When you first begin your journey towards penny stock fortunes, I suggest you look for stocks within an industry you understand from previous unrelated experience. Consider your hobbies and interests and even previous responsibilities. Then create a list of companies associated within these areas of your knowledge. Then start collecting data and monitoring their chart performance without any intention of selling or buying penny stocks.
You want to watch for patterns in their chart behavior. You’ll notice companies in the same industry will exhibit some behavior similarities. Continue reading
Most people become interested in buying penny stocks online because of the potentially high pay off that can come with these stocks. But these stocks also have a great down side. Because of the nature of penny stocks many people try to game or manipulate the system to their own advantage, but to the detriment of the other stock holders and sometimes the company of the stock they are gaming.
Before you get too excited about the idea of buying penny stocks, you need to understand what a penny stock is as well as the potential risk involved in trading this particular type of stock.
These tips should help you be aware of some of the risks and pitfalls involved in this market, and help you buy more successfully. Continue reading