Google tracks link exchanges?

An expert advised me to avoid link exchanges as PR is also dependant upon from where the back link comes. The site giving lots of links to other sites will have less authority. Is that real?

 

Yeah google knows if you exchange links, it's not hard to find out.

 

So it's a waste of time?

 

When Google talks about "link exchanges" they're talking about huge link schemes not reciprocal linking or getting links from someone who gives out a lot of links. If you're going to trade links with someone just make sure the site you are linking to is related to your niche and you'll be fine.

 

reported and repped. There's a link exchange forum here.

 

Google won't punish for link exchange but it doesn't like selling links. It will take penal action if it comes to know that links are being sold with the sole intention of getting PR juice.

 

It is better one page doesn't have too many outbound links.
If not, the page would be less "weight" in google's eyes.

 

However, some webmasters engage in link exchange schemes and build partner pages exclusively for the sake of cross-linking, disregarding the quality of the links, the sources, and the long-term impact it will have on their sites.

read on : http://www.google.com/support/webmasters/bin/answer.py?answer=66356