Penny Stock Trading Help
Many people out there are searching for the Holy Grail method of stock trading. It does not exist. The guys on Wall Street are more crooked than any casino in Vegas or Atlantic City. The odds will always be against you. This does not mean that you cannot make money. You just have to know how to participate in the system. Get a penny stock newsletter that will give you the knowledge that you need.
I was looking through Yahoo Answers and I found this question. It’s a common question that needs to be answered.
“I want to experiment with stocks a bit without actually putting money in it and I’m trying to find wat stocks are more long term and then companies that are more short term and what are some companies that are more risky like penny stocks that way i can kind of compare what stocks are out there and what would b best for me. also any tips and help would be appreciated. i know there are millions of books on how to earn a quick buck in stocks but i don’t trust anyone enough to buy a 200 dollar book on a gamble that it might help me. so I’m learning the best way i know how and that’s getting my hands dirty, so if anyone knows were some dirt is in the stock market i want to b there!”
For more information, check out Microcap Millionaires and The Penny Stock Prophet.
Hey everyone, Gary here. Stock trading was never my forte'. I lost tens of thousands of dollars listening to stupid advice and letting other people trade for me.
Dear !
As the Definition of Stock exchange which is as " Stock Exchange is a legal place of gambling"
so, i recomend you always try to invest in blue chip and dividend yeild items instead of speculative item’s.
first work on item which are dividend given, and fundamental item, check their low /high, trade volume’s avarage volume,average price, dividen history,investment back period,age of trading etc when you satify then invest in stocks.Some time hidden information affect the trading and rate of scrip, keep touch and informative.
Here’s some general help. Avoid penny stocks, there is a reason they are traded that way. It is a questionable market that is mostly unregulated. For sturdy stocks, I would say utilities fit best. Most are locked in by state regulators to make a dependable profit and pay a quarterly dividend. They will most likely never go high in value, but the constant return of money makes the cost almost nothing eventually.
Walk around the grocery isles or hardware stores, where ever you are comfortable. Watch for new items or trends and if something is a good idea, get in early and out early before someone copies it. Don’t try to "time" the market. You will usually lose. Invest regularly and don’t stop buying when the dow is dropping. That is when you want to be buying so that when the dow goes back up, you are already cashing in on your profits.
Buy for the long term, not short term. Everything goes in cycles.
If you can find it, I would recommend an old book simply called "Money" written by Michael Hayes. It explains things very easily and still stands up well almost 40 years after it was published.
First of all, it is very hard to experiment with stocks without putting money in them (as far as actually trading). Virtual stock exchanges are so slow and messy. If I were you I would not invest right now. If you do, find the lowest priced stock of a *secure company* (like AT&T for example, but NOT AT&T). Right now traders are doing day trading, or as jeff calls it "penny trading". Basically they jump in and out of stocks using hundreds of thousands of dollars to trade. This works for them because the mere "pennies" they make are multiplied by the hundreds of thousands/millions of dollars they use. As for a book to read here are some:
The Intelligent Investor (by Graham and Dodd; often considered the investors bible; it was written in the early 20th century but the theory still works great today.
Security Analysis: over securities obviously.
Peter Lynch books: as they are generally just full of information and entertaining too.
Note: the intelligent investor takes precedence over all these.
TAKE THAT JEFF!