User talk:Bullseyestox

Penny stocks by definition are stocks that trade under $5.00. These stocks are speculative and extremely volatile as most penny stocks move based on headlines, earnings, mergers, contracts, and buy out news. If you are new to trading stocks, then you have probably seen penny stocks run 100% or even 1000%. These moves are typically as a result of the aforementioned factors - contracts, earnings, mergers, headlines. http://www.bullseyestox.com/20110917554/finance/researching-penny-stocks-554.html. You are encouraged to do your due diligence when trading these highly speculative stocks as they could lead to unlimited losses. Penny stocks trade on all exchanges- not limited to the Nasdaq, Amex, OTCBB and the pinksheets. If you have decided that you are going to invest in penny stocks then before you even think about investing your money you need to learn all about penny stocks.

Firstly you will need to find out all about what penny stocks are and the best way to trade penny stocks.

As an investor you should commit some time to learn all about penny stocks before investing your valuable money as this is often more valuable than any amount of money you will make! If you are looking for a good place to start then the internet is a great source of information and the information is generally free.

Always avoid those spam emails you get advertising about penny stocks as they are generally a scam. However there are many valuable sites out there that will give you good information as well as online chat forums where people will answer your questions.

Remember whatever you read on the internet it always pays to double or even triple check it first just to be on the safe side. Online chat forums can be a great way to talk to people who have a similar interest to you and it can be a great way to learn. The best advice you can get is from somebody who has already played the penny stock market and sometimes they will even warn you of the mistakes they made to help you from making the same ones.

You can find online forums dedicated to all different types of stock market investing and penny stocks should be no different. This can be a great way to find out what real people are saying about certain stocks and if they have actually made any money with them.

You do need to be careful though as some people may use these forums to rave about certain stocks so that people will rush in and buy them and cause the price to rise so they can sell out at a profit.

Before investing in any type of share it always pays to do your due diligence.

As you start talking with different people you will hopefully learn a lot more and become more familiar with the penny stocks you want to invest in. yourself up with a broker. Information you will need to get from your broker includes the brokerage fee and all related terms and conditions.

You should get everything in writing including written documents mentioning any recommendations for buying and selling of any penny stocks.

Remember if your broker recommends buying any particular shares like anything else you should always conduct the proper research before making any investment decision http://www.bullseyestox.com/20110925581/finance/how-to-invest-in-penny-stocks-581.html