Steven Dux (Xiuxian Du) is a day trader with a net worth of $5 million, infamous for turning $27,000 in $9.3 million in four years with penny stocks. Born in China, Dux moved to America as an exchange student to study environmental engineering. During his studies he opened a trading account and quickly became obsessed with the stock market, reading all the best books he could buy at a nearby bookstore.
In search of a mentor he discovered Tim Sykes online and went on to become one of his top students. At first he was skeptical of Sykes because of his flashy trader lifestyle on Instagram but decided to sign up for Pennystocking Silver. After a few months, he took the plunge and paid $5500 to join the Millionaire Challenge program. It’s crazy how he managed to finish his degree and find enough time to day trade volatile penny stocks. His ability to handle pressure must be off the charts!
Dux is now one of Tim Sykes’ most successful students along with Jack Kellogg and Tim Grittani. Sykes likes to promote him because he’s a prime example of someone who has implemented his strategies to become a millionaire. Sykes has also interviewed Dux multiple times to share his story and inspire new traders. Since bursting onto the scene, young aspiring traders have been bombarding Dux with messages hoping to discover the secrets to success.
The main reason for Steven’s rapid progression is the extreme dedication and willingness to invest in himself. Although he started off studying with Sykes, he later learned a great deal from Michael Goode, Mark Croock and Tim Grittani, all mentors within the Millionaire Challenge.
In particular Dux followed Tim Grittani and cites the Trading Tickers DVD as a huge inspiration. Similarly to Grittani, Dux is very analytical and claims to have thousands of excel spreadsheets tracking dozens of chart patterns. This gives him the ability to discover which patterns work the best in a specific time frame. Basing trading decisions on data allows him to stack the odds in favor. From the picture above of his trading desk, the attention to detail is immaculate. Steven has notes and drawings of charts on the wall to drill these charts into his brain. Boring repetition is the best way to learn patterns.
He mainly follows three simple chart patterns that have an insane 85% success rate. All of these patterns feature in Tim’s Pennystocking Framework DVD.
- First red day – when a penny stock goes parabolic based on a big news event such as FDA approval, a stock can spike 200% in just a matter of days. You wait until the stock’s momentum slows down and short sell the company on the first day it turns red. This is a significant shift in momentum where those who are long will exit their position causing the price to drop.
- Dip buying huge morning panics – whether it’s an overall market or sector panic, there are always great opportunities to dip buy intraday panics. If a stock drops significantly in the morning and is oversold, it could bounce back strongly so you can capture a quick 20-30% gain. When dip buying panics you should prepare to cut losses short if the trade goes against you. Otherwise, it’s like catching a falling knife.
- Shorting spikes – this pattern is slightly riskier than the first two patterns so it requires more experience.
Since these three simple patterns have a high success ratio, Steven places big money into trades that meet the criteria and banks huge profits. This approach to trading is the polar opposite of conventional wisdom on Wall Street. Financial advisers tell people to never risk more than 10% on any investment while this guy during the early stages was putting 80% of his account on one trade.
Patience also plays a big part in his success. He waits like a sniper until a setup meets the criteria and then places the trade. If the trade goes against him, he cuts losses quickly to avoid blowing up his account. Hence this is why his winning percentage on Profit.ly is approximately 67% with an average gain of $5,556.
What Brokers Does Steven Dux Use?
The four main brokers Steven uses are Interactive Brokers, CenterPoint Securities, Cobra Trading, and TradeZero. Based on my experience, these trading platforms are all solid choices worth exploring. CenterPoint is a more exclusive broker, they have a minimum deposit of $30,000.
Online Courses
Due to the large following he attracted, there was strong demand for Dux to create his own trading courses. Luckily he listened to the advice but wasn’t too generous when it came to deciding on prices. Dux has two online courses, one daily newsletter and one freedom challenge. Currently, there are no active coupons currently available for any of the courses. To avoid paying full price, people have been downloading DVD’s for free on torrent sites. I’m not surprised as the DVD’s are too expensive for new day traders. Trading Tickers is a cheaper alternative I highly recommend.
Trading Techniques
The Trading Techniques DVD retails for $1200 and covers a wide range of areas. The course is mainly targeted at beginner traders. The content is 10 hours long and contains a lot of filler content, could have shortened down to 5/6 hours.
Trading Techniques main topics:
- Market Basics
- Trading Psychology
- Long & short side trading
- Risky Management strategies
- Statistics Database
- Top Trading Strategies
The Duxinator
The Duxinator DVD also costs a staggering $1200. The course contains the latest day trading strategies to profit from penny stocks. Focusing on high-probability setups that Dux has personally used to make money.
Daily Dux Newsletters
Daily Dux Tier 1 costs $99 per month, offers access to a watchlist, newsletter and chatroom. Daily Dux Tier 2 costs $149 per month, for an extra $50 customers get access to the strategy statistics database, tracking the strategies covered in Trading Techniques.
Freedom Challenge
Taking a page from Tim Sykes’ book, Dux started a trading challenge to closely mentor students. The Freedom Challenge is a 12 month program costing students $7,500. For that price, you get 2 live trading webinars per week, Q&A’s during a trading session and “personal access” after the market is closed. I don’t recommend joining unless you’re capable of making a huge commitment to learning and have at least $5,000 to trade with.
Starting an educational business was the next logical step for Steven to make extra money outside of trading. Despite the vast amount of money he’s made, Dux remains a cool, humble dude.
Steven Dux’s story continues to serve as a huge inspiration but it’s unlikely anyone will achieve similar profits. While it’s likely some will have profits, the average person won’t become a millionaire without an obsessive tendency towards learning. Dux even jokes he reads and takes notes on the toilet. In addition, he re-watches DVD’s multiple times to fully absorb the content. A typical subscriber will watch it once or twice max. That level of dedication is difficult to maintain for someone working a full-time job or attending college. In the meantime, if you’re interested in learning from Steven Dux, check out his webinars and videos on YouTube.
James Kelly is my name and penny stocks are my game! Former day trader turned long-term investor with a decade of experience in the market. Over the years, I’ve joined dozens of trading services and I aim to provide honest reviews to help traders make better decisions!
Mei says
One thing I find really weird is that Dux never wants to mention Tim in his own interview or his freedom challenge videos. Yet he is kinda copying Tim’s style and also claims that he’s teaching because other gurus are not transparent, that he cares about other people, etc, etc.
Also when Tim mentions his millionaire students list, he doesn’t mention much about Dux anymore. I don’t know what to think about it. But I do like that Tim is so real and honest when he teaches.
Even though he has his little shortcomings, you can tell that he is really dedicated to teaching, not just faking it or just wants to make money. You can also tell that he really does feel happy for his students’ success and improvement. But Dux? I don’t really know.