I LOVE premarket runners and right now there are SO many.
The question is…
When it comes to premarket runners, what should you focus on?
I get a ton of questions about this setup.
How do you spot them?
What premarket runners should you avoid?
When are you chasing?
First, if you’re not getting up early, you’re missing out (so set an alarm clock and GET UP).
I realize not everyone can be there because of work and life, but if you can…
Premarket is full of opportunities right now (and I have no idea how long it will last).
Okay, let’s start with the question about these spikers that I get asked most often…
How Do You Spot Premarket Runners So Fast?
I’m always looking for big percent gainers.
Every day when I make my watchlist, the first thing I look at is the top percent gainers.
Once you find a premarket runner, what next?
Don’t chase. Which brings up a good question.
How Do You Know When You’re Chasing?
For me, I don’t like buying a stock when it’s too far above the volume weighted average price (VWAP).
For example, Skycore Solar Group Limited (PN) spiked in premarket this week.
Notice how far the price is from the VWAP line where the circle is:
Source: StocksToTrade
PN 5/4/26 premarket runner, price too far from VWAP for me to buy.
If a stock is hugging the VWAP (or just bouncing off it), then I’ll consider it.
But if it’s too far away from VWAP, then it’s too risky.
It’s better to wait for the pullback to catch the next leg up.
Remember, if you’re late, that’s okay. Keep watching because there might be another entry.
I often buy the dip at or near VWAP…
AFTER the initial spike.
It’s Okay To Just Watch and Learn
If you’re not sure, just watch, okay?
This is SUPER IMPORTANT.
Too many shady chat room pumpers front-run their followers.
Once they have a position, they try to get their followers to buy, buy, buy….
While the chat room pumper sells into them.
NEVER follow another trader into a trade.
I alert students ONLY so they can watch and learn. I don’t even trade most of the stocks I alert.
Beware of Fake Breakouts
This applies to all breakouts.
But in premarket, you have to be extra careful because if there’s not as much volume, you can get stuck in a trade.
Top tip: only trade premarket runners with big volume.
When you dip buy off a new high, beware of the fake breakout. If the stock doesn’t blow past the previous high, I usually get out.
Sometimes that means I’m wrong and miss out on a bigger move. But I prefer clean price action.
Get Up. Watch. Learn.
Watch every premarket runner you can.
Look, there are a bunch of different catalysts for premarket runners…
News, chat pumps, sympathy plays, contracts, distribution deals…
They’re not special when it comes to catalysts.
The best thing for you to do is to FIND the premarket runners. Then…
Find the catalyst. Then keep track in your trade journal.
Whatever the reason, watch and learn. That’s how you grow your knowledge account.
It’s okay to miss premarket runners. And it’s okay to not take a trade because you don’t want to chase.
But if you’re serious about gaining freedom through trading…
Get up. Watch. Learn.
And when you’re ready, take the trade.
If you have any questions, email me at [email protected].
Cheers,
Tim SykesEditor, Tim Sykes Daily
