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Penny stock basics


firecarl
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In the USA, a penny stock is a common stock that trades for less than five dollars a share and is traded over the counter (OTC) through quotation services such as the OTC Bulletin Board or the Pink Sheets. Although penny stocks are said to be "thinly traded," share volumes traded daily can be in the hundreds of millions for a sub-penny stock. Legitimate information on penny stock companies can be difficult to find and a stock can be easily manipulated.

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Penny stocks are more responsive to low trading volume, and any mass of trade can affect their share prices. Owning these stocks can be advantageous, especially with exchange traded funds (ETFs).These stocks are considered as the fast movers of the stock market. In penny stocks you can easily purchase a bulk quantity of shares of these stocks for a specified amount of money which would have, perhaps, let you buy a comparative less amount of share of a costly stock.

Penny Stocks

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The good things about penny stocks are that since the prices of shares are normally low, it creates a good leverage offered to the investor. But it never happens in the "blue chip" stocks, such as IBM, Google or FedEx. The standard "blue chip" company can trade nearly hundreds of dollars per share. So those stocks find problem to double. But, penny stocks that trade at literally pennies, the chance is high to double per share.

Penny Stocks

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Penny Stocks can have explosive moves in either direction, so unless you have lighting fast trading system, it’s always better to stay protected on the down side with stop loss.One of the most volatile times for penny stocks or any stock is the open. You can’t trade penny stocks in pre-market, so it’s important to watch the first 10 mins. If there’s lots of buying, then it’s time to get into the stock market.

Penny Stocks

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Penney stocks are hard to trade and make money you might want to follow Wall Street Grand they will text you on penney stocks they feel will move I follow and keep track they have had many do well. Learn how to look at stocks and follow charts and do your own research the roller coaster on stocks the last years have been good. I'am just learning and it is unreal, have followed for years.

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Guys, look at IDTA.pk. Their product is superior, and there company is based in Israel. They have been around for years, and trading in the sub-penny range for the past 3+ years. The only PR's that they had come from them(and there were alot) were ones about their current and newer products. Read up on them, they are going to be very big IMO. Their latest PR was one where they stated they were "FINALLY" going to release financial info about their company. This kind of info has been what was lacking in all of their previous PR's. And HERE is a very interesting fact-their latest PR comes at a time when the GOI is supposed to be formed! They are located just across the tiny little pond over there, the Mediterranean.While I don't know what their economic state has ever been, wouldn't someone think that a RV could send this company from a "sub"penny stock to an above penny stock? I have over 800k shares for years now, just waiting for something positive to happen.

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