA, you must wonder why I chose to buy ARNA on the dip:

As I told TIMalert subscribers on Feb 24:

Bought 2500 ARNA at $5.14…1st up day after several down days…i’ve been saying for days, it’s still got the hype and over-aggressive-short-sellers can get squeezed…upgraded by an ANALyst today…good news is it’s just above the $5 level which acted as resistance a few days ago…so now $5 is support (potential loss of 14 cents/share) and new resistance is the day high at $5.16 and even moreso at $5.20…so far good morning spike/sideways price action to hang near the highs–just waiting on potential breakout today or tomorrow…then some multi-day resistance at $5.40, but if it can break those, we can get a serious short squeeze/momentum-based rally back tot he mid to high $5s…low risk/decent return play here…aiming to make 50 cents/share in the next 1-2 days as the stair step pattern that led it down works its way back up, ideally with morning spikes each day followed by sideways price action, just like on the way down.

For you see even though ARNA did indeed continue breakdown on a daily basis, I profited from that little bump in the chart, finally timing something perfectly:

Sold ARNA at $5.31, Nice Safe Profit…sold for $400 profit in 2 hours, nice and liquid, i see dozens of subscribers got in with me, great solid chart pattern, but this is a market-related move, i’m not going to risk it overnight and remember there’s resistance at 5.40, and then of course there’s the people expecting the resistance so they put in their sell orders in at 5.38, 5.37, even 5.35. this was a great scalp, as ugly as that word is, thats what the markets is bearing right now…still watching ANDS for possible short later if it cracks $6.90 (probly not though since it’s illiquid and if the market’s gonna rebound big) and ZN for possible short too.

Obvioulsy I suck at buying so I’m more than happy with my gains and considering my alert was a buy–my subscribers prefer buys to shorts because they’re easier–and the stock was extremely liquid, several TIMalert subscribers profited alongside me:

Long ARNA @ 5.11, closed at 5.26. +$360 –examine

Blegh… +$150 on ARNA…Oh well paid for 5 months of malt liquor for Tim-TBohen

Made $134, Tim. Paid for my first month’s subscription to TIMalerts.-Sam

Im out $70 profit in an hour, im happy. Thanks Tim :) –Spit

out at 5.30 with a quick $100, i’ll take it! –jkart

in 5.13, out 5.27 for small gain, nice pick -rassoodock

Let this trade and the 2 failing biotech charts below be a lesson to all you poor people–try not to dip buy into this bear market….but when your trading addiction won’t permit you to miss a trade, buy and sell quick, for odds are over the next day/s, you’ll get wrecked!

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Related Reading

How I Made $500 & My Subscribers Earned $10,000+ Short Selling Arena Pharmaceuticals, Inc. (ARNA) February 19, 2009
How My Subscribers And I Made $10,000+ Buying & Holding A Hot Stock Overnight April 26, 2009
8 Free Stock Picks & $2,500+ In Short Selling Profits From Yesterday August 18, 2009

Josef H

I remember a time when Pharmaceuticals, Healthcare, & Bio Tech stocks were my cash cow. I couldn't go wrong, buying. Now i can't go wrong, selling. Oh how times have changed. Good job Tim on the profit!

I watched something funny on HULU today, thought I'd share it:
http://www.hulu.com/watch/60862/the-daily-show-...
The Daily Show with John Stewart: An entire segment on how wrong CNBC has been. It's a pretty funny piece ... in fact, his funniest financial episode. :)

TIM's competition

Link to a nice guy who works hard, plays good songs, and has many followers. http://www.daytradingradio.com/portfolio.html

I'll let you decide.

investorslive

Yea maybe link the portfolio next time too instead of just spam it :)

http://www.daytradingradio.com/portfolio.html

boooooooooooooooo

investorslive

I think avg stock is down 15% on that list if not more!

Bitter Much?

^ Bitter about life much? I'm rather curious what exactly Tim has done to make you so mad? Be successful in his own right/way?

Bitter Sweet! : )

Bitter Sweet for sure! Bitter? Not with the incredible shorts I have had on lately, oh boy....
You penny fools are such great entertainment : ) I just like to bust Tim's chops cause he actually believes that his own defecations smell like roses.

Please just remember that somone who purports to be anti-finance, yet makes a living off ONLY finance, is a true idiot. Making money is great, disingenuous behavior is not, especially at the cost of amateur traders....

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Who Is Timothy Sykes And Why Should I Care?

See Tim's full bio HERE. Tim turned a few thousand dollars into a few million by taking small gains time after time on hundreds of volatile penny stocks, discovering that his trading strategy, while consistently successful, works best for those with smaller accounts.

Determined to teach others this PennyStocking trading strategy (learn more HERE), he went back to his original $12,415 roots (already $58,000+ even though the stock market has crashed) to show everyone how to turn thousands into millions, even while having a life (somewhat) and making plenty of mistakes. Currently he is the #1 ranked trader out of 25,000+ on Covestor)

How Can I Consistently Make Money In The Stock Market?

Hard work, Determination and Know How.

Hard work to learn how the greatly misunderstood niche of penny stocks provides opportunities every now and then on which you should pounce.

Determination to seek those probable profits out and know how in order to actually profit from them.

Long story short, wait for stocks that are extremely volatile - for whatever reason - and then aim to take small profits (between 10 and 50% within a few hours, days or weeks) here and there, either from betting on higher or lower prices (yes, you can make $ betting on lower prices, it's called Shortstocking (learn more HERE).

Why Penny Stocks?

As Tim explains in several ALL-NEW instructional DVDs (see them HERE) and in over 2000+ blog posts, penny stocks are the most hyped and corrupt niche in the entire investment world. These two qualities make them the easiest to profit from (legally) because the vast majority of people who play penny stocks are suckers and all-around ignorant people. If you have any intelligence whatsoever, you have a clear advantage and it's like playing basketball against mental midgets.

Where Do You Find Stocks To Trade?

This is the #1 FAQ (see more HERE) and it is answered in THIS instructional DVD.

Of course, that's just a brief introduction - to receive a full education, there is Tim's book An American Hedge Fund which is the story of his remarkable rise and lessons learned.

To truly increase your odds at profit, Tim has designed an entire set of detailed instructional DVDs, covering all the variables that amount to over 24 hours of instruction (see them all HERE)!

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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%)