Find Good Penny Stocks Quickly - 3 Tips
Penny stocks are one of the best kept secrets of the investment world. Big profits can be made from penny
shares but only when the right decisions at the right time and at the right place have been made. It cannot be
overemphasized that as much as big profits can be made from microcap stocks, there is also a big risk that
comes with its investment.
Yet another good thing about penny stocks is the lesser amount of investment capital necessary to turn in a
profit. The trick is in finding the best penny stocks to invest in as quickly as possible and then pouring in the
money at just the right time. Here then are a few tips to achieve such a purpose.
The Internet does have its uses and one of the most useful where investors are concerned is in hooking up
with other investors. Online forums, message boards and even social networking sites are excellent sources
of information regarding the best penny stocks to invest in at the moment. Since penny shares are highly
volatile, it pays to always be on top of the newest information from fellow investors on a day to day basis.
During the first few weeks of joining the online forums, it can be difficult separating the fact from the
fiction - or propaganda and promotion, to be more specific. But as time progresses, the moneymakers will be
Avail of Other People's Research
Of course, thoughtful and thorough research is an absolute must when looking for the otc stocks with the
most potential for turning a profit. Books, magazines and other printed publications as well as online sites
are great research avenues for the fledging penny stock investors.
But doing your own research often takes too much time and effort that may not be available for many with
busy lifestyles. This is where taking advantage of other people's research comes in. Newsletters and other
subscription services, both online and offline, lessen the time spent on researching about microcap shares on
This does not mean, nonetheless, that any and all information from these sources can be taken as the bible of
penny stocks investments. Research is still necessary only it can be shortened because relevant information
is already at hand. All that's necessary is to verify the reliability, relevance and timeliness of said
information from other sources.
As with any information, the general rule is that if something seems too good to be true, then it is best to
look in other directions because it can be a scam.
Use Online Filters
Yet another way to whittle down the time spent on following every lead in microcap shares is to use online
filters. Basically, these filters allow anyone to set the parameters of desirability in penny stocks as expressed
in quantitative terms. Most investors will look at the price and volume of the penny stocks as the primary
The best sources for online filters are usually contained in an online stockbroker's site. Depending on the
services, an investor can even secure full information on the best penny stocks available as is the case with a
full service broker.
In time, the use of these ways to quickly find the most profitable penny shares soon becomes a combination
of the arts and sciences. The end result will, happily, be more profits coming into the investor's bank
best stock to buy