If you're a good trader, why sell signals?

[bitLeap]

Do you see selling signals, creating trading content, or teaching as a legitimate way for a good trader to scale beyond their own capital?

I am not particularly curious about the capital or earnings of a signal or course provider, but I’m certain they view it as a source of free liquidity or capital.

And more importantly, what would you consider enough evidence that a signal provider can actually trade?

Ask them to conduct some live trading sessions, share a public trading journal linked to their trading account, or provide their wallet address if trading in Web3. If they are overly concerned about privacy, simply challenge them to share 100 upcoming position setups.

Expectancy = (Win rate × Average win) − (Loss rate × Average loss)

And I guarantee that person will not dare to share it, because that's how they hide their losses and still expose the benefits in front of the audience. Challenges like this have already been done and none of them have been responded to, people who share signals, open paid VIP groups are mostly aimed at making an additional source of income.

[TheUltraElite]

A little bit of common sense will solve these questions easily. One does not need to come and justify in the forum why their signals are legit and others are bad unless the first one wants to make their scam look like a solution. These slippery scum will do anything possible to bamboozle potential victims, mostly wannabe traders who want to get rich quickly.

There is no harm in discussing an asset to be good or bad in a group but asking money for selling fake signals is one of the lowest of low that one person can do instead of working like a labour to make money.

In the end the conclusion remains same however one might attempt to legitimize this. Signals are scams, no matter what.

[Taskford]

A little bit of common sense will solve these questions easily. One does not need to come and justify in the forum why their signals are legit and others are bad unless the first one wants to make their scam look like a solution. These slippery scum will do anything possible to bamboozle potential victims, mostly wannabe traders who want to get rich quickly.

There is no harm in discussing an asset to be good or bad in a group but asking money for selling fake signals is one of the lowest of low that one person can do instead of working like a labour to make money.

In the end the conclusion remains same however one might attempt to legitimize this. Signals are scams, no matter what.

Those offering signals are selling false hope, because the true traders actually knows there's no shortcut to learn and earn on their trades. 

Because what people need to build is their patience, discipline and skills.

Those signals they have seen for sale on some groups are just nothing, because the main person benefiting in this schemes are the scammers only. So don't get blinded with potential profits, because they are using it as bait to scam people.

[EugeniaX]

Selling signals can make more sense as a business than actually trading, which kinda says a lot lol

[Nrcewker]

This is probably one of the most common questions asked about traders who also sell signals, create content, or teach.

Let me be brutally honest about why they do this. You know in trading, whenever you place a trade, you take a risk. So in order to avoid the risk and at the same time preserve their capital while still making money, what should a trader do? He will sell his courses. Along with that, he will also sell paid signals.

Now, the trader may do the analysis and it may even be correct but he doesnt take the actual risk. People buy the calls from him and he makes money. I have even seen some traders work on a percentage basis.

Thats why I dont like these paid Telegram calls. Most of the time they are scams. But even if a genuine trader is sharing calls, all he has to do is chill and relax while we take the risk of losing our hard earned capital. So, I would say that do your own analysis and trade based on your own decisions.

[Wind_FURY]

Some create educational content.
Some build an audience on YouTube.
Some offer signals.
Some trade through prop firms.
Some manage other people's capital.

None of these things are inherently bad.

This is where I stopped reading your post. Creating educational content, building audience on YouTube and trading through prop firm are not bad.

But if the "trader" merely creates educational content, and earns from his/her content, but does NOT practices what he/she preaches and doesn't actually have the data to prove that he she is a winning trader, THEN what would you call that? - A SCAMMER.

I have marked the bad ones in red.

If someone sell trading signals, the people the person is selling the signals to is where he is making his money from and not trading.

There have been many times that people are given money to trade and it was all lost.

But there are people who belong to professional trading companies and investment banks who are actually licensed to manage other people's money, no?

[Slow death]

I agree that most people who sell signals aren't good traders.

But this isn't a biconditional. I studied math, after all. 😂

Just because someone decides to provide trading signals or do something similar doesn't automatically mean they are a bad trader.

Whenever I heard someone from my country or online saying things like, " I'm a trader; I offer life changing trading courses, mentorship services, and trading signals to my Telegram subscribers," I would take the time to research their background. I wanted to understand why someone sitting on a "gold mine" would offer it to hundreds of people instead of just using it for themselves and living a peaceful life.

I would look at the backgrounds of these self-proclaimed professional traders who sold signals, courses, mentorship, and books. All they ever posted was luxury: luxury cars, luxury homes, luxury travel. And they all had one thing in common: they claimed these things were theirs and promised that if you bought their course, you’d have it all too.

Every day, these guys would record promotional videos to attract new people willing to pay for their courses. I found myself wondering: why are they begging for new students? Then, stories started surfacing about people who had paid for the courses but got nothing in return. Curiously, court orders would also appear, demanding that these "professional traders" pay off debts. I couldn't wrap my head around it: how could a guy who posted daily on social media claiming to have made $100,000 on a single trade also have a $5,000 debt plus outstanding bills with hotels and luxury car rental agencies?

My conclusion was that none of these guys who claim to be traders and sell courses actually make money from trading; they lie and are actually suffering huge losses. They make their money by selling courses and books, charging for VIP Telegram memberships, and monetizing their social media follower counts. Then, they go on pretending to live the high life, when in reality, it’s all fake.

This is an article that contains a lot of very important data:

95% of all traders fail

source: https://tradeciety.com/24-statistics-why-most-traders-lose-money

It shows why you shouldn't trust people who charge for trading courses, sell trading books, or charge for mentorship. As soon as you spot these red flags, it's best to stay away; a trader who is actually making real money won't waste time on social media begging for students or pleading with people to buy their books and courses. They’ll be out enjoying their life.

[Junii]

Do you see selling signals, creating trading content, or teaching as a legitimate way for a good trader to scale beyond their own capital?

Bro i heard a quote few years ago that do not dig for a gold sell the shovels. Making educational content is not a bad thing if there intention is right then do it but there are many scammers who are selling the fake courses or some flop courses on dollars that is wrong. There is an influencer in our country who earn a lot of money but he selling a worthless courses on money and in today's world through social media if u have a good strategy u can sell anything. Also the people who sell signals that is a total scam because in futures trading timing matters a lot to open a trade when the guy share the signal some other beginners open a trade late or with high leverage and got liquidated there are also some people who just showing the trades which hit tp and hide the trades that hit stop loss. So the people who sell signals they get benefits because when someone buy there premium group it benefits them but to those people who just need shortcut they have to understand that in trading dont depend on others because the strategy of other person doesn't work for you u have to find it with practice. 

[sokani]

People pay to attend seminars and conferences in order to get information that will shape their lives for good. So why shouldn't they pay for trading signals? They should. Sometimes, you have to spend money in order to get more money. The skill didn't just fall down from heaven on the trader. It was acquired over the years and should be worth paying for. As long as what the trader is selling is good and the subscribers are profiting, it's okay.

[nara1892]

People pay to attend seminars and conferences in order to get information that will shape their lives for good. So why shouldn't they pay for trading signals? They should. Sometimes, you have to spend money in order to get more money. The skill didn't just fall down from heaven on the trader. It was acquired over the years and should be worth paying for. As long as what the trader is selling is good and the subscribers are profiting, it's okay.

Because I admit that spending years to gain understanding and knowledge is not an easy process so I quite agree with you that there is nothing wrong with them to sell their skills and knowledge through trading signals, especially if for example the signal is proven to benefit customers.
The point is that if for example both parties feel mutually beneficial then there is nothing wrong with that, but on the other hand my message to customers is to look for someone who is really proven experienced, meaning not in doubt in terms of knowledge because lately it is not uncommon for me to see cases of paid trading signal fraud.

[fredericktaylor]

those people who just need shortcut they have to understand that in trading dont depend on others because the strategy of other person doesn't work for you u have to find it with practice. 

Other people's knowledge or strategies can never help you properly through trading, you must do research to gain proper knowledge about trading, there is no shortcut strategy that will help you succeed. The videos about trading that are shown on YouTube have very little similarity with real trading. The videos show that it is very easy to make money through trading, as a result of which a person can easily make a lot of money but in reality it is not like that. Do not start trading just by relying on videos or other people's words, of course it is logical to trade by understanding the volatility of the market and taking risk management. There is no guarantee that the way shown by others will give you success correctly, trading by always doing your own research is the right decision.

[Proty]

As long as the trader can be able to show that they know what they are doing then it is not an issue to sell signals.The fact that someone is selling signals or teaching others how to trade doesn't make them to be scammers, trading using smaller amounts may not be easy for a trader to make reasonable amount even if they are good in trading, they may be offering this services to increase their trading amount or to make more money aside trading .
The thing I think should be looked out for is when someone is only showing trades they have won in the past without giving or showing anything to prove it. It is possible for anyone to display their winning trade but the essential thing is whether they were consistent in making  profit.

[Ndabagi01]

And more importantly, what would you consider enough evidence that a signal provider can actually trade?

Long term profitability of a trader is very important because anyone who claims to know how to trade has to be profitable in the long time. Trading good is not something one can hide for too long, the results will show for themselves overtime. Trading signal groups are not a way of becoming a better trader and you should know a trader to rely on for signals. Not all traders that provide signals knows how to trade. Try to learn and understand their trading patterns, if it doesn’t sit well for you to call one a profitable trader, then you should not engage with them because the repercussions are always big when they come.

[Ziskinberg]

Traders are selling signals not because they are good and experienced traders, but its obvious, they want additional source of income aside from the profits they made whenever they hit a good trade. But let's be honest, selling signals is much easier and more profitable especially if you have a large audience that is supporting your page, unlike if you solely focus on trading where profits aren't guaranteed especially if you are trading in an unfavorable market.

And any trader can actually sell signals regardless if he is a good trader or not. That's up for the persons who will be buying signals to do the legit check so that their money won't go into waste.

[mirakal]

A little bit of common sense will solve these questions easily. One does not need to come and justify in the forum why their signals are legit and others are bad unless the first one wants to make their scam look like a solution. These slippery scum will do anything possible to bamboozle potential victims, mostly wannabe traders who want to get rich quickly.

There is no harm in discussing an asset to be good or bad in a group but asking money for selling fake signals is one of the lowest of low that one person can do instead of working like a labour to make money.

In the end the conclusion remains same however one might attempt to legitimize this. Signals are scams, no matter what.

While few of those who sell are real, but majority of these sold signals end up a fraudulent scheme that's why I don't trust traders who are selling signals, they could have keep it and use it for their own advantage than sell it to us where we can't be sure if those are legit and reliable ones.

This isn't about being good or bad trader. But selling signals in trading where trading itself is real uncertain, everything just link into a big scam. And obviously those who bite this offer are those new and inexperienced ones, those who rush to trade for instant profits.

[Zaka1221]

Trading is having one of the most adventurous fields for many because they are having enough to gain from this, but it also needs enough time to spend with good searches, and having enough knowledge of many other things makes it perfect, but still it's never been profitable in the long run because it's always given unusual results that cost big, and people have gone down badly.

A real trader ever selling signals has never been an ideal thing because he always wants to have his profit for his work and also work on an increase in this despite having a group of investors, which always makes noise, and also never has an easy way for the trader to have enough profit; if someone is having mind and time, mostly he is ending in losses or problems. It tags him as a scammer because investors never thought about what they lost; they always want profit. In case of loss, they've never been happy.

[Botnake]

You can't stop those traders who chose to sell signals. Because they are seeing an instant way to profit from selling alone, even if those signals are not all profitable. But I don't think we have to blame their capacity in trading if they decide to sell signals. Once they sell, its like the responsibility to make those signals work are no longer on them but to the new traders who chose to bite their offer.

Trading becomes profitable because we are responsible and highly knowledgeable and skillful traders, not because we found a jackpot from buying good trading signals.

[laijsica]

You can't stop those traders who chose to sell signals. Because they are seeing an instant way to profit from selling alone, even if those signals are not all profitable. But I don't think we have to blame their capacity in trading if they decide to sell signals. Once they sell, its like the responsibility to make those signals work are no longer on them but to the new traders who chose to bite their offer.

Trading becomes profitable because we are responsible and highly knowledgeable and skillful traders, not because we found a jackpot from buying good trading signals.

Trading signals are a kind of intellectual fraud. They lure traders with high profits and in some cases they become reality and traders profit but you will not always get positive results from them. Yes, there are a number of reputable signal providing groups who may have connections with the developers of the specified crypto or may be involved in the price increase or decrease cycle through manipulation. I am talking only about those reliable signal groups. In fact, you will find a large number of fake groups on trading platforms who will encourage you to buy a certain crypto and show a price increase through manipulation but it is better to refrain from trusting them in the long run for the lure of high profits.

[Wind_FURY]

You can't stop those traders who chose to sell signals. Because they are seeing an instant way to profit from selling alone, even if those signals are not all profitable.

Those people are NOT real and actual traders. Stop calling them that.

But I don't think we have to blame their capacity in trading if they decide to sell signals. Once they sell, its like the responsibility to make those signals work are no longer on them but to the new traders who chose to bite their offer.

Laughable that you try to defend them. They're scammers, ser.

Trading becomes profitable because we are responsible and highly knowledgeable and skillful traders, not because we found a jackpot from buying good trading signals.

Although I would debate against that if we put that in the context of PLEBS like us, you can't change the fact that those people selling signals are scammers.

[Finebone]

I don’t have a problem with someone selling signals, and I don’t have a problem with someone asking the question either. Both are right in their perspective, because there are other ways to raise money for trading, if you are so sure that your signals won’t fail. If you are certain that you will make money from it, why not take a loan? Why sell something that you can’t give guarantee, and you don’t expect people to ask such question?

Your impression about signal selling is wrong mate, because those that are doing it are not doing so because they want to raise a capital as you are trying to say, I think that they are just trying to make more money from the craft. So that just in case the trade fails, they will still make money from this angle.

Taking a loan to trade is a despicable act all reasonable trader should avoid because once you engage in such act, automatically you will start trading with your emotions on, because you are trading with what you cannot afford to lose. In addition to this, no trade or signal is guaranteed, so losses are bound to happen, and even veterans traders can attest to this fact, that's why you should only trade with what you are willing to lose, no matter how convinced the trading setup is.