No one likes anyone to tell them what to do.
Except when it's time to trade Crypto.
Then almost 60% of intraday traders love to be told when to buy, sell, take profits and stop losses.
As a rather inquisitive fellow, I decided to take it upon myself to find a "reputable" trading signal group on telegram.
It had to be free of course. I'm not a billionaire yet.
So I set out in search of that magical group that will get me 99% of my trades right, and only 99% because I didn't take the remaining 1% of trades (you feeling me yet?)
And I also had only $10 worth of Bitcoin to spare for this experiment. I mean, I'm not Jeff Bezos yet. Sheesh.
So I eventually found a signal group, after like 3 hours of scouring Chrome on my laptop.
It wasn't a great time at all, because now I have over 10 signal groups spamming my email.
But I eventually found one. For obvious reasons, I won't disclose the group, but it seemed pretty active.
They had about 1.8k members on Telegram, and 254 were online at the time I got there.
The first signal was posted by 10 am Pacific today. I blindly took the trade, set my TP points, and set my stop losses. All these were according to what I was told to do by the signal group.
In time, people started commenting on the group, saying that the trade was bound to fail. The coin hadn't been up in a few months. Where did they get that signal from?
Anyway, 3 hours later, I had about $12.50 sitting pretty in my account. I was astonished.
A profitable free signal group? Impossible!
The next signal came around 5 pm Pacific. This was to be the last signal of the day.
I mean, 2 signals a day- you get what you pay for.
Now this signal was particularly interesting. I had this crypto coin on my own personal account. I was actively trading it and making some cool bread off of it.
But the problem was that this signal told me to expect a big crash in the price of that crypto coin.
That can't be right! I just opened up a position not 1 hour ago!
So I rushed and checked the chart for the coin. Lo and behold, the coin had actually formed a double top pattern. It was about to breakdown like a spoilt child that lost his favourite toy.
Or at least I thought it was.
I however held my existing position for some reason, and actually bought $12.50 worth of the coin in my test account.
That's right. I obeyed the signal.
Well, the signal was dead wrong.
The coin went on to rally 20% today, before crashing down. I exited both positions happily. More money!(You should be able to guess the coin through that tidbit!)
So here's what I learnt from trading with signals.
They're not to be used as a blind 'go ahead'.
They're to be used by those with Technical Analysis Knowledge, and they should be verified before being used at all.
Don't expect that paying a premium $200 for a month subscription on some magical signal group would yield any results at all.
They will get some right. And they will get some wrong.
You must verify everything before you place your hard earned bread on what a stranger you paid is telling you.
Anyway, I was quite profitable using the signals. About $4 free Bitcoin today!
Do you have any experience with trading signals? Leave a comment below!