Penny stocks are very Risky

Discussion in 'Penny Stocks' started by waseem59, May 10, 2014.

  1. tskier01123

    tskier01123 Member

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    This thread is so full of great information. I have been doing some research on penny stocks and the conclusions I cam to are that they aren't worth it in the long run. You're better saving up your money and playing in the big games (NYSE, Forex, etc) as opposed to these things. Of course, I did love the Wolf of Wall Street!
     
  2. remnant

    remnant Well-Known Member

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    It is true that penny stocks are risky but it also depends on your insight and vehicle of investment. For example one has to be prudent with the type of trade to perform. Short trades are the best when it comes to penny stocks. Budding companies which show promise are also safe to invest in for example biotechnology companies doing research on new products like pharmaceuticals are likely to yield huge dividends in the near future. This was the case with Microsoft.
     
  3. Maple Archgate

    Maple Archgate Member

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    Penny stocks are usually very lucrative. You can profit massively if you know what your investing into and read the news, or lose massively if you get greedy and take a stab in the dark. You have got to be clever about it that's all
     
  4. puru rama

    puru rama Active Member

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    I'm of the conclusion that there's room in many speculators' portfolios for some theory, however you don't begin contemplating the theoretical piece of your portfolio until after you've subsidized a just-in-case account and have begun to fabricate a venture portfolio. The theoretical segment in your portfolio ought to be close to 5 percent to 15 percent of your general venture portfolio.

    Many people, back experts/scholastics and novices alike, will let you know that putting resources into penny stocks is characteristically and fundamentally dangerous, principally by prudence of by and large having little market capitalizations (e.g. underneath $100 million) and low stock cost (e.g. beneath $5 in the U.S.) As I say in the greater part of my reports and articles on penny stocks, the lower the cost and littler the market top.
     
  5. longtermbull

    longtermbull Administrator Staff Member

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    The key to finding a good penny stock is research. Many potentially large companies of tomorrow will be under researched in the early days - find the gems and you could bank yourself some good profits.
     
  6. rakhi

    rakhi Active Member

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    There are good stock opportunities out there that aren't trading for pennies. Penny stocks aren't a lost cause, but they are very high-risk investments that aren't suitable for all investors.
     
  7. kirtimeliwal

    kirtimeliwal Senior Investor

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    Yes, trading in penny stocks is quite risky and you need have deep knowledge of it, if you want to make profit into this. Be patience while trading in penny stocks because you cannot make money on your each investment.
     
  8. Chartman

    Chartman Senior Investor

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    Trading penny stocks is risky at the best of times but it can be a disaster in troubled markets. I have seen many shares looking cheap all the way down until they run out of money and cant raise any more on the markets.
     
  9. kirtimeliwal

    kirtimeliwal Senior Investor

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    Investing in penny stocks is fruitful but at the same time it is very risky. So I would suggest you to invest when you have deep knowledge about the market trend and when you can afford that much loss.
     

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