Are there any legit penny stock money making websites?

Discussion in 'Penny Stocks' started by mramirsking, Mar 25, 2014.

  1. mramirsking

    mramirsking Member

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    Im interested in buying penny stocks, but I dont know if I should short or long them...maybe if I did research on the company that would help me come to a conclusion. I heard that many penny stocks go down as the companies are small and cannot afford investment but then there might be the odd one or two that can jump by a huge amount and make massive profits. Its so confusing to know what to do...any advice anyone?
     
  2. Guardian

    Guardian Member

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    From personal experience, just make sure the penny stocks you buy, if any, are actually listed on a reputable exchange. I took a small risk and threw a small amount at a few OTC stocks and shortly after all three went bust. I'm glad I anticipated that at least and my experiment didn't lost me too much. As long as they are on the exchanges then you have a much better chance of being profitable with them. Watch out though, sometimes they get removed from the listing due to their cheap prices.
     
  3. ZammyCash

    ZammyCash Member

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    I'm interested as well, so this came in really handy. But, what would you say is a reputable exchange? The big and famous ones? Sorry but I'm quite new to stock trading.
     
  4. Guardian

    Guardian Member

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    By exchange, I reference the larger well know exchanges like the NYSE or NASDAQ. Their markets are much more regulated unlike the pink sheets. By running over the counter, i.e. pink sheets, the stocks are easy to manipulate and long term most become virtually worthless.
     
  5. ZammyCash

    ZammyCash Member

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    I see. That makes perfect sense. Thanks, I'll be sure to look them up in one of those.
     
  6. ursell

    ursell Guest

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    I want to invest in penny stock too but I'm new to investing in stock. How do I know what to invest in and how do I
    know how long to keep the stock?
     
  7. JR Ewing

    JR Ewing Super Moderator Staff Member

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    I wouldn't fool with stocks under $1 or probably not even any under $10 until you get a sound grasp of fundamentals and how the markets work in general. Read books by / about Benjamin Graham, Buffett, Peter Lynch, Soros, Icahn, William O'Neill, etc.

    If you don't have the time, inclination, or temperament to learn your own investing and keep emotions in check, putting your $ into a few of the better managed mutual funds isn't a bad idea.
     
  8. GottStock

    GottStock Member

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    Having the emotions in check is the big one. Too many people get into the stock market because money is important to them. I myself just like the patterns. I don't know why I like them, it has nothing to do with the stock market really, I've always liked patterns. It's even the way my memory works :)

    If you can keep your emotions in check, then the best way that I've found to invest in penny stocks is to watch the media to find out what everyone else is getting excited about. If there is a press release about some sort of new drug, new form of energy, new technology, or what have you; do a quick search on what companies are involved and find the best one or two that stand to benefit from the excitement. Invest in the short term, earn a quick ten to twenty percent, and then don't look back. Crying over "what you could have made" is not allowed.

    Of course, you will lose sometimes, but this is ok too. You win some, you lose some. Enjoy the patterns and you will have enough to live off of and enough to share with those that are struggling to have just food on their tables and clothing on their backs.
     
  9. JR Ewing

    JR Ewing Super Moderator Staff Member

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    The problem with doing much trading on headlines is that the news is usually (although not always) released outside of market hours. So if the news is good, the stock usually opens higher, and often (not always) stalls at that higher price and even tends to reverse itself as profits are taken by those who already owned it, and shorts begin to try to push it back down somewhat from its new higher price.

    And it works basically the same way in reverse for bad news. The stock usually opens lower, then may stall, and usually starts to head back up at least somewhat.

    None of this is 100% carved in stone, however. But it's always risky to try to invest / trade this way. Better to mostly invest on fundamentals - those companies you will invest in will have a tendency to have these things happen to them over time, and you'll be positioned to take profits if you choose to.
     
  10. jakedamus

    jakedamus New Member

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    This is based on my experience/opinion: First off, penny stocks are "Volatile". It can go from .0001 to a penny in a week or even a day. Most and majority are caused by P&D's (Pump and Dump) and few are legit (Real but very RARE). For that reason penny stocks are labeled as a "High RISK" investment/trade especially in the OTCmarket. Only a few would bother (Myself included). If you're going to invest into these markets "Only Invest what you can afford to lose" and "don't put your emotions into these companies" (You will be burnt if sh*t hits the fan and you start blaming the world for your loss. Trust me, worst feeling ever.).

    Now for the fun part. The only reason I started investing into penny stocks because its CHEAP. I can honestly say, I've lost thousands of dollars but not as much when I first started out (-$6,200 in a month). However, I have no regrets. Those losses have taught me a lot about penny stocks on what to avoid and how to find a potential runner. Since then I've profit more than $150k+ within two years purely from penny stocks (I would take a snap shot of my Scottrade acct and show ya - Later). Before penny stocks I was in the NASDAQ market for a long time. Yes, its Safe and a good long-term investment (5-10yrs or even 20yrs for a Gain percentage) but I'm too impatient. So I found a market(OTC) that was highly volatile but risky. The flip side to that is the HUGE gain percentage in a short amount of time. I did lose more than what I invested into the NASDAQ or gained BUT made 100x more than what I've gained from the NASDAQ trading in the penny stock market. And that is no Joke my friend.

    "The higher the RISK the higher the Return". ​Question is, Are you willing to take that RISK?
     
    Last edited by a moderator: Jul 8, 2016

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