(HTMM) Vid 2 Overview

My title for video 2 in Tim Sykes' "How To Make Millions" DVD would have to be "Learning to Taste the Ingredients" because it was chalk full of information that ranged from the basics of stock trading to how Tim finds his plays.

Tim's pretty good at giving analogies to explain penny stocks and trading so I thought of one too. Trading penny stocks can be a lot like eating at a restaurant, your dish may be a winner and taste great, or a loser and it will leave a bad taste in your mouth. So if you can learn how to taste the ingredients of each type of trade you'll be better prepared to only eat fine dining.

As with video 1 I'd like to share some of my footnotes but you are going to get more than a tasty sample... You need to feed yourself and order a plate to eat the full meal.

Right off the bat Tim explains that he's looking for volatility because you're looking to take advantage of the movement. Tim's sweet spot in volume is between 200k and 2m traded per-day. He explained that anything lower could cause issues with the movement of the stock as well as complications with getting out of a position when needed. Also, having too much volume could mean too much competition.

An explanation of the basic terms and types of trades was given as well as a nice explanation to level one and level two, as well as how they can be useful. 

Again, CUTTING LOSES QUICKLY was expressed during the video. 

Tim is a firm believer in using the charts when planning a trade and looking for breakouts and breakdowns, and several examples of chart patterns were shown.

One of the helpful tips he shared was looking for breakouts that take place after a stock has had an uptrend.

Some of the vehicles that Tim does NOT like to trade are:

• OJ, Wheat, Soy
• Minerals (Gold, Silver, etc)
• Oil
• Forex
• Options
• Foreign Markets
• REITS, Warrants
• IPO's
• Rarely trades Biotech or Financial stocks

Tim has a very focused (sniper-like) approach to trading...

1. Looks for Daily Top Gainers
2. Checks for a Catalyst (Earnings, Contacts, Big News)
3. Focuses on $5 to $10 per share
4. 20% to 100% gainers
5. Volume of 200k to 2mil
6. Looks for a history of being a runner
7. Looks at the charts and technical, breakouts/breakdowns

But as Tim quotes, "It's more of a guideline really" (said in a horrible pirate accent) He does go for targets of opportunity when the odds are right, such as a trade on $CUBA is shares.

In conclusion video 2 was a lot to digest, I actually listened to it and took notes multiple times over a few days... but the info is worth the work.

Update on swing trades:

$AVP -32.36%, short with a target of $3 to $3.50. 

$RJET -9.02%, long, looking to exit as soon as ticker is traded again.

$SDRL +3.88%, short goal of 10-20%.
$TRIL +11.58%, Long goal of 10-20%

$TWTR -0.80%, Long goal of 10-20% 

Overall total on investment: -4.70% 

      

Footnotes From Today's FREE Education Webinar

Tim Sykes set up a free webinar today and gave a long list of tips for being successful as a trader. Unfortunately I missed the first few tips that he gave because I was listening to the webinar while working, but I took footnotes on 28 through 1.

A couple of the things I did catch before, though I'm not sure of the numbering, is that becoming financially free via trading pennies is a journey, takes education, you should be thankful for what you get, and of course to always cut losses quickly.

Tips for being successful and making $$$:

28. Never be certain about a trade because the market is unpredictable.

27. Look to get the "meat of the move", profiting on 1/3 of the move is good.

26. Be open to trade both long and short.

25. CUT LOSES QUICKLY (I'm surprised Tim didn't make this the #1 top tip)

24. Look for the "gimme setup" there is nothing wrong with trading the easy.

23. Buy breakouts.

22. Short breakdowns.

21.Buying the dips.

20. Using the daily highs for finding potential plays for the following day.

19. KISS keep it simple stupid.

18. Have a plan for every trade incase it doesn't go like you planned.

17. Sometimes no trade is the best trade. Stay in cash when not trading. Being in the market = risk.

16. Don't trade uncomfortably, if the trade isn't doing what you want get out.

15. Live to trade another day

14. Goal of 20-50% in 1 to 2 days. But take your profits when possible.

13. It's a journey, it'll take time.

12. Journal your trade, all of them, especially the bad ones. Use Profit.ly, be transparent.

11. Set goals and make them count.

10. Sit in cash, trade like you're retired, be a sniper.

09. Never follow alerts, even Tim's, you need to be self sufficient.9

08. It's good to know the markets since tickers tend to follow market trends.

07. 99% of pennies are going to go to 0, short selling is key because it is the most predictable method.

06. Education and knowledge is a must.

05. Trade the ticker not the hype, never believe in the company.

04. Avoid FOMO fear of missing out. Don't force trades.

03. Take advantage of software and technology to trade.

02. Never scalp. Be the sniper and focus on the best trades.

01.25. You success is dictated by how you approach the market.

01.50. No one trade will make you a millionaire but one bad trade can destroy your account.

01. Look for a mentor...like Tim.

Hope this helps you as much as it helped me.

Update on swing trades:

$AVP -32.89%, short with a target of $3 to $3.50. 

$RJET -9.02%, long, looking to exit as soon as ticker is traded again.

$SDRL +1.55%, short goal of 10-20%.
$TRIL +11.39%, Long goal of 10-20%

$TWTR +0.74%, Long goal of 10-20% 

Overall total on investment: -4.91%

Less that 1 Hour to FREE Education by Tim Sykes

Just an FYI,

Tim Sykes is hosting a free educational webinar in less than one hour

http://app.webinarjam.net/live/4576/033ac820b9/0/tC26953541yL

The Best Penny Stocks For Tomorrow

(HTMM) Video 1 Overview

I just finished up watching video one in the "How To Make Millions" dvd and if I were going to write a title for it I'd have to make it,"You're Going to Lose, So Lose Smart." I say that because my main takeaway from this chapter was Tim's #1 rule of CUTTING LOSSES QUICKLY.

I've known that this is Tim's most important rule since he frequently says this in his free Youtube videos but he explained the reasoning behind it very clearly.

A few other key points that I took notes on was that you should have a goal in mind and that this is a journey and that it will take time. Tim's process isn't a get rich quick scheme, it's more of a rinse and repeat type of deal (basically a $1k profit 1k times).

He pointed out that he and his top students win an average 60% to 75% of the time and that you will lose some trades, it's part of the business. Hence cutting losses quickly. Risk management is key.

You should never use a market order and should always use a limit order to ensure that you are getting a good entry/exit point vs paying what ever the feel like giving you (basically).

There is more that I took notes on but I'd hate to say too much. I will share what Tim said were a couple of his sweet spots for trades... NASDAQ / NASDAQ Small Caps, and tickers that are between $2 a share to $10 a share.

Update on swing trades:

Had 3 of my swings go green today with $TRIL hitting my 10% goal. The indicators are still showing a hold so I'm going to hold into tomorrow and see what they do.

$AVP -32.36%, short with a target of $3 to $3.50. 

$RJET -9.02%, long, looking to exit as soon as ticker is traded again.

$SDRL +5.94%, short goal of 10-20%.
$TRIL +10.30%, Long goal of 10-20%

$TWTR +0.46%, Long goal of 10-20% 

Overall total on investment: -4.18%

It's Time to Invest in MYSELF! "How to Make Millions"

I've been saving a little here and there to buy my first educational video from Tim Sykes and today is the day! Not only was it 70% off for his b-day sale but this particular education pack in 35 hours worth of education and 100% of the proceeds are going towards charity... which is one of the main reasons that I'm pushing to become financially free.

I'll share little tidbits of the learning as I go and I promise to be brutally honest with my review as I learn from the material. Though don't go thinking that you will see everything on the dvd, it is copy righted and as a writer I have too much respect for the creator of any intellectual property to take potential sales away from them.

If you are interested in learning more about Tim Sykes' educational video "How to Make Millions" please visit his site and take advantage of the sale price.

http://howtomakemillions.com/ or www.timsykessale.com

Updates: Took Some Losses

Not a ton has happened in the last week. I've been busy with a bit of spring cleaning and not focusing on trades as much. I did close out some of the swings with minimal losses, one of which I decided to reverse and I'm now swinging a short.

Update on swing trades:

$AVP -32.89%, short with a target of $3 to $3.50. (Waiting on the indicators to dip. long term chart is down trended)

$RJET -9.02%, long, looking to exit as soon as ticker is traded again.

$SDRL -0.78%, short goal of 10-20%.
$TRIL -2.87%, Long goal of 10-20%

$TWTR -0.77% Long goal of 10-20% 

Overall total on investment: -9.17%