Posts Tagged ‘penny stocks’

Does This Seriously Work?

A few days ago I got an interesting e-mail about the recent launch of a new penny stock alerts service, penny stock promo. Needless to say, the sales page is extremely cliché and full of what looks to be bull crap. You learn to be skeptical about this when you spend a certain amount of time online.

However, I had an interesting conversation with one of the managers of the service. It was enlightening. You see, most penny stock promoters do the same essential thing. That is secure a contract with a company to promote a stock. This can cause some unnatural stock movement that can be quite profitable, but also volatile.

What’s unique about Penny Stock Promo is that they actually get these contracts before anyone else does. They have an edge on penny stocks. They don’t just scan the market or find someone to advertise a stock with.

They Find Out What Stocks Are Being Promoted, Before They Are Promoted!

So basically, you are using a service in this situation that guarantees a profit. Unlike other services which, while they can still be effective, don’t guarantee results, this practically FORCES the market to give you cash by getting you in right before a bunch of interested investors get alerts on other newsletters.

Pretty sweet, huh?

Look, I’m not saying it’s going to be all it’s cracked up to be. In fact, I’m pretty sure it won’t.

But, one of the managers for the service was kind enough to offer me a free trial in exchange to do a review here on my blog. So what the heck, right?

I’m excited! If this service lives up to my expectation, there will be some good profits coming in from these alerts. And the owner actually seems like a pretty cool guy and fairly honest about the whole thing too, unlike some other services I have seen out there.

Anyways, if you want to try it out for yourself, I highly recommend at least giving it a shot since it has a 60 day money back guarantee. Click the link below to get started!

IPRC On The Move…

It’s been a tough and patient time waiting for IPRC to come out of its shell and finally start making some real profits. This has been one of my favorite penny stocks for a while now and I have been watching it very closely. Interestingly enough, IPRC originally took a down turn after adding it to my list, which was almost immediately followed by a recovery and a pretty significant rally.

IPRC is currently pushing the one dollar mark on the charts. If it manages to meet and exceed it, it could mean a dramatic price range shift for the stock and create some amazing new value for anyone who is in the trade.

The stock started this month out at 80 cents and dove all the way down to a low of 68 cents, taking a beating from short sellers. But IPRC wasn’t having any of that for long. Immediately after hitting that tough, extreme low, IPRC bounced back up onto its feet and started the rally that we are currently still running in.

Again, I’m just not that surprised by this stock. They have been overdue for a rally ever since the Christmas season, and seeing as how they are not geared towards any consumer markets, that rally was bound to be daily by market energy moving over into sectors that did provide this. IPRC was a good stock the whole time, just not getting the attention it deserved.

Will the IPRC Rally Continue?

I can’t confirm or deny this at this point! It could keep advancing for weeks for all I know, or it could collapse and die immediately. Safe, conservative traders might want to get out of the trade now to be sure you gather some profits, but more aggressive ones can hold onto IPRC to see how things pan out.

After all, there’s only a few shreds of data as to why this rally is happening in the first place. It’s been on my penny stocks to watch list but hasn’t really made any significant news since then. I can’t confirm that it is living up to its expectations and soaring for good, so we shall just have to see how well it pans out.

IPRC: Total Gains: 32 percent!

Overall, IPRC has been one of the best penny stocks I’ve picked out for 2011 and I’m looking forward to more!

Is SNEY Bouncing?

Good Feelings About SNEY…

After being added to my watch list a little while ago, SNEY had slumped as a market correction in response to massive market movement. This one made it onto my penny stocks to watch list for good reason though. The company has a lot of potential and only needs a few good technical indicators to return momentum back into the market and make a break for it.

If SNEY had gone up originally, the time to cash in would already be over. I was expecting a market correction and got one. It was a bit overbought when I first added it to my list, but it has broken down since reaching that point and is now in a pretty well sold position where it is quite a good bargain for a penny stock trader.

What to Do With SNEY?

My overall recommendation is to hang on for profits. SNEY could be a wild ride if it continues to move in its currently forecasted direction. Just watch out for a reversal! Trade on an open stop loss and watch the stock closely for a shift in pattern.

Oh, and as for OTIV, I think the following chart speaks for itself:

It’s made it all the way up to 3.90 in the course of a few days.

I freaking love penny stocks. Let’s see what SNEY is made of!

Is OTIV on its Way Up?

If you’ve been paying attention to my penny stocks to watch list, which you should be, you’d know that On Track Innovations has been one of my most promising picks this month. It was one that I felt pretty strong about from the get go. Not only that, but it had a technical pattern to it that suggested a possible upward movement in the near future.

The downward compression and failure to break support at $2.80 was key. The bears weren’t able to win this time around and as a result, the stock price broke through and made a pretty hefty 23 percent gain since being put on my watch list.

Overall, this is probably one of my favorite penny stocks to be keeping an eye on right now. It has some good profit potential and there is a decent chance it could be a strong buy for a few weeks to come. Only time will tell, but it proves what kind of power there is in sound analysis and a good stock pick.

So, What’s Driving OTIV up?

OTIV recently acquired a subsidiary company, Ganis Systems Ltd.. As a specialist in creating smart card technology for powerful corporations, OTIV generates its revenue from providing these corporations with simple security and data solutions that allow them to keep data private and maintain a more secure access over sensitive areas and information in the buildings their clients work in.

How Does Ganis Help OTIV?

Adding Ganis to the mix only makes them a bigger player in the game. Ganis Systems offers a wide array of parking security solutions to help maintain and control traffic flow in and out of the building for numerous different corporations. This team relationship will allow them to provide more solutions in total to every single company that they work with which is inevitable reflecting in their stock price.

As for now, I like this company. What the future holds is never a sure thing, but for OTIV, it is looking pretty bright.

Seriously, LFBG has been one of my best penny stocks I’ve picked out for a long time. The hype of this stock isn’t at all baseless either. The driving power behind this stock is the newly announced contracts they’ve developed to position themselves in the national market. You need only read any of the previous posts on this blog to understand why.

If the movement continues, I may bring this stock back for a third month. After all, a big part of their success right now is the announcement of their Christmas marketing plan for their line of Christian video games. This means a lot of potential gains are still up ahead of us. I would place a reasonable stop loss, but stay in the market for a bit longer to see how this one pans out in the coming months.

Overall, great trade and will most definitely be giving anyone in it some love! A great way to earn some fast cash.

Hey all, if you’ve been paying attention to LFBG, you’d know that it’s already up 36 percent since I put it up on my penny stocks to watch list a few weeks ago. I made a pretty solid call adding it to my watch list when I did, and if you managed to get in on it, congrats!

So, what’s fueling LFBG?

The answer is simple.

They have a recent contract to distribute Christian video games with the massive conglomerate Wal Mart, which is a huge step forward for them.

Compound this with positive earnings reports, a good technical pattern and the fact that this micro cap stock is still managing to trade close to its 52 week low, and you have a formula for a pretty solid penny stock!

For those who bought in, It’s up to you whether or not to hold onto it. There could be further profits up ahead. Otherwise, congrats and keep an eye on my list of best penny stocks for more potential gainers!

What a lot of people don’t entirely understand about penny stocks is the concept of scalping versus long term trading. When people trade penny stocks, they start to lose track of the fact that these equities are practically valueless in and of themselves, hence they are traded at such a low cost on the stock exchange. For this reason, traders new to the art of penny stock trading have to understand the difference between scalping and mainstream trading and why it plays such an important role when it comes to trading these difficult and often times complex financial instruments.

A mainstream stock gets traded thousands of times per day and has much more liquidity than a micro cap stock. This is because mainstream blue chip investments such as Google or IBM stock are widely recognized for their value, not only in terms of potential appreciation due to the strength of the company, but also in the consistency to pay out dividends to their investors.

When you shift over into finding hot penny stocks to trade, the game completely changes! You are now attacking a market that moves twice as fast, so you need to be making each trade very carefully and tracking your progress day in and day out, no matter what.

Here’s a look at some of the difference between penny stock trading and standard stock trading people should be aware of:

Stock Trading

-Offers highly liquid trades that guarantee an immediate fill in price

-Trades move very slowly since the market is highly efficient. It could take weeks or even months for a stock to double

-Easier to speculate on since more people are actively engaged in these markets

-Have just as much risk as penny stocks only the market moves at a slower rate

Penny Stock Trading

-Low volume occurs on most penny stocks day in and day out. This means you need to look for a volume spike to place your trade in order to guarantee a fill!

-Trade moves very quickly since the small market on these stocks is very inefficient. You have to watch fairly closely for a spike in price.

-More complex speculation is required here because fewer people are in the market. Get a good trading system and preferably a newsletter to help!

-Stocks can double overnight, literally. Be warned as they can do the exact opposite as well!

That said, people need to ask themselves some smart questions before trading penny stocks, or any stock for that matter. There’s a decent chance this market just isn’t for you, but there’s also quite a good chance that it is! If you enjoy fast moving stocks and don’t mind the risks of trading on low volume, penny stocks can be quite a good investment for you.

The key is scalping. When you try to attack a penny stock via mainstream trading methods, you often wind up moving too slow for the market! This means you lose a lot of your profits to commissions and lack of volume, and often times wonder what exactly went on? You need to scalp, which means getting in on a sudden spike in price and volume, then getting out quickly! I talk about this a lot in my Penny Stock Prophet Bonus.

If you want to figure out if penny stock trading is for you, ask yourself a couple of simple questions about how you trade:

Do you enjoy fast moving stocks?

Do you want to be able to profit today and not a few weeks from now?

Do you mind scanning the market for volume spikes and heavy price action?

Do you not need dividends or any of the other features offered by mainstream mid and large cap stocks?

If you answered yes to 3 out of 4 of those questions, then I think it’s safe to say you’re a penny stock trader through and through! So what now? How do you get yourself to the level where you can make serious money in the financial markets and start quitting your day job once and for all? The answer requires some discipline and persistence on your part, but don’t fret! You can make it out of the rat race as a trader, or in the very least, make yourself some extra cash to help pay those bills. There’s nothing like a hobby that pays you, now is there?

Here are the 4 steps you need to take to become successful trading penny stocks:

Step 1: Educate yourself on the markets

Go to the book store and read like crazy! I recommend books like A Beginner’s Guide to Day Trading Online (2nd edition). Take a few educational seminars from classes like Investools or thinkorswim. These guys will teach you all the basics you need to know about trading. Get as much information in your brain for a few weeks as you can before even placing a paper trade.

Step 2: Find a trading system you like to help you scan the market

In terms of penny stock trades, the best thing you can have is a good newsletter. Some of the free ones out there such as Penny Stocks Expert are alright, but overall I recommend a paid for newsletter such as Penny Stock Prophet or Penny Stocks Psychic. These services both offer accurate alerts and better service simply because they make more money by being paid by each of their members to offer high quality alerts. It’s a lot better than guessing or using a crummy free service in most cases!

Step 3: Practice paper trades and build a successful trading journal!

Good penny stock trading requires building a solid journal of trades that shows you have made progress and become fairly consistent and generating profits. This doesn’t mean having no losses in your trades, but rather it simply means you are successful enough trading your wins over your losses that your losses are much outweighed by your gains. Do this for at least a few weeks to a few months before transitioning into live trades.

Step 4: Transition your trading journal into live trades

This is the big jump! When you’ve finally gotten the hang of trading basics and feel comfortable trading your stock alert system, move it into live trades with a small non-margin account. Do not put more money into the account than you can afford to lose! If you can’t afford to lose more than $1000, then make that the maximum amount you trade, period! At this point, you should be good enough at scalping penny stocks that you feel comfortable with the occasional loss, as you should. Try to start with at least $1000 if you can and absolutely under no circumstances put the nest egg up into your trading account!

So what is all the hype with NUEC and how is it that this stock has jumped 26 percent in one day after James Connelly sent out his alert? Has there been a significant bounce on the psychological support level for this stock, or is it going to crash and burn suddenly under such a sudden and extreme movement? I like to play the scalping game, so my exit point is either now or very soon! Here is my overall analysis: take it for what you will!

Green markets, while great and an exciting opportunity to profit off of what is essentially a fad, do not offer much in terms of new sources of revenue or new markets to explore. The reason is because green is such a vague term that refers primarily to services we already have or need to simply improve, like transitioning from throwing garbage out to recycling it. It seems a bit insubstantial to me that anyone base such a huge move in a stock on sources of energy that have never been deemed unworkable.

Albeit this is not an energy stock to go after, which is another reason I don’t see it as making a huge move potentially. This is an agricultural development stock that specializes in the creation of chemical mixtures to improve the working of soils. While that is important, agriculture is not a sector I see a lot of growth in, so I’d get out of this stock relatively soon.

Not that you will lose tremendous amounts of money, just that you won’t make a whole lot either, which is essentially the point of penny stocks. You look for a sudden move, then ride the profits up and scalp it. I really appreciate James sending me out this alert as it is a great trade, but one thing I have to say is, if you are in this one, don’t hang onto it much longer!

Smart traders can make a safe 20-30 percent off of trades like this, which is why I love PSP. I was beginning to think it was a fad, but every time a great trade comes into my inbox, I’m reminded that this service is actually pretty sweet, assuming you know how to work it appropriately!

My verdict: great trade for a quick scalping, and nothing more! Keep out of it for the long term as the only person claiming to be that this stock should multiply by 165 percent is, well, the CEO. And of course he would say that, now wouldn’t he?

Anyways, if you still haven’t gotten in on these alerts or checked out the bonus I made for James Connelly’s service that has been sending me picks like this, I highly recommend checking it out and getting in on the action by clicking here to get the Penny Stock Prophet trading service.

Hey all, for the members of my list who were fortunate enough to get in on this one on time, BLUG has been a pretty powerful player thus far. If you managed to get yourself in early as I usually tell people to do, you could have walked away with a significant portion of the 56 percent gain Blugrass Incorporated made today! That would’ve been very nice, especially since James hasn’t released one of his own picks recently.

Why was I strong on this pick? Well, I actually had multiple alert services telling me about it, first off, which usually tells me there’s something bigger going on than can be attributed to one or two people’s theories. Second, this is an oil company and while they are hitting a 52 week low, oil is hitting a 52 week high, which can only continue for so long! Basically, this stock just appears to be at its psychological support level for a pretty serious turnaround, and if you’d have been a member of my list, you could have gotten in on the trade too!

Anyways, that’s all for this post, keep an eye out for some free trading videos I’ll be giving to my list members in the coming weeks!

So this morning I had this in my inbox from the Penny Stock Prophet:

I believe SHMN will be our strongest play in 2010 so far! The formula is showing that an unbelievable rally is about to unfold.  We’re looking at potential gains of 100 – 150% over the next few days.  Do not miss this one!

That’s the gist of it anyways. Apparently James has such a strong notion about this particular stock that he didn’t even have a Friday pick last week because he wanted everyone to clear out any trades they were still in to insure they’d have enough buying power to profit from this trade. Sounds exciting. Let’s have a look at the chart:

I’m with him on a long position with this particular stock. My only fear is the notion that perhaps the stock may already have realized it’s maximum possible gain this morning when volume and price spiked dramatically. His last couple trades have been fairly impressive, so this one should no doubt yield a fairly large profit, and the volume pattern does match that of a retracement, so we should have more upward momentum to go.

I’ll be sure to fill you all in on how it turns out. Just in case you haven’t already subscribed to the Penny Stock Prophet, I highly recommend clicking here and finding out how good it is for yourself.