[mage lang="" source="flickr"]making money in penny stocks[/mage]
What is the best online broker for penny stocks?
I am interested in trading penny stocks online. I noticed that some online brokers do not give you access to the OTC Bulletin Board Market and some do. Which one has the lowest fees and easy to use because I am a beginner. Also, do you believe I can make money trading penny stocks? I recently signed up for a mailing list called the ox of wallstreet, they send me emails with penny stocks that are about to go up. I was skeptical at first, but when they suggested one of the stocks, I checked up on it the next day and it went up 150% ! I know that these types of stocks are very risky, so I wanted to get a second opinion about this. Thanks.
When you invest/trade in penny stock you should never put up more than you can afford to loose and you should assume you will loose it all. Unlike regular securities, penny stocks usually do not let you use risk cutting procedures (options and/or stop orders) since most are not traded in a regulated market place.
They say when you buy securities you have a 50%-50% chance of making money, when you buy penny stocks you have a 50-50-90% chance, 50-50 chance of making money and a 90% chance of loosing money.
When buying penny stocks, like any other security investment, you never invest 100% of you investing capital. Penny stocks are fun to trade, but you should never count on them to be considered part of your primary investment objectives.
Most major brokerage firms do everything they can to discourage their customers from trading in penny stocks by charging higher commission percentages, transfer fees, safekeeping fees or activity fees.
All that said, here are some websites that you will find helpful
Making Money in the Stock Market 2014 with PennyStocks & Weed Stocks Wallsreet 25% in 1 day