/biz/ - Business & Finance

>>59679
he's an idiot who sells dvd's/chatrooms because his methods don't work very well. don't believe his pitch.

>>59690
Is there a penny stock system that does work well? I've got no problem doing the research, I do that in my current job and did it in the past when I invested, but I'd like a tighter more targeted approach.

Thanks for the reply, btw.

>>59845
Didn't mean to namefag as TS, my bust /biz/. But if you can answer my question in >>59845, that'd be greeaaaat, thaaaaanks.

>>59845
trading is 90% psychology. It's not about the system. it's about what's going on in your head.

in terms of a trading strategy, just follow trends. it's what sykes does anyway. he buys breakouts and shorts breakdowns. simple but it works.....if you have the psychology nailed down.

read mark douglas - trading in the zone

He tried making a fund and lost 3/4 of his and his clients money. Hes resorting to selling his "system" online. First rule of trading, if someone has some amazing system they shouldn't have to sell it.

>>60006
>First rule of trading, if someone has some amazing system they shouldn't have to sell it.
And second rule of trading. If someone speaks about forex, run in the opposite direction as fast as possible.

The first day /biz/ was made I had a nightmare about Timothy Sykes treads and penny stock trolls.

This man is as fake as you can be.

He owns all the websites that pop up when you google his name. He made it so it redirects you to either his website or forums/ articles made by paid writers.

He owns that website he uses to show you his recent transactions. He can control what gain/losses you can see and chooses to show you all the wins and 1/8th of the losses to make him look like a wizard.

His youtube videos are a joke. They are made to hype up stock illiterates to buy into his dead iirc and silly dvds. He sells the idea "just do what i do" and then you see these poor people posting on his youtube "i lost 9,000 dollars and I bought everything you told us to". He blocks you if you call him out on youtube or aargue his method then he will reply to you so you cant respond.

He made a documentary about "wallstreet lyfe". Wasn't soon until we found out the female was a paid actor and the hedge fund manager was jailed for a ponzi scheme.


...So that is what I think about this fake ass guy.

>>60006
This too. Add this to my long post. I forgot about his huge loss.

>>59679
he's a hilarious and awesome dude. He figured out a way to trade penny stocks. IDK if being one of his "students" will make you profitable. He did make 2 millionaires already so that's something.

>>60163
go away Timothy.
you are the taint of Wall Street.

>>60190
let me clarify, he's hilarious and awesome because of how immature he acts. mid 30's, no wife no kids and is always posting pictures of his watches and cars and facebook. he's entertaining. i like him but not really respect him

He started profitly and investopedia. He's a smart guy and he trades based on his own due diligence.

That being said, it's nothing you can't do on your own. Other anons that don't like him are either mad or jealous because he definitely is making killer money through his techniques and services.

Trading penny stocks is very easy.

#1: Pre-market scanner. Check for high volume or high % gainers.
#2: Look at the news for those companies. Good news? If it's not OTC buy that shit pre-market, OTC? Buy that shit at market open. Sub-penny stocks will sometimes move 1000+% in a day on good news.
#3: Dump at market open or just after market open when momentum is strong and gains are locked in. Never wait till the top.
#4: Enjoy your profits

He does more due diligence and actually reads SEC filings about penny stock companies to find out how legitimate they are or not. He goes long others on the same type of DD.

>>60135

When was the first day?

>>59963

>90% psychology

I never think of it that way. I think it's just about determining value. You can never lose if you know what a stock is worth, the animal spirits can just cause temporary problems.

he's a good trader!

>his fund posted losses of more than 36% between January 2006 and July 2007 (while the overall market was up 25%) and Sykes shut down his fund.

>>60222
I think were at day 5.

tons of support from /g/ and /pol/ since day 1

he talks about wall street a lot but he's never been on wall street

>>60018
2nd rule of trading

Don't speak on things you don't do/understand.

Stick to the stock market kiddo

Thanks for the response everyone, this has been very helpful.

>>59963
>mark douglas - trading in the zone
I'll invoke the power of Amazon Prime on that one, I need a non-fiction infusion. Any other investing must-reads?

>>60006
>>60018
So he's selling hype and pump-and-dump?

>>60135
I get that he's leverging hype, and that always sells, but do his underling methods work? Or do they only work because he's able to effect changes in small OTCs due to his "subscriber base"?

>>60217
So where do you go to do your research and your pre-market scanning? Is there a prefered method and/or service for this?

>>60217
He's a fraud he lost the majority of his money when his fund crashed. The cars he posts pictures of are rented. Nobody is jealous of him, he gives traders a bad image.

>>59679
>Whaddaya think, /biz/, is it worth dropping coin on his "system"?
if his system worked then why would he sell it?
>he wants to make money!
Well if his system is so great then why is he wasting time and money writing a book?
>uhhh maybe he just wants to share his knowledge!
Then why isn't he just releasing it for free on a website?

Of course his fucking system is bullshit.

>>59690
This. Anyone who is telling you they can teach you how to use a system is a fucking moron who's system doesn't work, or they'd use it to make more money.

>>60333
Stop pretending you make moeny with forex trading. Every single academic study on technical analysis says you'll never make abnormal returns.

>>60475
Academic<Actually trading

I had professors like you who doubt traders and just like you they never traded a day in their life.

Why don't you try to actually contribute instead of being a pessimistic faggot

>>60800
That's not me. I'm this guy >>60018

Forex is a scam. As a decentralized market, forex "brokers" run bucket room operations where they take the opposite side of your trade. There is no actual trading going on like equities, options or futures. Considering your broker is taking the opposite side of your trade -and you are paying an absurd spread, no where near interbank prices- you have no chance of making money in the long run. Your broker won't just sit there and let you take money from them over and over. Price feed manipulation, ridiculous price quotes, sudden liquidity drops etc. You name it. When you trade in a bucketshop, your broker will screw you over in so many ways.

If you wish to trade currencies, do so with futures. Since they trade on exchange, there is transparency where this stuff simply doesn't happen.

If you trade forex, you're literally being conned. It's actually embarrassing when I see people like yourself recommending it because you simply don’t understand how the game works. You’re new and naive and they prey on your gullibility.

I paid $50/month for 4ish months for his TimAlerts subscription in 2010 - he puts out a watchlist, texts you real-time when he does the trades (he does move the market so being able to move quickly is crucial). I made ~$300-500/month starting with $3000. It's probably not always as good, but you will beat the market if you have at least $2-3k to start with, and a margin account.

Now, eventually you'll probably figure your own shit out and just go solo. If you already know, then no point paying for it. His $700 videos certainly aren't worth it, but they're not targeted for small (account size) traders at any rate.

As a personal friend of Timothy, I can tell you that yes, he does make money (and he has lost a lot in the past). However, I would not advise you to go buy his stuff. There's a lot better stuff out there than his... I have all of his stuff, and sorry Tim, even though you're a friend, if you're reading this, your DVDs suck. FFS you don't answer your phone in the middle of doing a DVD vid, Tim.

>>60800
Do you even know what a zero sum game is?

>>60288
holy shit he woulda gotten rekt in 2008

>>60872
I have traded profitably for 3 years. Post your email I'll send you proof

Whats your Forex trading history? Oh never traded? How surprising

>>60872
>bucket room operations where they take the opposite side of your trade
That's not what a bucket shop is... what you're describing is a dealing desk (DD) vs no dealing desk (NDD). There is nothing inherently wrong with using a dealing desk broker. Your trade will first be matched against any available trade that is the opposite of yours from a different client, after that the broker will take the other side (because statistically they probably will not lose money, and they will make money on the spread regardless) or your trade will be passed through to the market. By offsetting trades before passing them to market it helps on liquidity and often allows for tighter spreads. If you're using a broker registered with the CFTC, NFA, or regulating body of your country there is usually no 'extra' danger in this, even more so if it's a publicly traded firm. People who cry foul on 'stop hunting' or price manipulation are, unsurprisingly, the one's who are unsuccessful... anything to defer blame from themselves.
If you aren't comfortable with this you can just use a broker that doesn't use a dealing desk. With this method your trade is passed through to market, with a usually higher spread. NDD brokers will often have multiple liquidity providers so you get some competition on your trade which results in the spreads lowering slightly. More liquidity providers = less spread.
As far as an "absurd spread" it depends a lot on things like recent news, type of execution, account size, etc. The people who most often complain about spreads are scalpers that go after a tiny bit of profit on each trade (meaning that they do usually end up paying more in spread than they would make), people who trade the news and are suddenly surprised that the spread shot up by 10 pips after an unusually good retail sales report, or people attempting to trade underfunded.

>>62203 cont.

>>60872
All this said, there are bucket shops that will screw you, but it's up to you to do diligent research on which broker you're going to use.
>When you trade in a bucketshop, your broker will screw you over in so many ways
That's about the only solid part of your post, but the implication you also make is that all brokers are bucket shops.
The part that's actually embarrassing is how little you understand about forex, and at the same time try to say the same about the people doing it, regardless of if they're profitable or not.

>>60971
Do you?
Zero sum isn't a bad thing, it's just the way it is. Someone needs to take the losing side of a profitable trade. The idea here is to be on the winning side and not the losing side, or at least be on the winning side more often than the losing side. Forex is actually a negative sum game when you factor in spreads.

The people that bitch and moan about forex being a scam are the ones that either actually got screwed by their broker (meaning they didn't properly look into who they were giving their money to), traded and did poorly so they try to put their failure on someone else, or have never actually traded and are speaking hearsay.

Fact is though, most people go about trading forex wrong in the first place. I've seen it so many times it's not even funny.
As I mentioned above, they wont do any research on their broker and put their money in the first firm they see.
They'll go into it woefully underfunded, meaning they can't absorb losses.
They'll use a stupid amount of leverage and blow up their accounts.
They'll jump straight into trading without trading a demo, realizing way too late that they don't know what they're doing.
They'll go into it completely unprepared mentally and psychologically. Panic on losses, cut winners short, let losers run hoping they turn around, etc.
They'll have no concept of money management. They'll be unable to protect their wins and they'll let their losses ruin them.

>>62327 cont.

Money management is probably the single most important aspect of trading forex (or any trading for that matter) and it seems to be the part that people suck at the most.

I could go into a room full of people and tell them exactly when to get in a trade and more than half the room will still manage to lose money.

If you don't have at LEAST $5k you're probably underfunded unless you're trading tiny lots as a hobby. To make a living you need way more than that.
Nothing good will come from putting in $500 and expecting to make $10k in a couple of months.
As an example, we'll say that you want $2500/mo and that you won't use more than 10:1 leverage. Achieving this means:
-Making 500 pips a month with a $5k account.
-Making 250 pips a month with a $10k account.
-Making 50 pips a month with a $50k account.
-Making 25 pips a month with a $100k account.

The first scenario isn't very realistic. The last scenario is quite easy.

I could go on for ages on stupid things I've seen or herd of people doing, but alas, this isn't even a forex thread to begin with.

>>62432
But you're talking about going 'all' in each trade..

>>64069
I don't follow, what are you getting at?

>>64069
>But you're talking about going 'all'
>>64507
Poker reference. He's saying that you'll have to put all your capital behind each trade. "All in," as in pushing all your chips into the pot for a particular hand.

>>60872

Sorry, I know the extreme basics but I'm still a noob. Why is it bad that the broker take the other side of the trade? What does this mean? Why would it make a difference to the investor, shouldn't his experience be unaffected as long as the broker buys and sells when told?

>>67921
Oh, I understand now, thanks. However, that's untrue.
You're risking a % of your account on each trade not the whole thing, with a 30 pip stop loss for example, if your position gets closed you've only lost 3% of your account at 10:1 leverage. You're not betting the entire nest egg, you're using a portion to leverage a position.

>>68112
see >>62203
People assume that by taking the opposite side of your trade the broker will manipulate prices because they now have a stake on you losing. While this is a problem with scammy brokers, if you're using a regulated one it's not an issue.

Wow, it's like I've stepped back into Babypips...