Steven Dux: +230k today. $500K on the week

Discussion in 'Trading' started by trader99, Jun 12, 2020.

  1. destriero

    destriero


    Again, it's unlikely he's being transparent with his down days. I only showed my biggest up days as my down days are not to that level. IOW, I've had a $1.8MM up day but nothing comparable on the downside. My biggest daily loss (last three years) was $320K.

    Either he needs to post a pic of his blotter in RT or video. He's not doing either so it's suspect.
     
    #71     Jun 13, 2020
  2. Steven Dux is a Timmy Sykes clone. They are not scammers, but focus on shorting small cap/micro cap pump and dumps. It's a simple but effective strategy, the hardest part of the strategy is actually getting the borrows on the stocks to short, because most of them will be hard to borrow.

    They are legit, but in no way would I consider him to be a great trader even if he made $5.5M over 4 years. What he does is like shooting fish in a barrel, and these days, with all the Robin Hood newbie traders buying all this small cap trash and bidding it up, there are a LOT of fish in the barrel. That's probably why he was able to make so much recently.

    What they are teaching is not rocket science, its something that you could explain to an individual with average intelligence in a few hours. Of course, there is some nuance there, but you could probably make a list of 10 rules to stick by and that would roughly cover 80% of what you would need to know to execute the strategy.

    But his strategy is not scaleable, because there are limits to how many shares that can be borrowed short, and most of these pump and dumps are in microcaps with low floats so the strategy can't handle the size that most institutions need to meaningfully affect performance.

    That's why he's selling a service as supplemental income, because he just can't trade bigger and bigger, because the penny stock market can't support huge size.
     
    #72     Jun 13, 2020
    Jasun, Onra, yc47ib and 2 others like this.
  3. trader99

    trader99

    You wrote exactly what I've been trying to tell people on here. Thanks for the clear explanations!
     
    #73     Jun 13, 2020
    yc47ib likes this.
  4. destriero

    destriero


    Did you look at the number of shares traded on this "$230K" day? No way that was on penny stocks.
     
    #74     Jun 13, 2020
  5. Plus you've got the staying power and endurance through some wicked markets.
    Des, do the wild swings of CVNA even cause you to flitch or your Fundamental Analysis got that covered?
    IRS and States are quick to send inquiries over missed 1099s. Years ago I got a bill from CFTB for $800k because I missed catching one of my brokerages 1099s. They billed on "Proceeds" without sub the "basis". The computers andaand software are far more sophisticated now!
     
    #75     Jun 13, 2020
  6. That's cheap, Pristine charged $900 for their tier two calls in 2003-04. Costs have come down.
     
    #76     Jun 13, 2020
  7. These days, a lot of microcap stocks are trading over 50 million shares a day. To name a couple: XSPA, GNUS. He could definitely be doing that kind of share size in penny stocks these days.
     
    #77     Jun 13, 2020
    trader99 likes this.
  8. trader99

    trader99

    You should check out the liquidity nowadays on some of these small cap/penny stocks nowadays. Some of them trade 50m to 100M+ a day! The volume is just plain insane. So you can easily move 50K-100K shares trade over several minutes.
     
    #78     Jun 13, 2020
  9. destriero

    destriero


    I didn't look today, but his $230K was on relatively small volume.

    Edit: the bulk of the "gains" came from one account trading 234K shares and $200K gains.
     
    #79     Jun 13, 2020
  10. trader99

    trader99

    Check this out:

    On CHNR, he made realized gain of $43,898 and still holding 20K shares with $40K unrealized gain. That's just over 2.19pts on 20K shares.

    Checking the 1min chart, there are bars with 1.9M shares. So no problem with getting fill on 20K - 40K shares.

    On CTIB, he made $36576 realized gain and still holding 2K shares with unrealized $6.7K. Some 1min candles have 500K to 1M+ shares.

    Totally doable in terms of liquidity.
     
    Last edited: Jun 13, 2020
    #80     Jun 13, 2020