"Buy Low/Sell High—Two Companies with Great Potential"
http://www.bluechip-stocks.com/penny-stocks/buy-lowsell-high-two-companies-with- great-potential Buy Low/Sell High—Two Companies with Great Potential Galena Biopharma, Inc. (NASDAQ/GALE) is a penny stock that’s having a good year. Trading around the $0.50-per-share level at the beginning of the year, the shares hit $2.77 on the stock market with strong liquidity. This penny stock has been picking up positive Wall Street coverage recently, and I’d say it’s worth following the company’s developments. Galena’s stock chart is featured below: Chart courtesy of www.StockCharts.com This is a stock market where bottom fishing among penny stocks is a worthwhile strategy for speculators. I think one specific stock market group that looks particularly attractive now is U.S.- listed Chinese stocks. Many of these stocks have been hit hard, but are good businesses with good prospects. Recently, I featured China Ceramics Co., Ltd. (NASDAQ/CCCL) as a penny stock that fits into this group. This stock can really move when it wants to, because it isn’t all that liquid; average daily trading volume on the stock market is approximately 82,000 shares, according to Yahoo! Finance. The company’s third quarter was down slightly, and the company expects the fourth quarter to be tough, but a penny stock like this can bounce strongly higher on the first batch of good news from the Chinese real estate market. Recent economic data from China has been positive. Chart courtesy of www.StockCharts.com Speculating in penny stocks is, of course, a risky business. There’s a reason why a company’s stock market price is below $5.00 a share. But, there’s very little growth available these days, and you can’t expect much from the broader stock market. The buy low/sell high trading strategy is always a worthwhile endeavor with risk capital. The stock market isn’t looking good right now. Trading volume has been consistently in decline since the subprime financial crisis, and even though corporate balance sheets are strong, large- cap companies can’t grow their revenues and earnings if GDP isn’t growing. So, it’s a tough stock market to be in, and I think we’re going to get more downside over the near term. With this backdrop, investors and speculators don’t need to rush into any positions. There’s no tailwind available from the broader stock market, but most large companies have great balance sheets. For risk-capital speculators, this is a good time to be putting penny stocks and other potential turnaround situations on the radar screen. I think we’re almost at the cusp of a new business cycle, but the U.S. economy will likely have to experience another recession before it takes off. Article Source: http://www.pennystockdetectives.com/