{Guess what happens} I hate? I hate seeing my students being ripped off…like {these were} here
I hate seeing their excitement for {the chance} {of creating} generational wealth through trading being squashed by so-called “gurus” who scam them out {of these} money {plus they} lose everything, including faith in themselves {they can} {make} it {1 day}.
And I hate hearing {that folks} {without} real-world trading experience – {aside from} any real success – are {on the market} conning gullible students into wasting their time and their money…which {is the reason why|is excatly why} {I REALLY LIKE} showing ALL my trades HERE and posting my tax records/audits.
I’m {definately not} being {the very best} trader {on the planet|on earth}, but {I’ve} made millions and show {Just how} I’ve done it in a transparent way, {that is} what {I really believe} ANYONE you’re {attempting to} learn from {must do}
I’m on a mission {to improve} this shadow industry where everyone claims to bank, but {won’t} back it up by showing real trades, statements and {taxation statements}.
It’s also {vital that you} understand {I could} give you {all the details} {on the planet|on earth} like these free penny stock video lessons, but it’s {your decision} to learn {to identify} and advice {all of the different} {methods for you to} be {cheated}:
Table of Contents
Scam #1 – {You get} {right into a} promoter’s hype
I’m guessing {the majority of} you reading along {in the home} thought I {would} start this out with a tip {on what} promoters are scamming you {from your} money and {that you ought to} avoid them {no matter what}.
That’s {not} true. I hate {that folks} sometimes fall for promoters’ hype, {however the} thing is, {they are able to} actually be useful {once you learn} {how exactly to} play their tips. I’ve done it, and my students {take action} {each day} to capitalize {away from home} ups (and inevitable crashes) penny stock promoters create.
Where I see people {engaging in} trouble, though, is {if they} start believing a promoter’s hype. The {believe that} the “hot tip” they got in a mailer {on the} weekend {will likely be|will probably be|will be} {another} Google – and that they’re {in a position to} get in {on the floor} floor.
Newsflash – if you’re {obtaining a} mailer {in regards to a} stock, {the bottom} floor has long since passed you by!
{The true} {facts are} that 99.9% {of most} {very cheap stocks} will {head to} zero. They’re worthless companies! {Should they} had the qualifications to trade on the NYSE or the AMEX, they’d be there – not floundering on the OTCBB or pink/grey sheets.
Promoters laugh when people take their recommendations {and purchase} {to their} hype. They’re literally sitting there, laughing at you.
Don’t {provide them with} the satisfaction.
Scam #2 – That {news release} you’re reading {is really a} blatant lie
{Whenever a} legit company {really wants to} go public, there’s {a large} process {they need to} {proceed through}. {They need to} file reports with the SEC, {plus they} have to {continue} “IPO roadshows” {to get} bankers and investors {that are} {ready to} set their valuation appropriately and approve {the original} release. Basically, {they need to} prove that they’re legit.
You won’t {note that} with {very cheap stocks}.
Companies on the pink/grey sheets {is there} {since they} can’t meet these criteria. That doesn’t mean there isn’t value in trading them – {you merely} {need to be} {alert to} what you’re {engaging in}.
Because many companies on these bottom-rung exchanges don’t file with the SEC, there’s virtually nothing that keeps them from lying to {that person}.
That {news release} you saw boasting {a cent} stock’s big revenue gains? That news article {discussing} its upcoming merger?
{They may be} real stories – or {they may be} blatant lies.
When you’re trading {very cheap stocks}, {adhere to} the patterns. Don’t {agree with the} hype and don’t let yourself be swayed by false information. {Know very well what} your rules are and what setups you’re comfortable trading on, and {adhere to} those alone.
Scam #3 – Your penny stock {is a} paper company
Here’s another fun one…The penny stock you’re {looking at} {is probably not|may not be} {an organization} at all – {it may be} a paper company {setup|create} in name alone!
Paper companies get {setup|create} {at all times|constantly|on a regular basis|continuously}, for {a great deal of} different reasons. One you’ll {wish to be|desire to be} aware {specifically} of {may be the} reverse merger.
Remember how I told you {just how much} of {a headache} {it could be} for {an exclusive} company to go public? {A number of them|Many of them} {miss the} process altogether by merging with {an organization} that’s already listed on an exchange.
That’s {just why there are} so many penny stock companies {which exist} {in writing|in some recoverable format} only – they’re just sitting there, {looking forward to} another company {ahead} along and merge {using them}.
Telling {these kinds of} stocks {aside from} actual companies {could be} tough, but {in the event that you} follow the patterns and setups I’ve identified over years of trading, you’ll {know very well what} {to consider}.
Scam #4 – You’re using more leverage than {it is possible to} afford to cover
{I want to} be totally clear {with this} one – I hate leverage!
I’ve been trading for {a lot more than} fifteen years, and I’m still never so confident {in one|within a} trade that {I wish to} tie up somebody else’s {profit} it.
Using leverage is big with institutional investors and FOREX traders – {a few of} whom use 100 {to at least one} 1 leverage from their brokers.
{Is it possible to} even {observe how} big of a risk {that’s}??
Say your brokerage {enables you to} bet $1,000 {once you} only have $10 in {the lender}. If your trade busts – and 5 out of 6 FOREX traders will {inflate} within {six months} – you’re {likely to} be on the hook {for all those} losses.
I’ll take the slow and steady wins {I could} get with {very cheap stocks} every time, {in comparison to} putting that much {at risk}!
Scam #5 – {You obtain} tricked into playing markets where you {haven’t any} advantage
Another really terrible investing scam I see students falling into {at all times|constantly|on a regular basis|continuously} {gets} into market plays where {they will have} {zero} edge.
FOREX is {one of these brilliant} “opportunities” ({you don’t} think {you understand} more about financial currencies than {people who have} {the within} scoop on foreign relations??), but it’s not {the only person}.
American depository receipts (ADRs) and mergers and acquisitions (M&A) are two {other styles} of investing plays where big-deal traders have {an edge} {you won’t ever} will.
{Simply take} M&A trading. {Lots of|Plenty of} wanna-be investors {believe that|believe} if they {get yourself a} hot tip about two companies {which are} {likely to} merge, {they are able to} {obtain} trades in early and {turn out} ahead on {the offer}.
News flash – {even though you} {could actually} get in {before} {everyone else} ({that you} won’t, since financial insiders can swoop in on these deals {prior to} your trades will ever be executed), {you don’t} think your investing choices {will undoubtedly be} smarter {compared to the} Ivy League grads and computer algorithms that sit around working {these types of} trades {all day long}, {each day}?
You’re not – and anybody who {lets you know} {these} are good ways for normal {people who have} small accounts {to obtain} rich is scamming you.
Scam #6 – Another trader is {using} the stock
I’d be lying {easily} said penny stock traders’ reputation {because the} “low lifes” of the investing world isn’t always undeserved.
{Among the} truly frustrating {reasons for having} working in {this kind of} market is that you {come across} instances where another trader is {using} the stock.
Maybe he sells {a large} chunk of shares {to obtain} other investors {to believe} that something’s going on. {Everyone else} sees the movement, thinks the stock is crashing and rushes {to obtain} out – playing {directly into} the {group of} shorts he’s setup.
Sometimes it’s {a lot more} complicated than that. Remember when I told you about Joseph Dondero? He took {this kind of} manipulation {to another} level by layering {a great deal of} phony {trade} orders {along with} {one another} get {visitors to} act.
{A few of these} scams {are clear}, but {many of them} aren’t. {Just how} {is it possible to} protect yourself?
Trust {your quest} {as well as your} rules. {Research your options}, and base your expectations for the stock’s performance {on which} you’ve learned and the patterns {you understand}.
If things don’t go {how you} expect? It’s still {easier to} {escape} quick and cut your losses than {in which to stay} and get {rooked} {by way of a} scammer.
Scam #7 – {Carrying out a} teacher {without} real-world trading experience
I’m {likely to} {enable you to} in {using one} of the internet’s dirty little secrets…
Anybody with a blog {and some} stock charts can call themselves {a specialist}. {They are able to} grab {several} images of “their” sports cars and mansions from Google, pair them with {several} bogus stock picks {and obtain} gullible students {to join up} {for his or her|because of their} “expert mentoring” programs.
I’ve seen it {again and again} – {also it} really pisses me off.
If you’re {likely to} {look for} a {trading} mentor (and I definitely {advise that} you do {out of this} list), you’ve {surely got to} go with {anyone who has} {a successful} record of real-world trading experience.
There’s {several} different things {that you can do|that can be done} {to split up} {the true} traders from the scam artists, but {among the} easiest {methods to} do that {would be to} simply look at their trades.
{Consider} it… If that “guru” {you would like to|you need to|you wish to} {study from} doesn’t {demonstrate} their trades, {how will you} tell they’re for real? Honestly, they’re {most likely not}. There’s {an excellent} chance all you’re {coping with} is a {couple of} bullshit {made to} rip you off.
Don’t get {rooked} {such as this}!
I put all my trades up at Profit.ly so my students {can easily see} what I’m doing and {what types of} results I’m getting. My challenge students even {reach} watch {when i} make live trades, so there’s no question of {if the} advice I’m giving is legit.
I’m {the real thing}, but I’m {likely to} put my money where my mouth is. {If you need to|In order to} see what I’m {about}, {have a look at} my trades, watch the 30 penny {trading} videos I offer {cost-free} or hear {concerning the} success my students have achieved.
{If you want} what {I must} say, I’m here {to greatly help} turn you {right into a} millionaire. {The one thing} I’m waiting on is you!