Timothy Sykes is a well-known name in the world of penny trading. If you’re thinking about learning how to profit from penny stocks, or if you already have some experience under your belt and want to hone your skills, then you’ll likely have heard of him. You might even have already read some Timothy Sykes reviews online.
Like most trading “gurus”, however, he’s also a target for controversy. While many former students speak very highly of him, others are convinced that he’s running a scam. There’s also a group of people in the middle that haven’t yet made their minds up. The Timothy Sykes debate is in full swing.
If you’re reading this post, you’re probably unsure about whether or not to invest in one of Sykes’ courses. If that’s the case, we’ve got you covered. We’re going to answer six of the most common questions that get asked about Sykes and his training materials.
1. Who Is Timothy Sykes?
In a nutshell, Timothy Sykes is a penny stock trader and teacher. His backstory is that he turned $12,000 of bar mitzvah money into $5 million over the course of a successful career.
As a teacher, he has a pretty big profile. He’s been featured on several well-known television programs, including Larry King and Steve Harvey shows, and has been written about in popular magazines like The New York Times. He also donates significant amounts of money to charity.
Most would-be traders first encounter him through one of his social media channels. He has large, engaged followings of millions of people on Youtube, Instagram, and Facebook.
2. What Is Penny Stock Trading?
So just what is penny stock trading? And why does it have something of a bad reputation among certain groups?
Penny stocks are simply shares that trade for less than five dollars. Companies that sell shares below or at this amount usually aren’t eligible to be listed on larger exchanges like the NYE (New York Stock Exchange).
Penny stock trading carries a unique set of risks, and this is likely the reason it is viewed negatively in some quarters. They usually have lower liquidity, for example, than “normal” stocks, meaning that it’s harder to sell them quickly. Furthermore, because less is known about smaller companies that don’t operate on established exchanges, trading is highly speculative.
3. Can You Make Money Trading Penny Stocks?
This is an easy question to answer. While people often debate about the benefits and shortcomings of penny stocks, there is undoubtedly money to be made. And there are many successful traders.
On the negative side of the argument, penny stocks are often said to be risky, open to manipulative strategies like pump-and-dump schemes, highly volatile, and often overvalued.
On the positive side, however, penny stocks also provide opportunities to identify up-and-coming companies, take advantage of fast-changing market dynamics and patterns, and turn relatively small amounts of money into much bigger sums.
Ultimately, it comes down to personal preference and tolerance for risk. Some people will be drawn to the inherent excitement associated with penny stock trading, while others will not.
4. Timothy Sykes Review: What Courses Does He Sell?
Timothy Sykes sells a range of courses at varying price-points, catering to everybody from beginners to more advanced traders.
Let’s take a quick look at what he offers:
- Individual video courses and books – Alongside more in-depth training, Sykes has published a number of self-contained video courses and books. His Amazon title, The Complete Penny Stock Course, is a good entry-point for people new to his materials.
- “Tim’s Alerts” and “Pennystocking Silver” – Sykes offers two mid-tier subscription packages: a daily alert service (with information about promising trades) and an extensive video training library that’s updated on a regular basis.
- “Tim’s Challenge” – Syke’s premium course is called “Tim’s Challenge”. It’s available through his website and works on an application basis. [Gr]
5. Is Timothy Sykes a Scam?
Let’s examine some of the claims that Timothy Sykes is running an elaborate scam. Most aspiring traders that are interested in his courses don’t fall into the “definite scam” category. Instead, they’re dubious about whether or not they’ll receive genuine value, which is an equally valid concern.
One common criticism levelled at Sykes is that he’s just repackaging trading advice that’s already widely available in the public domain. This is true to an extent, depending on what courses you’re talking about. But it’s important to remember much of his audience is made up of beginners. What you get with Sykes is a well-structured outline of the fundamentals in addition to more advanced techniques.
Secondly, Sykes was accused of creating what is, in essence, a pump-and-dump scheme. The argument runs that he will encourage his followers to buy stocks that he himself is invested in, thus artificially inflating their value before dropping his own holdings before the price stabilizes.
Anybody who follows Sykes knows that he’s spoken against pump-and-dump schemes extensively. And a big part of his philosophy is teaching his students how to recognize, avoid, and even leverage them.
The final main objection is that Sykes is just making money from courses, rather than actual trades. This is an easy criticism to counter. You can see records of Sykes’ current and past trades on his user profile on Profit.ly.
We believe that Timothy Sykes is genuine. He offers high-value materials and has a proven track record. What’s more, most of his training courses don’t require high up-front investments. You can pick up his introduction to penny trading on Amazon for a few dollars.
If you’re considering Sykes, don’t be put off. Purchase one of his lower-priced products and take it from there.