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Penny Stock Basics

The Top 3 Resources To Find The BEST Penny Stocks

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Written by Timothy Sykes
Updated 1/12/2023 7 min read

Here’s a brand new video for you to help you find the best stocks to trade every day:

We’ve also transcribed the video below for my valued deaf trading challenge students!

Penny Stocks to Trade

How do you find the penny stocks to trade? What are the best stocks to trade? The stock market is huge, I don’t know what to trade. First of all use Stocks to Trade software. This is software that my team and I have spent nearly two million dollars on building. It is the best software in the world for finding the best stocks to trade. Go look at the link just below this video. Utilize it, okay. It is so going to change your life because that is a tool that basically just aggregates all the different websites that I used to use.

If you’ve seen some of my older DVDs. I used to use like 20 different websites to research, and I pick and choose news and different scans. Stockstotrade.com. Use it, it puts it all into one spot. Now understanding why does all this stuff matter? Guess what? The stock market is not as simple as you want it to be. Just because a company has news, does not mean the stock is gonna go up. Just because a company has no news, does not mean the stock is gonna do nothing. There’s a whole bunch of moving pieces in the stock market, and for me you have to kinda think of it as like a sliding scale.

If you’ve seen my trader checklist guide. This is another great resource. It is over 10 hours talking about how I choose the stock side trade. Click the link below. I’m gonna include two links. Stockstotrade.com and traderchecklist.com. This is a free guide that I made for you. Specifically to show kind of like how everything is a sliding scale. You need to think about what is the price. What is the news? What’s the catalyst? What’s the pattern? What time of day is it? What’s your own schedule? It’s not as simple as you want it to be. We’re like, oh a company issues good news buy the stock. This is not an exact science. This is more of an art. So you have to kinda put together all these moving pieces. That’s why I started out and say, “Use stocks and trade, because it puts “all the moving pieces together.” There’s actually a feature called Oracle that accumulates all of my different indicators into one signal, and it tells you the best stock to trade. That would be my pick if you wanted to see what is the absolute best stock to trade right now. Long or short. On top of that, we’re all different people.

I wish that I could tell somebody who’s, you know, 50 years old and wants to retire and is very conservative with money because they’re frankly trying to save up. I wish I could tell that person the same thing as I would tell a 20-year-old asshole kid who, you know, has 10 thousand dollars through his name that his parents just gave him. And he has no perspective in money or anything. And he’s just some dumb kid. Those are two very different people. They have two very different personalities. So you have to think about what stock is best for you and your personality. If your some young kid who wants to be aggressive with your money, that’s cool. Very different than a 50-year-old person who’s counting every single last dollar. You have to also think about what is your risk tolerance? How much are you willing to lose on any trade? Sometimes there’s a fast-moving stock and I don’t trade it just because it moves so fast I might not be able to cut loses quick enough. And for me, I kinda trade like a coward. I’m kinda like that 50-year-old guy. Even though I’m only in my 30s. I’m very scared. I know a lot of gunslingers who are like that hypothetical young dumb kid, and they love gun slinging and it’s very exciting. They buy stocks that are up 200% in the day. You won’t see me buy a stock that’s up 200% in the day. That’s too much. The risk is too great for me.

So for me, I like to trade cowardly. That’s how I teach. You can choose your own aggression. If it’s a fast moving stock, that’s beautiful. Again, stocks to trade not only have all the different indicators, it also shows the biggest percent gainers. No matter who you are, no matter what you want. I would advise you to always, always, always look at the big percent gainers every single day. Ignore just what companies are saying about some new big technology. If the stock is not moving, I don’t care. I wanna trade stocks that are in play. These are the most predictable for stocks that are going up, and for stocks that are coming down. You know, if a stock is up five, six, seven days in a row, and it’s a big percent winner every single day. Guess what, it’s probably bound to come down too. So I’m gonna watch it because sometimes I like to short sell stocks. I know some of you guys don’t like short selling. You just wanna buy stocks. Well, guess what if a company reports good earnings, and it’s like a two-year breakout. Again, this is like a technical scan on stocks to trade. Then you might want to buy it on day one or day two of its earnings breakout, and then try to sell it on day three or day four or day five. Maybe you don’t have that much patience. Maybe you just wanna buy that one breakout point when it breaks the morning high in the afternoon and then sell it 10 or 15 minutes later.

You have to choose what you wanna do, and you have to practice. You have to think of yourself as a scientist, and you’re basically trying to find the formula that works best for you. Just because a formula works one year, might not work the next year. So you’re gonna have to learn to adapt. The stock market is one giant moving target. Be ready to adapt. Be ready to experiment. Be ready to study your ass off. If you follow these directions you could always be adapting. You could always kinda be ready for a moving target. You don’t need to trade every day. You don’t always need to have some investment on the table. Guess what? Cash is the position. Sometimes the best trade is no trade at all. So I’d like to teach you patience. If you want more millionaire guidance, and how I create my millionaires from scratch. You’ve got Trader Checklist to learn the indicators. You’ve got Stocks to Trade to use the data, and have software that’s gonna change your life. This is going to be a grind. Its gonna be hard, but the journey is worthwhile.**


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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”