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The Story Of of James Connelly A.K.A. The Penny Stock Prophet

Article by Jeffrey Scott:

If you haven't yet heard of James Connelly, it's probably because he is more commonly known by his nickname, "The Penny Stock Prophet," given to him by his peers due to his uncanny ability to discover "breakout" penny stocks just days before they experience RECORD gains.
In the last 12 months, Connelly A.K.A "The Penny Stock Prophet" has become an internet sensation due to his stock picking strategy, that has changed the lives of hundreds of his followers.
As a 19 year-old college student, Connelly excelled in his studies. In his own words, "School was just something that always came naturally for me. It was too easy, and over time I just started to lose interest. I wanted something different, I needed to find something else to challenge me. That's when I decide to turn to trading stocks."
Connelly always had an interest in the stock market, even at a young age. When he was still a teenager, Connelly's father taught him how to read charts, and quarterly earnings reports. "My dad even got me a subscription to the Wall Street Journal for my 16th birthday, " says Connelly.
Having an understanding of the fundamentals of the market, at such a young age, was advantageous to Connelly's eventual future as an investor. The prospect of riches, and the unlimited possibilities that the stock market offered, soon began to recapture Connelly's imagination.
"The stock market to me was just a big puzzle. It fascinated me. I felt that if I could figure out the pieces to that puzzle, I could develop a strategy that would give me a huge advantage over other traders," Says Connelly, "I knew it would take a lot of trial and error, but I was convinced I could develop a method that would give me an edge in finding the next breakout stock."
On a whim, Connelly opened his first trading account his freshman year in college. "Initially, it started off has just a hobby. I wanted to learn the process, and start small. Once I figured out a strategy that could win consistently, then it was time to turn it up a notch."
Connelly began like any other investor. Studying charts, utilizing resistance calculators, analyzing financial reports, and re-learning the basic fundamentals of trading.
Connelly's hobby soon became an obsession as he began skipping his classes, preferring to spend the majority of his time researching and trading stocks.
"I was making more money from my dorm room than most people make at their jobs, so I just figured going to class was a waste of time. I was on to something, and I wanted to keep the momentum going."
To Connelly, spending the day trading was more exciting and satisfying than sitting in a classroom being lectured. Eventually, college became an afterthought.
Over the next few months Connelly spent hours in his dorm room pouring over charts, analyzing trading patterns, volume, resistance levels, and any other identifiable factors he could find to help him identify a point when a stock was about to experience a bullish trading pattern.
Connelly was convinced that that winning stocks must have similarities, and that if those similarities could be discovered, it would be the key to identifying breakout stocks before they happen.
"I felt certain that I could create a strategy that could identify a breakout stock, before it began to rally. There had to be a signal, something that could be used as an identifier to 'red-flag' a stock that was about to see a major move."

Connelly eventually discovered 4 key variables that he believed was the secret to identifying a breakthrough stock. To this day Connelly has not released these variables to the public.
"I've been offered a lot of money to sell my strategy, but that's not going to happen. I want everyone to have the opportunity to profit from my strategy, not just someone who will pay millions for it, and keep it all to themselves."
What Connelly is willing to share with the public, is how identifying the Psychological Support Level (PSL) of a given stock, is the key to his method being so successful.
"While the 4 variables I discovered are still a closely guarded secret, what's not a secret is how PSL can be catalyst to finding breakout stocks. It is the 'match' that lights the fire." Connelly continues, "Most people don't understand how incredibly important PSL is, in discovering under-valued stocks that are about to skyrocket."
Psychological Support Level is nothing new in the trading world. It is the activity of human behavior that can cause a stock to be sold at well below its actual worth. In fact, many investors believe PSL is one of the most important factors in identifying under-valued stocks. However, just discovering undervalued stocks is not enough.

Discovering the undervalued stocks that are about to move,
that's the hard part.

"I became interested in the possibility of creating a strategy that utilized PSL to identify and predict human behavior and its influence on a winning stock," says Connelly. "I was certain if I could find a way to combine this with the 4 key variables I discovered, I could greatly outpace the overall market, and see rapid percentage gains in my portfolio."
Connelly believed that PSL was the "missing link" to creating a strategy that would maximize profits and potential gains in the market.
PSL is currently used by mathematicians to predict and determine how human behavior affects population growth, crime and even terrorism. It's called Psychometric Science, and its no longer science fiction. So Connelly posed the ultimate question.

Why Not The Stock Market?

Connelly felt confident that PSL, combined with the 4 variables he had discovered, would prove to be the missing piece of the puzzle that could help 'predict' a bullish trading pattern…. Before it Happens!

The Result?

After months of trial and error, tweaking and testing his strategy; Connelly was successful in creating what would eventually become one of the most popular and wildly successful stock picking strategies in recent memory.
A strategy that when applied, could predict solid gains in the market 24 to 48 hours…before they happened.
When Connelly tested his new stock picking strategy over a period of 30 days he experienced an average gain of 28% on over 11 trades. For any other investor this would be a resounding success...

...but Connelly was not satisfied.

He had a better idea. Since PSL was going to be such a key factor in determining which stocks were about to move, why not implement this strategy in a place that PSL plays the biggest role in discovering winning stocks?

The Micro-Cap Sector! A.K.A. Penny Stocks!

Because PSL plays such a huge role in the micro-cap sector, Connelly was convinced that if he switched his strategy toward micro-cap stocks, he could achieve even greater gains than he could on the big-board stocks. The Results Were Astounding!


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