Trade4Profits.com Updated Review
Is Trade4Profits.com a SCAM?
We have looked at this program previously, but they have recently under gone some website changes and have a third book about to be published so we decided to look at them again.
Their tag line is “Learn to Trade Profitably” which we like, not the standard learn to trade stocks for income or learn to trade options for income. In the end, that is what they are about but at least they phrased it differently.
It would be hard to call Trade4Profits an outright scam regardless of what we think about them because they do not currently charge anything for their service. They do have books for sale but they are modestly prices (real modestly) and are one time payments.
We do believe based on our contact with the traders that run the site that a paid service might be down the road but so far it is not available.
So, what do they offer – for free as you learn to trade options for income?
They have a growing Education section that gets to the point, not a lot of fluff. This seems to be a trend with their products, you get only what you can use without wasting a lot of time. We like this as well.
They have a growing Strategies section which is very interesting as you learn to trade options for income or options for profit if you prefer.
They have a Public trades section which is a feed from their Twitter account. It usually has closed trades they have done for review as well as other items they post to their Twitter account. Sometimes there are ‘live’ trades but be warned they are not actively managed in this section so you might find yourself on your own for closing or adjustments.
Their Blog section contains a lot of their trade history, probably from their trade journal. It is nice to see these trades and you can learn a great deal from them by themselves.
They even list their Success percentage broken down by year and by strategy. However, they do not appear to break their overall percentage down by all the strategies they trade. Our guess is that they only broke out the more successful or more traded strategies to show individual success rates. They did include Calendar trades in the break down which they admit their success rate is very good.
One thing they did not put is their overall gain and/or profit/loss ratio which we would have liked to have seen.
We are going to review their books in another blog entry but we put links to them below.
Their first book Trade4Profits – Shortcuts to Profitable Trading has a lot of strategy and explanations of the trades they most often make.
Their second book Trade4Profits – Watch Me Trade is a trading journal. You can see how their trades played out in real time as they traded options for income.
Their third book Trade4Profits – Watch Me Trade 2 is a continuation of their first trading journal. However, you can expect to see a lot more Iron Condors and Broken Wing Iron Condors as they appeared to move to a much heavier direction neutral strategy overall.
All and all, they appear to primarily trade Iron Condors, Broken Wind Iron Condors, Covered Calls/Diagonals and Butterflys. They also trade some Calendars but based on their admitted success rate of 58.70% with them, we are not sure they will be posting a lot of those.
Their best success rate is with Iron Condors, Broken Wind Iron Condors and Strangles which combined have a 90% success rate according to their website.
These success rates are difficult to verify independently but based on a quick look at their trades it is possible that they correct.
Their overall success rates for 2016, 2017 and 2018 are very reasonable and probably correct. They say these percentages include every trade they made so there were obviously some strategies such as Long Calls and Long Puts that were not as successful as the ones they primarily focus on. To us, this is refreshing, we like REAL trade results not invented ones.
We think there is a lot of potential in Trade4Profits long term. They are NOT a scam, especially since they do not charge anything.
We highly recommend you start with their book Trade4Profits – Shortcuts to Profitable Trading if you are new to trading options for income. If you have a good background in options then you could start with Trade4Profits – Watch Me Trade and then Trade4Profits – Watch Me Trade 2. Watch Me Trade 2 is more heavily focused on direction neutral strategies. Both of the Watch Me Trade books are essentially trading journals with explanations of what they were thinking before and during the trade.
You can check out their website by clicking HERE.
Check them out and let us know what you think by commenting below.