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Trading Lessons

Top 10 FAQs In 2025

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Written by Timothy Sykes
Reviewed by Jack Kellogg Fact-checked by Ellis Hobbs
Updated 1/14/2025 10 min read

Last Friday I held a trading live stream for my students …

These are perfect opportunities for students to ask questions and see my trading process in real time.

I can show you chart-after-chart of past volatile spikers … But traders continue to get the most value from my trading livestreams.

It helps new traders understand my thought process while the stock’s price action is still uncertain.

This week, I have another trading livestream on Thursday, January 16 from 10 A.M. to 12 P.M. Eastern.

And …

Jack Kellogg gives a trading live stream a few hours later, from 2:30 P.M. to 4 P.M. Eastern.

Apply to join our next trading live stream.

Ask questions. Trade alongside us. Learn the trading process that I’ve used to pull $7.8 million from the market. The process Jack used to pull $14.9 million in profits.

From last Friday’s livestream, I compiled a list of questions that new students had about this process.

Get ahead of the curve.

Read these lessons to prepare for tomorrow’s live stream at 10 A.M. Eastern …

FAQs

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Got a trading question? There’s a good chance that you’re not alone.

Let’s run through some frequently asked questions in 2025 …

FAQ 1: How Do I Avoid Burning Out?

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There are A LOT of stocks spiking right now.

Our low-priced niche is full of runners that push higher during premarket, intraday, and afterhours.

Jack Kellogg wakes up at 4 A.M. Eastern to trade, and he goes until the market closes at 8 P.M. Eastern! That’s 16 hours of trading every day.

I’ve been trading in Asia, and the time difference here is brutal when the market is hot like this.

The market is closed in the U.S. at night, but it’s the middle of the day in Asia.

It’s easy to burn yourself out in these conditions.

And there’s no solution 😩

We’ve got to accept that we’ll miss plays.

Carve out time every day to watch the market. But make sure to carve out time to rest and rejuvenate too.

FAQ 2: My Trades Are Executed To Soon Or Too Late And At The Wrong Prices. How Do I Fix This?

Use limit orders to get the price that you want.

Let’s say that you’re trying to buy a stock that’s bouncing on $3 support … You could use a limit order to buy shares no higher than $3.05.

Now, using $3 support as our risk level, if the stock falls lower, we can sell for a small loss that’s less than 5% before the price pushes too low.

Here’s the math: $3.05 * 0.95 = A sell price of $2.89 or higher.

Always trade with a plan and make sure to identify your risk level.

You can also work backward if you know how much you’re willing to lose …

Only want to lose a maximum of 5% on a position where your risk level is $2.95?

Here’s the math: $2.95 * 1.05 = A purchase price of $3.09.

Make sure that the math is on your side.

More Breaking News

FAQ 3: How Do I Know If A Spike Is A Short Squeeze?

Short squeezes can be difficult to recognize due to the lack of obvious news.

But that’s also one of the biggest hints … 

A stock that’s spiking +100% without any news is most likely a short squeeze.

The short-selling thesis is overcrowded right now. Shorts will see a crappy stock that’s spiking higher without news. They think that they can make an easy profit as the price dives lower.

The stock will crash eventually. But if shorts keep guessing the top and keep getting blown up, there’s no telling how high it could spike.

Besides the lack of news, I can see short sellers post about their positions on X … Until they lose money and delete their posts 😆

There are tell-tale signs of short squeezes.

The more experience that you have in the market, the easier it is to spot these setups.

FAQ 4: How Do I Stop Myself From Selling Too Soon?

slippage apply to my trading challenge
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This happens to me a lot …

But I’m OK with it.

Sometimes I have to sell my position for a small profit or loss when the chart stops following my pattern.

But a few minutes later the stock could redbound and follow my exact setup for a bigger potential profit …

Don’t hold your position on a whim.

When a stock stops following our patterns, we have to get out.

Worst case scenario: We learn how to better approach this setup the next time.

A loss is only truly a loss if we learn nothing.

Plus, we can always get back in if the chart shows us a better opportunity.

Always protect your position first!

FAQ 5: When’s The Hottest Time To Trade?

In this 2025 market, just show up when you’ve got time.

For a more specific time frame … I’m still biased toward premarket runners. That’s when a lot of these stocks announce their hyped-up news.

Watch my video below for more information:

But as I already mentioned, in this market, we can see spikers all day long.

FAQ 6: What Do You Think About Back-End Opportunities?

My trading framework aims to map the entire life cycle of these volatile stocks.

That includes the run up AND the selloff.

There are profit opportunities on both ends.

From last Friday, one of my students asked about the bounce on DatChat Inc. (NASDAQ: DATS). We can use that stock as an example.

Notice on the chart below, there’s upward momentum on the front side. There’s also upward momentum on the back side in the form of momentary bounces.

Every candle represents one trading minute. This is DATS from January 10:

DATS chart
DATS chart intraday, 1-minute candles Source: StocksToTrade

During different markets, the strength of these plays can shift.

Right now, we’re seeing less momentum on the back end. So … Try to focus on the initial spike as it’s climbing higher.

When the price starts to fade, don’t pay attention unless it eventually works its way back the intraday highs for a new breakout.

FAQ 7: What’s The Best News?

We like to trade stocks that have a reason to spike higher. Usually that means the stock announced some news.

  • An acquisition or business merger.
  • A new business contract.
  • FDA or regulatory approval.
  • Bullish earnings data.
  • A new product on the market.
  • Etc.

Some news catalysts are better than others. You’ll recognize the strongest catalysts by watching the market.

But I’m not predicting the strength of each catalyst …

Instead, I recognize the catalyst and I look for the biggest percent gainer.

The price action will tell us which news catalyst is the hottest.

FAQ 8: Which Broker Should I Use?

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I use Interactive Brokers because they let me trade at 4 A.M. Eastern during premarket hours.

It’s not my favorite broker, but it allows me to show up whenever the market is open.

Some brokers won’t allow people to trade the entire market. It’s all about finding a broker that matches your strategy and preferred trading time.

FAQ 9: Do You Use Alerts?

No.

StocksToTrade has a great alert system that my buddy Tim Bohen likes to use.

When a stock crosses a certain level, he gets a notification.

I don’t use alerts because I tend to get overwhelmed by all of the information.

I could be trading a solid spiker but an alert on a different stock could psych me out and ruin my position.

This is my preference. You might feel differently …

FAQ 10: Do You Hold Overnight?

Every Friday I look for stocks that follow my weekend pattern.

Here’s how it works:

The strongest stocks in the market on Friday can push higher into Monday thanks to a common information inefficiency.

Some traders miss out on Friday runners, so they buy shares on Saturday and Sunday, creating a Monday spike that I can sell into.

Here’s the pattern.

There are opportunities intraweek to hold overnight too, but the weekend adds to the information efficiency and therefore makes my weekend pattern one of my favorite setups in the market.

Take a look at my post on X below:

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”