Tim Sykes Daily

It was Friday. And I took a trade going into the close. It was a simple setup, a dip buy off the highs that I sold after-hours for a nice single. But the stock also had all the right ingredients for a weekend trade. So, I actually took two positions. A few students asked why I took the trade in the first place.

Successful trading is about discipline. The market doesn’t know your name (sorry). And the market doesn’t care about you (OR me). Which is why it is CRUCIAL that you separate your emotions from your actions.

You saw it, right? CAR finally drove off a cliff. I know MANY big short sellers who were averaging up from the $200s, $300s, even into the $700s. It takes a certain kind of narcissist to believe they’re right, even when the price action goes against them hundreds of dollars per share. “It can’t keep going, right?” WRONG!

This is crazy. Recently, a stock trading above $10 per share pulled off one of the most beautiful panic and bounce patterns we’ve seen in a while. How? 3 words… Meme. Stock. Hype.

In the world of trading, you’ll often hear terms like “small-cap” and “large-cap.” These refer to a company’s market capitalization, or market cap, which is the total market value of a company’s outstanding shares of stock. In life and business, most people want to think big. But in the stock market, sometimes it pays to think small.