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==== ==== Thankfully, Nathan Gold, The Penny Stock Egghead, has happier news for investors. http://tinyurl.com/85tusbl ==== ====

Penny stocks are stock that are generally priced under $5 a share. They can be extremely volatile and risky and move according to speculation rather than solid company financials. The price can range from several cents to several dollars. Their characteristics are risky, volatile, high trade potential, and the obvious. the very low price. Why invest in these type of stocks? Why are they so attractive? Because of this one reason: you have more margins for profit! The attractive characteristic is that as a stock trader, you can buy hundreds of them for a small amount and make huge profits when speculation goes up. Even though solid evidence is hard to find, speculation news is not! If you follow stock forums that offer penny stock pages, you can follow the market's speculations and see which ones to turn a profit on. Open an online traders account at Scottrade and gain some experience trading the stocks. Then visit a forum or sign up for a newsletter that is based on speculation. More news equals more profit as news can travel fast about a certain stock. What is a good strategy for investing in penny stocks? Before you invest in them, you must be forewarned: they are worth pennies for a reason. They are high risk investments and you must understand that. However, with the high risk comes extremely high profits. The best (and risky) strategy for investing in penny stocks is to follow the news. Since most penny stocks are purely speculative, a basic strategy is to follow newsletters that work. You can subscribe to several newsletters offering their picks on penny stocks, and you will see which ones give results and which ones don't. Follow up on some of their picks before you invest in a newsletters and its pick. Also, make sure you know what company you are investing in. Be smart and don't just rely on the stock symbols - find a company that to you has potential for growth.

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Article Source: http://EzineArticles.com/?expert=Tim_Karlson


==== ==== Thankfully, Nathan Gold, The Penny Stock Egghead, has happier news for investors. http://tinyurl.com/85tusbl ==== ====

Penny Stocks How They Work  

Thankfully, Nathan Gold, The Penny Stock Egghead, has happier news for investors HERE: http://tinyurl.com/85tusbl

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