Trader psychology is very much the difference between knowledge and wisdom.
preparing for the arena
A new trader can use a couple of strategies to help expedite this process, and the first one will be to look at timeframe patterns and watching for trends in hot spikes or dips depending on the time of year. This type of information can help narrow down when you should focus on a stock and when you shouldn’t.
The second strategy is using detailed reports to see where the profits are. Understanding a stock’s up and downs is essential as we look at the average percentage. If you see a drop that is getting towards the average, it can be a great time to pull your profits.
Volume change is another strategy that helps new traders develop quickly.
Primarily, as more and more people are investing in penny stocks, more volume will be traded, and the more the resistance will change.
From 2016-2019, you can see penny stocks trade from 4-10 million shares to now volume that is anywhere between 30-40 million. As the years change, more people come into the penny stock area with massive resistance and range. I want to reiterate the importance of detailed reports, as there are some that like my monthly and yearly reports that can show you total information over time, and which patterns were most successful.