Timothy Sykes Review
Quality of Alerts
Quality of Support
Ease of Use
Quality of Education
Timothy Sykes is one of the most well-known day traders in the online trading world. From using controversial marketing to sharing photos of a luxurious lifestyle, Tim certainly knows how to capture attention. This review discusses the quality of Tim’s trading service and gives recommendations on who it is best for.
- About Timothy Sykes
- Tim Sykes: The Marketer
- Tim’s Trading Style
- Emphasis on Education
- Video Lessons
- Timothy Sykes Chat Room
- Tim Sykes Book: An American Hedge Fund
- What Type of Trader is Timothy Sykes’ Service Best For?
- Is The Service a Good Value?
- What About the Millionaire Challenge?
- Is Timothy Sykes Legit?
- Some Twitter Buzz
About Timothy Sykes
If you’re entering the world of online trading, Timothy Sykes is generally one of the first traders you will discover. Tim has been day trading for a long time and his marketing tactics provide him with an impressive reach.
Tim Sykes started trading with his Bar Mitzvah gift money during his college years. He’s well known for turning $12,415 of gift money into over $4 million in trading profits. Tim primarily focuses on penny stocks, however his style has evolved over the years, allowing him to profit in different market conditions.
Tim Sykes: The Marketer
If you’ve been trading for some time, you’re definitely familiar with Tim and his marketing style. Love it or hate it, Tim Sykes uses marketing tactics that attract ambitious new traders to the markets. His Instagram page is plastered with images of luxury cars, exotic vacations, and even stacks of cold hard cash. Tim is well-aware of the image he has created but claims to use it as motivation for aspiring new traders. The markets can be boring so Tim focuses on the rewards of becoming a hard trader and shares photos from his luxurious lifestyle to motivate others.
View this post on Instagram
Congratulations to my #lamborghini #huracan on winning #caroftheyear from #robbreport for 2017 while my #ferrari #458 wins my vote for #jewmobile of the year so it doesn't feel left out! #ilovethemboth #mytwobabies #affirmativeaction #exoticcars #workhardplayhard #miamibeach #jewacan #jewmobiles
View this post on Instagram
Good morning to all my students in the US, here's my #breakfastwithaview in #phuket #thailand mmmmmmm I love #nasigoreng especially right after a solid swim. I hope you're well rested so let's crush it in the #stockmarket today! #breakfastofchampions #proudteacher #ilovetotravel #workfromanywhere #thegoodlife #dreamjob #truefreedom #traveladdict #trynewthings #jeweats
View this post on Instagram
Here's what $1 million cash looks like in giant stacks of $100,000 each on my bed, would you rather spend it on yourself or to give to a world-changing #charity like @pencilsofpromise so I want you to like this photo, tag 3 people who need some #dailymotivation to get them to #studyhard and #workhard and leave a comment with what you would do with $1 million? If you read the news earlier today about my charity #thetimothysykesfoundation donating $1 million to #pencilsofpromise to build schools all over the world you know what I would do with this money! #dreambig #dreamsdocometrue #dailyinspiration #workhardgiveback #givingback #ilovemyjob #proudteacher #hebrewschool #edjewcation
Tim’s Trading Style
Sykes initially started out trading penny stocks and he is known for being one of the first prominent penny stock short sellers. As many people know, the penny stock markets can be very sketchy. The OTC markets are tarnished with shady companies who engage in paid promotion schemes, dilute their share structure, and don’t provide full transparency. Tim focuses on short selling a lot of these stocks after they experience and irrational spike or after a paid promotion scheme.
Penny stock markets are cyclical; sometimes they are a hot sector and other times they are completely dead. Accordingly, Tim has expanded his style to take advantage of other types of stocks, such as earnings winners.
Tim’s style is rooted heavily in technical analysis. Simply put, he uses stock charts to make most of his trading decisions. He also focuses on other elements such as paid promotions, earnings, and news catalysts. Tim’s approach to the markets could be described as “common sense” trading backed by technical analysis. For example, if a stock runs simply due to a paid promotion, Tim may conclude that the company is garbage and the share prices will drop right after the promotion is over.
Emphasis on Education
Tim constantly encourages his students and followers to study, study, study! It’s easy to get distracted by Tim Sykes’ flashy marketing, however he actually provides quite a bit of trading education. To date, Tim has released many trading courses, such as:
- PennyStocking Part Deux
- Tim Raw
- Learn Level 2
- Read SEC Filings
There’s a lot to learn and many courses to choose from. I’ve seen most of the courses, and I would recommend PennyStocking, PennyStocking Part Deux, and ShortStocking for new traders. These three DVDs cover the basics of Tim’s style and provide the most bang for your buck.
It’s recommended to watch the trading courses as they explain Tim’s trading style in great detail. It will be easier to understand Tim’s alerts and chat room comments if you have familiarized yourself with his basic methodology.
Tim also provides video lessons in which he goes over recent trades. The videos are released weekly and stored in a video lesson library that has over 4,400 videos. It’s impossible to watch them all, but it can be helpful to search by ticker or strategy if you are trying to brush up on your trading knowledge.
The video lessons provide new traders with a lot of value. One of the best parts of profit.ly is how well it is organized. You can search videos by ticker, strategy, date, etc. The video library is a gold mine – take advantage of it.
Video lessons are optional, and will cost an additional $75/month, but they are well worth it for new traders who are trying to learn.
Here is an example of one of Tim’s free lessons from YouTube
Timothy Sykes Chat Room
Timothy Sykes runs a chat room through the profit.ly website. The chat room is run by Tim and a few moderators, such as Michael Goode. Compared to other services, Tim isn’t as active as many other traders like Investors Underground and Bulls on Wall Street. Instead, Tim focuses on finding a few bigger trades (10-20%+ gains) every day.
Tim alerts his trades to his subscribers in the chat room, via email, and via phone alerts, making it easy for anyone to take action. This “alert-style” approach can be both good and bad. If you catch the alert right away, you may be able to trade similarly to Tim, however if you are late, the stock may have spiked a few cents already, making it difficult to get a good entry. Ultimately, it’s up to the individual traders to plan a good entry. Tim finds solid momentum plays but you shouldn’t aim to copy him. While it may seem simple in theory, it really doesn’t work.
The other notable trader in Timothy Sykes’ chat room is Michael Goode, one of Tim’s millionaire students. Michael Goode trades more actively than Tim and he has some great calls during the day. Tim is in and out of the room during the day, but Michael Goode is usually around.
There are also a lot of new traders in the chat room, making it a bit “noisier” than other rooms, but you can choose to focus only on moderator posts if you want to block out the noise.
Tim Sykes Book: An American Hedge Fund
Timothy Sykes has also published a book that explains his journey into the world of trading. The book, titled “An American Hedge Fund: How I Made $2 Million as a Stock Operator & Created a Hedge Fund” explains how Tim developed his strategy and the mistakes he made along the way.
Tim explains how he started in the world of penny stocks. Eventually, his ambitions grew and he attempted to create a hedge fund. Ultimately, the hedge fund was not a success and Tim returned to his roots as a penny stock trader. The autobiographical book offers an interesting story and explains why Tim trades the way he does today.
What Type of Trader is Timothy Sykes’ Service Best For?
Timothy Sykes service provides the most value for new traders. Tim understands his market and caters to them. He explains things simply, makes his trading style easy to understand, and does a good job of explaining his process.
The “alert-style” approach makes it easy for new traders to get value out of the service without sitting behind a computer throughout market hours.
Tim’s style also works well for traders who are under the Pattern Day Trader rule and have less than $25,000 in trading capital.
Traders who have a bit more experience may want to venture to a more active trading room, however Tim still provides quality alerts that can be of service.
Is The Service a Good Value?
Timothy Sykes provides two main plans:
This pricing actually makes Tim’s service one of the cheaper options. Don’t mistake price with quality. My guess is Tim can offer lower pricing because he has way more subscribers than most other services.
If you are new to trading, choose the PennyStocking silver package. While this package is twice the price of the Alerts package, you get 10x more value out of it because you get the video lessons.
Overall, the service is a pretty solid value, especially when compared with competing services.
What About the Millionaire Challenge?
A lot of Tim’s marketing is focused around his millionaire challenge. Tim has a few millionaire students and he is looking to help more. So, what is the millionaire challenge?
The millionaire challenge is basically Tim’s “all-in-one” plan with additional benefits as well. This program includes access to all of Tim’s DVD courses, access to the chat room, and access to private webinars with Tim and his millionaire students (Michael Goode and Tim Grittani).
You have to apply to the challenge if you are interested, however I highly doubt that anyone gets turned down. I applied to the challenge about a year ago and was accepted with no issue.
At the time I applied, the challenge cost $5000, and no payment plans or discounts were available. I decided I’d prefer to put that money towards trading so I did not join the challenge. Therefore, I can’t comment on the quality of the challenge, however the price is a bit steep for new traders.
Is Timothy Sykes Legit?
Now that you know all about the services Timothy Sykes offers, you’re probably wondering whether or not he is legit. With guys like Timothy Sykes, it can be difficult to separate the aggressive marketing messages from the actual services being offered. Tim is one of the main gurus who focuses on creating millionaires. This type of messaging is all over Tim’s marketing and his course materials. He has his Millionaire Challenge program, a course called “How to Make Millions”, and plenty of marketing materials that promote the idea that traders can become millionaires by trading penny stocks. Is there any legitimacy to these claims?
We need to break this down into a few parts.
First, we need to determine whether or not Tim is a legitimate trader who actually makes money from stock trading. There are a ton of different “gurus” out there and it can be difficult to determine who is actually legit. I would argue that Tim is actually a legitimate trader. He has been active in this industry for over a decade and he’s pretty transparent about his trades. Is Tim the best trader in the world? Definitely not… I think he would admit to this as well. Tim focuses on a niche strategy that’s designed to capture profits from short-term momentum. We’ve seen more diverse traders in the Investors Underground chat room and we’ve seen better long term stock pickers in the Motley Fool program. Tim’s trading style stands out for its simplicity. His style has been tailored for newer traders with smaller accounts. The proof of the effectiveness of his strategy can be found from his verified track record.
Timothy Sykes and Profitly
Tim Sykes is the founder of Profitly, a social trading platform and trade verification software. Sykes is both the founder of the platform and one of its key users. He verifies all of his trades on the platform and we can see he has a 75% win rate with an average gain of 7% per trade. You can see a history of all of Tim’s trades on his Profitly profile page. Tim has reported career earnings of over $5 million. It’s important to consider the length of his career. $5 million is definitely impressive, however these earnings are spread over a 20-year career. This means Tim averages $250,000/year from trading and while this is certainly an impressive feat, it’s far less than other professional traders and Tim certainly makes more money from teaching than he does from trading.
Timothy Sykes Net Worth
Timothy Sykes has an estimated net worth of $15 million. These estimations are never fully accurate but they’re close enough to satiate anyone’s curiosity. I’ve also heard Tim boast of a similar net worth at some of his conferences. We know that Tim’s trading profits account for $5 million, meaning that at least $10 million needs to come from his other businesses. Of course, Tim also has expenses, so it’s likely that more than $10 million has come from Tim’s education services and related businesses (i.e. Profitly, Investimonials, and StockstoTrade).
Tim works closely with digital marketer Neil Patel, and Neil has mentioned that Tim makes millions a month in sales. Compare that to Tim’s $250,000 average yearly trading profits and it’s clear that the bulk of Tim’s net worth comes from selling services. Of course, there is nothing wrong with generating income from teaching and providing services. Tim has clearly been effective at both teaching new traders and motivating new traders.
Because of Tim Sykes’ marketing, many traders learn about the world of trading through Tim. Tim increases the awareness of the potential of trading and he helps motivate new traders. Some of these traders move onto other services or create their own strategies but, ultimately, Tim has had a positive impact on the world of trading.
Some Twitter Buzz
— Ryan Wilkinson (@Wilks5812Ryan) March 30, 2017
— Trade Jumper (@oscaralvmol) March 30, 2017
— Jae Traedz (@JaeTraedz) March 30, 2017