+382% Return in 1 Year - Why Most Traders FAIL at Shorting from a Trading Champion

Video Description

📈 Sign up today at https://public.com/traderlion and earn a 1% uncapped match when you transfer your investments. 📚 Order The Trader's Handbook Here: https://go.traderlion.com/uilGP 📘 Get your FREE 115-page Ultimate Trading Guide: https://go.traderlion.com/uihtc 🔍 Next-Generation Stock Screener: https://go.traderlion.com/uihtj Ty Rajnus of Rajnus Capital returned an incredible 382% in the 2025 US Investing Championship — all short trades, zero losing months. A day trader specializing in nano cap and micro cap stocks, Ty brings a fully systematic, backtesting-first approach to the short side that's unlike anything we've featured before on the TraderLion podcast. In this episode, Ty breaks down his entire process from the ground up: how he discovered short selling after starting with a $2,000 gift from his grandfather, why he dropped out of engineering school to trade full time from a camp trailer, and the data-driven methodology that's produced remarkably consistent 200%+ returns for three consecutive years. He walks through his backtesting framework in Excel, explains how he identifies overextended penny stocks primed for a reversal, and reveals how changes in volume and liquidity create his highest-conviction entries. Ty also shares his best and worst trades of 2025, his compounding position sizing strategy, the terrifying reality of T12 halts and overnight holding risk, and why he believes the most powerful trading fund would combine five uncorrelated strategies. Whether you're interested in short selling, systematic trading, or simply building a more data-driven approach to the markets, this one is packed with insights. 🔥 What You'll Learn: ✅ How Ty built a systematic short selling strategy that returned 382% with zero losing months ✅ Why overextension to the upside is the #1 factor in his backtests — and how he measures it ✅ The backtesting framework in Excel that drives every trade decision ✅ How to size positions using historical max drawdown data to survive worst-case scenarios ✅ Why liquidity transitions (pre-market to open) create the best short selling entries ✅ The compounding strategy that turns small accounts into big ones without increasing blowup risk This isn't just theory — this is a proven, data-backed system delivering consistent results year after year. Enjoy! - The TraderLion Team Public Sponsorship Disclosure: Paid endorsement.Brokerage services provided by Open to the Public Investing Inc, member FINRA & SIPC. Investing involves risk. Not investment advice. Generated Assets is an interactive analysis tool by Public Advisors. Output is for informational purposes only and is not an investment recommendation or advice. See disclosures at public.com/disclosures/ga. Past performance does not guarantee future results, and investment values may rise or fall. See terms of match program at https://public.com/disclosures/matchprogram. Matched funds must remain in your account for at least 5 years. Match rate and other terms are subject to change at any time. Timestamps: 0:00 - Welcome & Ty Rajnus Introduction 4:09 - How Ty Got Started in the Markets 8:00 - Switching from Long to Short Side 9:57 - Engineering Background & Dropping Out of College 12:05 - COVID-Era Observations & Finding His Edge 15:38 - Defining His Style: Short Only, Systematic, Day Trading 19:10 - 2025 Results: 382% Return, Zero Losing Months 23:07 - USIC Metrics: 238 Trades, 66% Win Rate 27:43 - Risk Management & Backtested Max Drawdown Sizing 33:31 - Building a Strategy from First Principles 36:11 - The Core of Backtesting: Removing Emotions & Proving Edge 39:13 - Data Collection & Excel Walkthrough 43:55 - #1 Factor: Overextension to the Upside 48:21 - Locating Shares & Broker Selection 52:14 - The Zero DTE SPX Options Strategy 59:48 - Key Niche Components: Dilution, Parabolic Action, Liquidity 1:05:53 - Volume & Liquidity Transitions as Entry Signals 1:11:32 - Risk Management & Wide Stops for Short Sellers 1:20:09 - Dealing with Halts: LUDP, T12 & Scaling Out 1:30:14 - Overnight Holding Risk: The $5 to $125 Lesson 1:34:51 - Compounding Position Sizing Strategy 1:37:03 - Best Trade of 2025: CWD Crypto Treasury Play 1:46:36 - Worst Trade of 2025: Zero DTE Blown Out During Tariffs 1:48:47 - Mindset: Execution Over Income & Having a Side Hustle 1:52:10 - Contrarian Mindset & When Friends Text About Stocks 1:56:01 - Jim Simons, Medallion Fund & Multi-Strategy Vision 1:58:05 - Day-to-Day Pre-Market Routine & Execution Process 2:01:27 - Closing Advice for Traders