Why penny stocks?
For those 2% to 3% extraordinary penny stock investors, penny stocks offer the best investment gains for every dollar invested than any other type of securities investment.
Inherently explosive moving securities
Why penny stocks? Penny stocks are mainly exploration or developmental stocks that trade for pennies to under five dollars. These types of stocks are inherently susceptible to major price moves or swings that the extraordinary investor uses to earn huge profits in short periods of time with limited risk when penny stock trading.
Stock Promoters - Marketeer promoting a huge plus
Marketeers, the Stock Promoters, target and exploit different types of microcap and nanocap stocks for their promotion scams.
Included among these types of stocks, the professional marketeers best choice is to promote high quality sleeper penny stocks with explosive potential.
Why? Because these stocks are easier to hype up and promote to more experienced traders far beyond realistic share valuations.
High potential sleeper penny stocks remain unnoticed by professional stock traders until . . .
The reason why great penny stocks go unnoticed.
You must realize that most experienced stock traders will not invest in penny stocks unless they gain the attention of media. Why? Because penny stocks have the reputation of being scams initially; so, they are not studied or followed.
This initial lack of interest by stock traders is to your benefit. Your job, as an extraordinary investor, is to target, and then invest in, those sleeper high potential penny stocks before the stock promoters begin marketing the stock through various media channels.
Most seasoned traders can smell a scam stock a mile away - and these are the traders that have the money.
Why penny stocks that are virtually inactive but high potential are promoted over scam stocks by professional stock promoters.
By promoting high potential sleeper penny stocks, the stock promoter insures greatest trust and trading involvement from the greatest number of traders with money for their pump and dump strategies.
The strategy of the professional stock promoter is to seek high potential sleeper stocks. Then the promoter targets one or more of them for their stock promotions. The stock promoter will then buy up shares of those target stocks, and then promote these stocks at somewhat inflated prices to other traders and investors.
The Stock Promoter's Purpose
The purpose of the Marketeer is to make other traders give their money to them by trading the stocks they promote at inflated prices and then sell at various price levels as the trend begins to play out or top.
The Extraordinary Investor's Purpose
The Extraordinary Investor specializes in locating, planning, and investing in the same type of stocks that stock promoters seek to promote. This means that the extraordinary investor's goal is to be invested in high potential explosive stocks before marketeers invest in and promote them.
In this way, the Extraordinary Investor limits downside risk while being positioned to make extraordinary low risk high profits off the promotions and trading activity created by marketeers (stock promoters). And the rewards are well worth the effort! That is why penny stocks are are the best investment for the extraordinary investor.
The Extraordinary Investor is KING of the Penny Stocks
When trading penny stocks, your strategy is to make money from marketeers, novice traders, pigs, technical traders and professional traders. You enter your trades before Marketeers invest and begin promoting to the other traders, before the stocks turn into rocket stocks.
You sell your shares of the stock when it nears the top of a rocket stock trend - but before marketeers dump their shares. A quick 30% to 300% profit is realistic. The extraordinary investor makes money off the hard work of stock promoters. Can you see why penny stocks can make you so much money?
You are rarely trading against professional or institutional investors.
This means, as an Extraordinary Investor, you have the distinct Investor Advantage in knowledge and strategy that takes advantage of the expertise of marketeers and the gullibility of the other investors who are victims of marketeers.
You are not under the extra burden of competing against most highly professional seasoned stock traders and mutual funds who have privy to news before it comes out as with other types of stocks. They will invest later, after the penny stock is highly promoted.
What this means for you is: Low Risk, High Profit Trading. That is why penny stocks are your best choice if you are an individual small investor looking to gain great wealth.
KING of the Penny Stock Market
In effect You are the KING as an Extraordinary Investor. The other investors and traders, including the marketeers, serve you by giving their money to you. When you sell, they will be buying up your shares. Why? because you targeted and bought your shares well before stock promoters begin buying shares of the stock they are soon to promote.
Penny Stock Trading to avoid risks and rake in huge profits!
Most investors do not know how to screen or trade penny stocks.
Most traders think that penny stocks can be traded with the same kinds of market indicators, ratios (such as P/E or Price/Earnings ratio) and technical indicators and complicated formulas and algorithmic software that only generally works on tracking tiny ebbs and flows of share values in major stocks.
Such strategies are for day traders and swing traders in larger cap stocks. The reason being that most types of stocks, that are not penny stocks, can be technically tracked by their assets, growing product sales, and their profits. Not so for penny stocks.
Penny stocks have no sales, very few assets, no profits, and huge debt. Since this is the case, technical signals or indicators are unreliable to track them and predict their future trends.
Other methods must be used to screen, locate, target and track penny stocks with high potential for explosive rocket trends. That is what this site is designed to reveal to you.
Trend traders and swing traders lose out on most of rocket stock trades that are found within the penny stock market because little to no reliable technical signals to forewarn of a rocket stock trend.
For these traders, penny stocks are extremely risky. That is why such traders must rely on media by stock promoters to make penny stock trades. By then it's too late. The penny stock is already trending upward, and could plummet at any time.
The extraordinary investor profits from the later trading activity created by the marketeer promotions. This is called the Investor Advantage.
You can learn more about the Investor Advantage by studying this site.
Capturing the illusive Rocket Stock
A vast difference exists between how traders successfully trade rocket stocks within the penny stocks market and how traders successfully day trade blue chips, commodities and the indexes. The reasons have been discussed, and will be fully programmed into your mind of understanding as you read and study this site from beginning to end as this site directs you.
Overnight Wealth like No Other Investment
Penny Stock Trading can make the small investor wealthy like nothing else with far less effort.
The day trader may intensely trade 8 hours per day on his leveraged wealth thousands of times per year to eke out 15% to 30% yield on investment.
In contrast, the penny stock investor utilizing the strategies taught on this site need make only three to ten trades per year to make faaar more with far less time, effort, expense, risk, emotional trauma. You can trade penny stocks part-time, yet make more money than the day trader. No need to leverage your capital. No need to stare at charts for hours a day.
Invest Part-Time and make Full-Time profits
Obviously the small investor who does not have much initial investment of time or money is a smooth fit to profit enormously from penny stock trading as an extraordinary investor. This is why penny stocks are such a smooth fit for the individual investor.
Why? Since the Extraordinary Investor only invests in high potential rocket stocks that have explosive potential for the future (usually within 3 months), such investor can purchase shares and then set realistic Good-Till-Cancelled limit-sell orders at various prices of a future explosive trend and then go about his business. The down side risk is minimal when done the right way, just as this site reveals.
Penny stock trading is not for the large investor or mutual fund in most cases.
The low liquidity of shares traded in penny stocks is prohibitive to large or institutional investors at least until they are being feverishly promoted and traded.
$1,500 to about $20,000 per stock (depending on the stock, its trading activity, and its market cap) is about the maximum one should consider investing per penny stock to achieve low risk, high profit in-and-out trades.
If you are wealthy and intend on investing over $20,000 per stock trade then you are limited to the more higher end micro cap penny stocks or small, medium and large cap common stocks.
You've completed this sub-topic called, Why Penny Stocks?
This page gave you a brief overview for some of the reasons why penny stocks are your best choice to gain low risk wealth quickly, with low initial investment, the least amount of time involved in investing, and the highest potential profits.
When you are ready, start from the beginning, to take that Journey to become an extraordinary investor... to change your life for the better.