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Articles about Pennystocks (0-50 of 108)

  • Deciding If Penny Stock Investing Is For You
    By: Peter Leeds | - People have a phobia of penny stocks. This fear has been instilled in them because they hear a lot of stories about people who have been "swindled," "ripped off," or otherwise "scammed." Other people may have had costly personal experiences, or heard stories of friends and family who've lost money.

    The truth is that penny stocks go up in value very frequently, doubling or tripling in price, and very often they go down in price. You need to have a good comprehension of this, and do ...

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  • What Penny Stocks Are?
    By: Nir Dotan | - There are thousands of companies whose shares are traded by investors. One segment of shares are called penny stocks. As the name implies, penny stocks are priced much smaller, usually less than $5, and they trade outside formal stock exchanges. They trade on Over The Counter Bulletin Board (OTCBB) and Pink Sheets.

    Section 3(a)(51) of the Securities and Exchange Act of 1934 defines penny stocks to be stocks that are traded outside any national securities exchange, that is priced l ...

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  • What You Need To Know About Otc Stocks
    By: Nir Dotan | - You,ve probably heard of the term OTC stock or penny stock from a water cooler discussion. OTC stocks were called as such because decades ago, that was how US investors actually bought and sold stocks over the counter at their local broker's office. To fully understand OTC stocks, let's look at how they fare side by side with regular stocks.

    Where the money rolls
    An over-the-counter (OTC) stock is also known as unlisted stock meaning it is not listed in traditional stock ex ...

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  • Why Some Investors Choose To Trade Penny Stocks
    By: Nir Dotan | - Getting involved in the stock market can be very rewarding. However, it is a fact that not all stocks are affordable. That is why the price factor of stocks has produced three levels of stock investments to accommodate investors.

    These levels are the large cap stocks which involves multi-billion companies, the medium cap stocks which have noteworthy assets in respect to their capitalization, and there are the small cap stocks which are commonly known as penny stocks. The term penn ...

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  • Common Misconceptions On Penny Stocks
    By: Nir Dotan | - Due to the subjective nature of human beings, it can be said that everyone has a misconception. It is normal for people to have misconceptions about things that they do not fully understand.

    The best example would be first impressions. A person may have predetermined impressions about somebody whom they don't know that much. Most of the time, once they eventually get to know the person better, their first impressions are proven wrong.

    This same misconception is us ...

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  • How To Construct A Reliable Penny Stocks List
    By: Nir Dotan | - Trading penny stocks on the OTCBB (Over the Counter Bulletin Board) or Pink Sheet stock exchanges involves high risk. Penny stocks, with the promise of exorbitant gains, have attracted numerous people to invest in them. Most of the time, the investor's optimistic speculations have ended up becoming unfortunate losses.

    Unfortunate as it seems, these failures have happened more often than it should because of the economical share prices of penny stocks. The low price aspect is the ...

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  • The Penny Stocks Pump And Dump Process
    By: Nir Dotan | - A Pump and Dump scheme is a form of fraud that artificially increases the price of a stock by means of false and deceptive positive statements (pump), in order to sell the cheaply purchased stock at a higher price than its original value (dump).

    Penny stocks are often used by fraudsters in scam operations. This is because the shares are not traded in the major stock markets, and can be acquired inexpensively at pre-pump prices and eventually sold over the counter.

    S ...

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  • Finding Top Penny Stocks From Reliable Sources
    By: Nir Dotan | - Penny stocks trading functions on a very simple principle. You buy shares from a small cap company; you stock it and wait for its prices to go up. When the price goes up, you cash out your profit.

    It may appear simple, but once you're in actual trading, everything becomes a little more taxing. Important decisions will have to be made within minutes. Money that has been invested must be properly supervised. A mistake will automatically mean losing funds.

    Everyth ...

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  • Questionable Factors To Look Out For In Penny Stocks Companies
    By: Nir Dotan | - It is known that investing in the penny stocks of a micro cap company can be very risky. This is why acquiring information about the company and its financial standing is imperative. Buying penny stocks without performing a scrupulous investigation on its background can be very costly.

    Micro cap companies with questionable factors are becoming abundant. Before investing on their stocks, it is very important to probe their dubious issues.
    Here are some questionable factors ...

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  • Penny Stocks: Cash Is The Best Asset
    By: Nir Dotan | - Once you start on penny stocks trading, it is important to decide how much you are willing to invest. Always keep in mind that penny stock trading is risky and may cause you to lose all of your money, so be sure to invest an amount that you can afford to lose.

    After you have decided on the amount that you are willing to invest, regardless of whether it is $1,000 or $10,000, always avoid the temptation to invest all of it on one or two stocks. Why? In the first place, the whole pu ...

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  • Common Topics Seen In A Penny Stock Forum
    By: Nir Dotan | - Nowadays, with the power the connecting power of the internet, there will be online communities that have the same line of business as yours. Usually these online communities exist to help and support you. If you are involved in penny stocks investment, then a penny stocks forum would be the right community for you.

    In forums, you will be able to see who are currently online, who are joining and posting in the threads (this is where the topics are located), and how many members t ...

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  • Important Things To Know Before Investing In Otc Stocks
    By: Nir Dotan | - Entering the world of OTC stocks, also called penny stocks, without proper knowledge of financial stipulations and terminologies is a very reckless act. In your initial sessions, you will have to deal with diverse principles and terms that may confuse you.

    Understanding penny stocks requires both time and effort. Once you have understood the basics and learned the various strategies, the tremendous potential of these stocks will eventually become apparent.

    OTC stoc ...

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  • Market Makers And Otc Stocks
    By: Nir Dotan | - A person who would like to purchase, or sell, or otherwise trade in securities known as over the counter (OTC) Stocks could look for such stocks at the Over the Counter Bulletin Board, also known as the OTCBB.

    The OTCBB is a regulated electronic quotation service that displays quotes, sale prices, and volume of sale information of OTC Stocks. The OTC Stocks include warrants, US-company issued stocks, and shares of foreign company stocks.

    The OTCBB has over 5,000 co ...

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  • Over The Counter Trading Explained
    By: Nir Dotan | - Most of the major companies' stocks are traded on formal stock exchanges like NASDAQ, AMEX and others. These trading facilities are corporate owned and regulated by rules and regulations laid down by the Securities and Exchange Commission (SEC).

    In contrast, some financial instruments such as bonds, stocks, commodities or derivatives are traded directly between two parties, the buyer and the seller. These transactions may happen over the phone or through the Internet. There is no ...

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  • The Ultimate Penny Stocks Fraud "bre-x"
    By: Nir Dotan | - Bre-X turned from being a penny stocks company to a billion dollar corporation in just four years, thanks to a hot tip that spread like wildfire among thousands of Canadian investors.

    Fool's gold
    Bre-X Minerals Ltd., a member of the Bre-X group of companies, was a mining company based in Calgary. It did not make significant profit until 1993, when geologists John Felderhof and Michael de Guzman reported that a gold deposit with approximately 2 million ounces in resources wa ...

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  • Buying Your First Penny Stocks
    By: Nir Dotan | - Investing in penny stocks is not as hard as it sounds. This article will help you learn the basics of penny stocks investment.

    The Stock Broker

    So you think you are ready to dip into the stock market? The first thing you should do is find a stock broker. A stock broker is a person or company that does the buying and selling of penny stocks for you. Once you have chosen a stock broker, open an account with him/her the same way you would with a bank. Load your account ...

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  • Traps To Avoid With Penny Stocks Day Trading
    By: Nir Dotan | - Finding good penny stocks companies is not easy. Many of those listed on the OTCBB and Pink Sheets do not disclose their financials and company reports. Mining the internet for information on these takes time, but it is possible to find good investments if you know what to look for and what to avoid.

    One way of investing in penny stocks is through day trading you buy a stock, wait for it to go up, and then unload it again all on the same day. This doesn't allow you much time to d ...

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  • How To Trade And Invest Penny Stocks
    By: Nir Dotan | - Penny Stocks are stocks that are priced at less than $5 and the total market capitalization (price per share multiplied by the number of shares) of the company is less than $5 million. These shares are traded outside stock exchanges in electronic quotation systems called Over The Counter Bulletin Board (OTCBB) and Pink Sheets Securities.

    These electronic systems play an important role in bringing the buyer and the seller together. They display the latest price of each share, aver ...

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  • The Essentials Of Penny Stocks Trading
    By: Nir Dotan | - Investments can come in many flavors and one of them is stocks. Stocks or shares of a company represent a unit of ownership of any company. Any person who owns shares is called a shareholder or co-owner of the company.

    Stocks can be bought and sold just like other commodities. They are traded on established trading facilities called stock exchanges. However, there are some shares that are traded out of these stock exchanges. This is because they have operational or financial restr ...

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  • Penny Stocks Investing For Beginners
    By: Nir Dotan | - Stocks or shares of a company are of many kinds. Two broad kinds of shares are equity shares and preference shares. The primary difference is that preference shareholders have a preferential right when it comes to dividend and liquidation. In fact, some of them may even get a fixed dividend depending on the company's policy.

    Equity shares are bought and sold in trading facilities that are called stock exchanges. Also, the value of these shares may differ depending on the company' ...

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  • Analyzing Your Prospective Penny Stocks
    By: Nir Dotan | - Picking penny stocks can overwhelm the average Joe. The OTC bulletin board looks like a jigsaw puzzle. Stockbrokers talk endlessly about profit margins and other fancy terms. Then there's the scam artist who keeps calling about penny stocks from a company poised to break through.

    Before dipping into the penny stocks pool, here are some basic questions you should ask when searching for the right penny stocks investment.

    Is the company profiting or losing money? Once ...

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  • Penny Stocks: Check The Company's Background
    By: Nir Dotan | - Most of the time eager and optimistic investors purchase penny stocks, inadequately equipped with modest knowledge and risky tips from friends. It is very dangerous to invest on penny stocks without checking the company's history and financial stability. Here are some factors that are important to know about the penny stocks company that you intend to invest in.

    Revenues

    Revenues refer to how much money the company is making. Penny stocks companies that are in thei ...

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  • The Dangers Of Trading Penny Stocks
    By: Nir Dotan | - With a promise of 100% to 1000% in profits, investing in penny stocks seems very appealing especially to those with a get-rich-quick mentality. However, great rewards are not without great risks. Penny stocks have the potential to double in price in a few weeks, but you can also lose everything within days.

    There are five ways to greatly reduce the risks of penny stocks.

    1. Do not be lured by hot stock tips. In this electronic age, it has become easy for fraudsters ...

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  • The Modus Operandi Of A Penny Stocks Fraud
    By: Nir Dotan | - Penny stocks are shares that can be bought and sold for under $5, and often for under a penny. Because penny stocks are so cheap and the market is poorly regulated, fraudsters who prey on nave investors have become prevalent. Watch out for these scams so you do not become a victim of penny stocks fraud.

    Pump and Dump
    The most common scam in penny stocks is the Pump and Dump. Unscrupulous speculators will hire telemarketers and brokers to hype and sell a penny stock. Boiler ...

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  • Points To Consider When Investing In Penny Stocks
    By: Nir Dotan | - The recent financial crash on Wall Street has made the major stock exchanges jittery and unstable. Many investors are choosing to pull their money out, and look for other options that would involve less risk. Penny stocks are an option but there is an equal, if not more, amount of risk involved. If you're intending to put your money on penny stocks, here are some things you should know.

    General information on penny stocks is hard to find. Volume and price data may not be easily o ...

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  • Understanding And Evaluating Penny Stock Patterns
    By: Nir Dotan | - Penny stock charts contain stock patterns. These stock patterns help investors evaluate the trend in the company's share prices, and are especially useful in predicting future behavior.

    It is imperative to monitor and check, on a daily basis, the prices and volume charts of the penny stocks that you intend to buy and trade. You will be surprised to discover how frequently a stock trading pattern repeats itself. Studying price and volume charts that go back as far as three years a ...

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  • Red Flags In Penny Stocks Investment
    By: Nir Dotan | - In the stock market, there are corporations with market capitalization in billions, and there are modest companies with smaller operations. These small-cap companies usually trade in pennies, hence the name penny stocks. Penny stocks trading can be dangerous business and if you are not careful, you might end up penniless.

    The next Microsoft
    Some investors are lured into penny stocks with the belief that penny stock companies will evolve into billion dollar corporations. Whi ...

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  • Penny Stocks And Stocks Investment Explained
    By: Nir Dotan | - The stock market is a place where investors trade the shares of companies. There are primarily two kinds of shares: common or equity shares and preference shares. Equity share holders enjoy certain rights such as voting, while preference share holders enjoy a preferential right in terms of dividends and liquidation. These stocks are normally traded on formal trading facilities called stock exchanges.

    Companies who stocks are listed on stock exchanges have to follow the rules and ...

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  • What Are Penny Stocks And How To Invest Smart
    By: Nir Dotan | - There are many opportunities around us all the time. Some people manage to spot the opportunities and try to use them to their advantage while others just miss out. Penny stock is one such opportunity that exists in stock markets all the time. But these penny stock opportunities come with a lot of risk. In order to make use of this opportunity, one must exercise a lot of caution.

    What are penny stocks? Penny stocks are stocks that are priced at a very low value, usually less than ...

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  • Investing In Penny Stocks: Scrutinizing Edgar
    By: Nir Dotan | - Penny stocks used to carry a derogatory label because of several dubious companies that flourished in the market in the early 2000s. Now that Pink Sheets has created the OCTQX classification, companies trading penny stocks must now disclose corporate information if they wish to spark investor interest.

    The key to a successful penny stocks investment is to know where to put your money. And one of the best resources to learn about a penny stocks company is the SEC.

    Be ...

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  • Penny Stocks Comeback Via The Otcqx
    By: Nir Dotan | - Back in 2002, unscrupulous characters sprouted like mushrooms and preyed upon investors who were new to penny stocks. The operations of these illegitimate companies led to the downfall of the penny stocks market.

    The Pink Sheets, where penny stocks are traded, introduced a new service called the OTCQX in 2006 that classifies companies according to the financial information they disclose. This improved transparency gives investors more access to company information and could eventu ...

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  • Penny Stocks: Looking For The Next Gold Rush
    By: Nir Dotan | - Investing in penny stocks is like high stakes gambling, where you bet your money on the right cards and hit the jackpot. Picking the winning suite takes foresight and a little luck. The same goes with penny stocks: investors with vision are able to identify the next big thing before it becomes the next big thing.

    When investors were shying away from eBay and Amazon back in 1995, a few believed in the potential of e-commerce, and now they have reaped huge dividends from their inves ...

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  • Penny Stocks Message Board Characters
    By: Nir Dotan | - Most penny stocks investors would have checked one of the numerous message boards or discussion forums dedicated to such stocks at one time or another. These message boards were set up as a way for penny stock investors to congregate and communicate with one another.

    The boards are a means for them to spread/receive news, transfer ideas, exchange tips, and discuss strategies with their fellow penny stock investors. These online message boards are generally referred to as the boar ...

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  • Following Penny Stocks Trends For Sure Profits
    By: Nir Dotan | - Sometimes, especially if you are day trading stocks and do not intend to hold on to them for a long time, you can earn a sizable amount of money from penny stocks that follow a trend. These stocks are usually characterized by gains of more than 100% in a day or over a few days. These stocks get their boost from major events or news, and follow the current trend.

    When a major event occurs or some unusual news breaks out, experienced traders will make a list of penny stocks that ca ...

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  • Finding The Best Penny Stocks Among The Rest
    By: Nir Dotan | - It is logical that before you put your money into any investment, you would like to be aware if the stocks you are buying have a realistic possibility of increasing in value. It is known that there are thousands of penny stocks that exist in the market. It is imperative that before you purchase any of these stocks; you know how to identify the top stocks from over hyped ones.

    This is not an easy task, as being able to do that would require a great deal of research and a few actua ...

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  • Cashing Out Penny Stocks After You Have Earned
    By: Nir Dotan | - Investors who have gained enormous profit with penny stocks may have the inclination to reinvest their earnings in the market for more income. However, some investors believe that the commonsensical thing to do is to cash out your money from the risky penny stocks market while you're ahead.

    Removing all of your money off the market and probably buying assets such as a house, car, yacht or any other properties may not be a good idea as this would eventually bring your penny stocks ...

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  • Learn About The Penny Stocks Trading Process
    By: Nir Dotan | - Stock trading is an important part of any investor's diversified portfolio. A stock or share of a company is a single unit of ownership. When investors buy the shares of any company, they become the co-owners of the firm. As such, they are entitled to all the privileges of an owner like voting.

    The shares of many companies are traded on formal trading facilities like Stock Exchanges. In order for a company's shares to be traded on a particular stock exchange, that company has to ...

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  • Penny Stock Detective: Profitable Predictions Through Investigation
    By: Nir Dotan | - Many investors are doubtful that penny stocks, which are priced under a dollar, have the capability to make them rich. Do not be fooled by its awfully low prices, as numerous investors have recognized its potentials that may lead to promising gains. With this recognition, penny stocks have produced extensive attention and a very curious following among investors.

    Getting in early on a stock in order to experience tremendous gains would require you to become a sleuthing expert. ...

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  • Profiting From Delisted Penny Stocks
    By: Nir Dotan | - A stock is said to have been delisted when it is prohibited from trading in a major stock exchange. Delisted stocks become penny stocks relegated to over-the-counter markets. Delisting occurs when a company fails to comply with the listing requirements of the exchange, including meeting minimum share prices, market capitalization, and sales levels.

    Stock exchanges have stringent requirements. To get on the Nasdaq, for example, companies need to have at least $8 million worth of ou ...

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  • Stock Trading For Dummies
    By: Jason Orban | - Stock Trading For Dummies-Stock Trading For Dummies

    Make 1000-2000 per week with an automated Stock Robot
    I hope your not reading this unless your'e rich investors.I'm Serious!You see,You Are going to want this hot,automated product that was made by the best in the business!If you don't check this out,you will seriously be kicking yourself in the morning.Stock Trading For Dummies The Only Weekly Newsletter With An Average 105.27% Profit Every week!Who can say that?

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  • Small Cap Stocks: One Small Step For You, One Small Step For Your Money
    By: Nir Dotan | - We know that investing in small cap stocks does not involve a large sum of money and is not considered a risk in its initial stages if you invest a small or reasonable amount. The risk of losing money in the investment is possible but if you do lose, you will only lose a small sum of money.

    Small cap stocks have a comparatively small market capitalization. The categorizations large cap and small cap are simply rough calculations that may change over a certain period. In fact, the ...

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  • Penny Stocks Or Blue Chip: The More Practical
    By: Nir Dotan | - After decades of slaving away within the four corners of your cubicle, you're finally looking forward to some rest and recreation. But you don't want to spend your wad of cash entirely on R&R, and you want to invest some of your retirement money to keep it flowing.

    Do you buy one Google share that can go as high as $560? Or 100 penny stocks for $2 each? Sure, Google is a fast-rising company, but what are the chances of its stock price doubling in a week?

    The beauty ...

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  • Pink Sheets Versus The Otcbb
    By: Nir Dotan | - There are three major stock exchanges in the US: The New York Stock Exchange (NYSE), the American Stock Exchange (AMEX), and the NASDAQ. Blue-chip companies such as Microsoft and Apple trade on Wall Street because they can meet the strict requirements of these major stock exchanges.

    Companies that cannot do so often trade in over-the-counter (OTC) markets through the Pink Sheets or the Over the Counter Bulletin Board (OTCBB).

    Companies trading OTC are usually one o ...

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  • How To Avoid The Pitfalls Of Stocks Investment
    By: Nir Dotan | - It can be tempting to throw in money on a good tip, especially if you actually see the stock prices rising on the NYSE, NASDAQ, the OTCBB or the Pink Sheets. Experienced investors make money when there is a bull market, but the uninitiated could end up with unwanted stocks by the time the bull run ends.

    To avoid the pitfalls of stocks investment, it is important that you understand how to dodge mistakes and make your portfolio reap good returns.

    Plan Ahead
    A ...

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  • How Should I Buy The Stocks For A Good Investment?
    By: Nir Dotan | - Are you curious about how stocks work? Here are important things you need to know about stocks investment before spending the fruits of your blood and sweat.

    Buying stocks means co-owning a company When you buy a share of stock, you become a shareholder, or a part owner in the company with a claim on every asset and earnings. As the economy grows, so will corporate earnings and, over time, stock prices. Since 1926, the average stock has returned more than 10 percent a year, making ...

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  • How To Discover Your Own Profitable List Of Penny Stocks
    By: Curt Gifft. | - If you are going to be a successful penny stock investor you must treat your investing like a business. You must do your due diligence and you must understand the risks! Penny stock investing is very risky but it can also extremely profitable. The key to success is finding a way to limit your risk. I recommend creating your own list of penny stocks.

    This must be emphasized...there are no free magical lists of penny stock that are going to make you a millionaire over night! So ...

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  • Keep Your Eye On The Yellow Light
    By: Jim Brown | - I think I was 30 before I figured out the yellow traffic light didn't mean I was supposed to mash my foot on the gas peddle because the light was turning red. As I got older and wiser, I didn't need to go as fast as I did when I was young and somehow I found stopping safely to be more valuable than beating the light.

    Online investors can use some of that wisdom as they go about the business of putting their life savings into investments hoping to make even more money for their fu ...

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  • How To Discover Your Own Profitable List Of Penny Stocks
    By: Curt Gifft | - Penny stock trading is a business. Like all businesses it should be be treated as such. Doing your due diligence is the Key. When entering the penny stock market you must understand its one drawback...RISK! Penny stocks are very risky but at the same time the rewards can be astounding. So what can you do limit your risk? Simply put, you must find or create a list of penny stocks for yourself.

    This must be emphasized...there are no free magical lists of penny stock that are goin ...

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  • Investment - A Dangerous Game
    By: Jim Brown | - Games of chance are human phenomena. We play them as children when we learn to count Monopoly money and take a turn on Chutes and Ladders. We progress to other forms of chance as we grow older. We risk a broken heart and fall in love.

    We place bets in office pools and buy lottery tickets, and at least once we buy something in a surprise box just to see what might be there. Its an exhilarating feeling to think you might get a great reward and even more of a rush when it actually h ...

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