Here’s to a new year! Give a big welcome to 2021 and all the opportunities it brings. At the same time, start the year the way you intend to finish it. And by that, I mean review everything — from your trades to the overall market.
The more you learn to review, the better chance you have to become a self-sufficient trader. Want to know the secrets of the few who make it to profitability? HINT: you have to be different than most traders. Never forget, most traders lose.
So make a commitment today. Review everything and learn to optimize your process.
Before we get to trading, did you make any New Year’s resolutions? This year, I made a big one…
My 2021 New Year’s Resolution: Speak Up for the Voiceless
In 2020 my hair grew so long it felt like there was a small animal on my head. But it wasn’t because I was hiding away behind locked doors. It was because of what’s happening to the Uighur Muslims.
Watch this video but be aware that I’m only scratching the surface…
Why I Shaved My Head for 2021
Here are links to the headlines my videographer Pasquale pulled up in the video…
- Hair weaves from Chinese prison camps seized by U.S. Customs
- US seizes items thought to be made from hair of Muslims in Chinese labor camps
- Pope Calls Uighurs ‘Persecuted,’ Prompting Pushback From China
This is 2021 … not the Dark Ages. But for a group of people simply trying to live their lives and practice their religion, it’s the darkest of times. It’s shocking this is still going on.
Please do your own further research so we can bring awareness to this tragedy. Then share it on your social media accounts. Together we CAN change the world.
Let’s get to trading…
Trading Mentor: Review Everything
The key to trading success is preparation. You can never be overprepared. And one of the keys to preparation is to review everything. That’s what all my top students and I do.
In All Markets and Every Day: Review, Review, Review
The process my top students go through to become profitable is intense.* Not one has achieved success without putting in countless hours of studying. And part of their studying is to review everything.
That includes all trades, win or lose. (Keep reading for more on trade reviews.) But it’s not just their trades. They review charts for all the stocks on their watchlist every day. And so should you.
What should you review?
- How did the stock trade that day?
- Is the stock setting up for your favorite pattern?
- Did you miss a play because you focused on something else?
- Is the stock dead, or should it stay on your watchlist?
- How does the chart compare to your favorite pattern?
- Especially for beginners: How does the chart compare to my Pennystocking Framework? (Not all stocks follow it, but when they do and you recognize it, you can have an edge. It’s not an exact science.)
Get my no-cost weekly watchlist here.
But it goes further than that…
What did other traders do that day? What happened in the overall market? What big-picture news could affect trading tomorrow?
You MUST…
Review Everything AND Know Stock Market History
A lot of traders — and a lot of newbies — made money last year. But too many who started in 2020 are in for a big shock when the market changes. Let’s use yesterday as an example…
People ask how did I know earlier to start warning about a potential big $DIA $SPY $QQQ drop, 1.) when too many fucken morons get too rich & think trading is too easy, the market usually steps in to correct them and 2.) history repeat itself, I remember the price action from 2000
— Timothy Sykes (@timothysykes) January 4, 2021
The Dow lost 1.25% yesterday. At one point, it was on track to be the worst start to a year since 1932. And the S&P 500 also had a scary start. Check out this chart, courtesy of the StocksToTrade Breaking News guys…
SCARY CHART ALERT: There have only been 2 years since 1983 that S&P 500 opened higher on first trading day of the year but was down 1%+ by noon…2000 and 2008! @bespokeinvest $SPY #StockMarket #stocks #market pic.twitter.com/ZcMWNi3RaS
— Stt Breaking News (@sttbreakingnews) January 4, 2021
Sadly, some traders who made money in 2020 think it will last forever. I’ve seen this kind of price action before. Is the bubble market coming to an end? I don’t predict the market. Instead, I react. But I’m no fool thinking it will keep going up forever.
Trade Review: Gain Knowledge With Every Trade
Every week I review one or two trades here on the blog. What you might not know is that I review most of my trades in video lessons posted on Profit.ly. And I’m fully transparent about all my trades. See all my trades including entry comments, exit comments, and position size here.
The obvious reason I review trades is to help students. But it also helps me.
When you review trades, it helps you prepare for the next one. Sometimes it helps you prepare to trade the same stock again. Other times it helps you understand how certain patterns are playing out. That way you can adapt.
I was so impressed with Jack Kellogg’s webinar on New Year’s Eve. Trading Challenge students can watch the replay here. One thing he said struck me…
Jack said that he gains knowledge about a stock with every trade. Sometimes he takes small losses or wins on a stock as he gets a feel for it. But every trade he takes gives him more knowledge of that particular stock.
That’s the intensity that helped him earn $1.78 million in 2020.*
(*Jack’s trading results are not typical. Most traders lose money. It takes years of dedication, hard work, and discipline to learn how to trade. Individual results will vary. Trading is inherently risky. Before making any trades, remember to do your due diligence and never risk more than you can afford to lose.)
Here’s my trade review for last week…
Artificial Intelligence Technology Solutions Inc. (OTCPK: AITX)
On December 31, AITX had a classic morning panic right at the open. The stock had gone supernova the week before based partly on news of a deal with an unnamed Fortune 500 company.
First, check out the AITX three-month chart:
Here’s the AITX chart from the first hour of trading on December 31. It shows the morning panic and my trade alerts:
The $5,278 win turned out to be my most profitable trade of the week.* But it was also one of my best-executed trades. Even though I could’ve made more, I’m happy with my discipline. When it hit my goals, I got out.
(*Please note: my results are not typical. I’ve spent years developing exceptional skills and knowledge. Always remember trading is risky. Never risk more than you can afford.)
Important tip: The reason the chart only shows the first hour of trading is because of a data misprint. The misprint makes it look like the stock spiked 900% — to 41 cents a share — the next minute. It didn’t. The stock never traded at 41 cents a share that day.
I get asked questions about strange prints on charts all the time. It’s important to understand misprints happen. Especially in OTCs. Late prints and misprints lure newbie traders into making mistakes. Don’t fall for it. Yet another reason to review everything…
Maximize Success by Reviewing Every Trade
Do you want to optimize your process in 2021? Review every trade. Both good and bad. Keep in mind, when I refer to good vs. bad trades, it has almost nothing to do with winning and losing.
Yes, your goal is to win on every trade. But if you win and break all the rules, you set yourself up for disaster later. It’s much more important to stay disciplined. That’s why I trade with these rules.
I made +$6,559 today on $ALPP $COUV $BANT & thanks to @sttbreakingnews on $TPTW $TLSS but losses/duds on $ISWH $TAUG all in all a pretty safe day given how ugly the $SIA $SPY $QQQ market were to start 2021. Stay safe, don’t be a greedy AF newbie destined to lose their 2020 gains!
— Timothy Sykes (@timothysykes) January 4, 2021
I never, ever, regret trading conservatively. That comes from years of experience. Not just taking trades but reviewing every trade too.
Being Transparent Forces You to Review Everything
One of the reasons we developed Profit.ly is because there are so many shady, lying, so-called gurus out there. They show end-of-the-month screenshots but don’t show the risk involved.
But we also wanted to help new traders develop the habit of reviewing every trade. Over time, being transparent can only make you a better trader. Why? Because transparency forces you to review everything. The more you review, the better.
All my top students upload their trades to Profit.ly. Some, like Kyle Williams, Jack Kellogg, and Matthew Monaco go further. They have in-depth spreadsheets with all kinds of data. That level of commitment to the process pays off over time. But you have to stay committed to reviewing trades every single day.
Millionaire Mentor Market Wrap
Are you ready to make 2021 your breakout year? If you answered yes, then get in the habit of reviewing your day. Definitely review all your trades, but don’t stop there. Use an end-of-day review to get better.
Try asking yourself three questions…
- What did I do well today?
- What could I have done better?
- How can I improve tomorrow?
Sounds simple, right? It is. It’s also a way to train your unconscious mind to seek constant improvement. Try it. Tell me how it’s working out once you’ve done it every day for three months.
Another way to make 2021 a year of massive growth…
First, to make sure you get the right mindset for 2021, watch this video…
Top 10 Tips to Better Your Trading for 2021
Now, take advantage of these…
Trading Education Resources
If you’re brand new to penny stocks, study my FREE penny stock guide here.
If you’re ready to take your first steps into trading…
Get started on the 30-Day Bootcamp. It’s still on offer at an insanely low price.
And if you’re ready to take it to the next level…
Apply for the Trading Challenge here. All my top students are in the Trading Challenge.
If you get it, comment below with “I will review everything in 2021.” Even if you already knew it, leave a comment. I love to hear from all my readers!
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