How Does Penny Stock Work

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Selling Penny Stocks?

If I was to buy some penny stocks and then want to sell wouls there ever be a situation where I cant sell because nobody wants to buy? How does that work?

yes thats entirely possible and part of the problem with penny stocks, like the above poster said, you need a buyer and a seller, you cant just sell a stock into thin air. go look at the spreads on penny stocks (bid-ask prices) they are ridiculous and if you looked at the level 2 quotes you would see a bunch of offers just sitting there doing nothing, as opposed to aapl which is moving quickly and has all sorts of buyers and sellers lined up. do some research and stay away from penny stocks, they are penny stocks for a reason.

How Do Stocks Work?

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