Buying and selling penny stocks, though it may very well be very profitable, may also be rather risky. The amount of risk involved may be significantly lowered by thoroughly analyzing the stocks you might be considering, although the quest is often fairly difficult and time consuming.
There is actually a new computer “bot” that has been created that analyzes penny stocks using in-depth mathematical analysis and by doing so dramatically decreases the risks and increases the profits from buying penny stocks, while greatly simplifying the task of picking what stocks to purchase and when. As you might have perhaps guessed, a program this potent comes at a pretty substantial cost, but there’s an affordable way for even the smallest stock investor to gain from it.
Penny stock trading has big advantages when it involves high, rapid returns on investment, due to the fact that penny stocks are priced low enough for even very small investors to buy, as well as enjoy the option to have a diversified portfolio. Because penny stocks have such minimal values, just a few cents change in the price of the stock can equate to an incredible difference percentage-wise, and possibly a significant return for the investor, depending on the amount of the total investment, particularly in comparison to the profits possible with greater value stocks.
To show the impact of penny stock price adjustments, let’s do a comparison. If you wanted to spend $ 1000 and found a stock you decided to buy at $ 100 per share, if it increases by $ 1 per share, you’ll have made $ 10. But, if you took that same $ 1000 and invested it in a penny stock trading at $ 1 per share and then it increased by $ 1 per share, you will make $ 1000 on your investment!
However, for the very same reason that penny stocks make so much money so rapidly, they could also lose lots of money very easily, which is one of the big reasons you must be very mindful when purchasing. Another reason that penny stock investing is chancy is because of shady or outright deceitful methods of some individuals involved in marketing and selling penny stocks. It’s sometimes quite challenging to get solid know-how to truly analyse penny stocks, as businesses that issue these stocks are not legally obligated to file financial reports with the Securities and Exchange Commission.
A number of dishonest tactics might be employed to lure unsuspecting investors into buying penny stocks as a ploy to drive up the stock value, after which insiders might quickly cash out their stock at a higher price. The sell-off then drops the stock value sharply and the holders take a big loss. It’s normal for investments having the greatest potential rewards to also carry the greatest potential risks, but in buying penny stocks, the relatively large amount of misconduct drives the risk much higher than what would occur under ordinary market circumstances.
In order to decrease the associated challenges of purchasing penny stocks, a good amount of time and effort is typically required to evaluate prospective stocks, to prevent possibility for fraudulent misconduct, and realize a good return on investment. A cautious penny stock investor could devote a good deal of time evaluating a single stock. This effort would hopefully pay off in the long-run, although the time spent in doing so often tends to make penny stock investing unrealistic for part-time investors.
Then along comes “Marl”, a penny-stock-buying computer “bot” designed by a couple of geniuses that combined computer programming experience with an in-depth understanding of stock investing. Marl has several advantages over human investors, however the biggest advantage Marl has is that there are no emotions involved in its stock picks. Marl makes its picks derived from cold, hard, statistical calculations. Plus, Marl can do a in depth exploration on hundreds of stocks in less time than it would take even an expert stock analyst to perform a cursory evaluation of just one stock. This doesn’t completely eliminate the risks of buying penny stocks, but it does decrease it considerably.
Marl has been so impressive that it has allowed for huge gains by advanced investors. Because of this, Marl is considered a bargain at the $ 28,000 price tag for a licensing fee; but bargain or not, that is well beyond the means of smaller investors. There is an option to use Marl, however that is available to traders with even the smallest of budgets. The makers of Marl put out an e-newsletter that delivers Marl’s top penny stock pick for each week. For new traders, this may be even better than buying the complete Marl program, since it narrows down the investment options to just one stock every week, as opposed to figuring out what to choose out of hundreds of options. Using this method, even total novices have the potential to generate fine returns on their penny stock investments.
Though the creators of Marl have indicated that they will be limiting the number of subscribers to their publication, and might even stop selling new subscriptions at all in the very near future, small investors, at least for now, have an opportunity to dramatically enable them in dealing in penny stocks.
Since Marl’s appearance, the penny stock market has been flooded with competing newsletters, all claiming to be the end-all in trading and investing in penny stocks. It is recommended that rookie investors choose the one that answers their questions, matches their budget, and appeals to them personally. You’ll find our picks in the resource box below. Good luck!
Our affiliate penny stock strategy sites are: “How to Hack the Stock Market,” “Stock Assault 2.0,” and the “Penny Pump Finder.” Check them out and see what you think.
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By Activ-Michoko from Pixabay