Tips on Finding Good Penny Stocks Fast
New investors are either intimidated or excited by the prospects of investing in the stock market depending on their prior experiences.
We think with the right combination of knowledge, application and investing strategy you will learn to enjoy investing.
The important thing is to view it as a learning process and keep getting better.
The principles are similar whether you choose to invest in largecap or penny stocks.
Penny stock investing can be very fruitful provided you get the basics right.
Here are some types to finding good penny stocks quickly: 1) News alerts Its real easy these days to keep tabs on anything you want to through news alerts such as those provided by Google news.
Enter keywords like 'penny stock' or 'new penny stock' and your inbox is going to be overflowing with the latest articles related to penny stocks.
After you keep monitoring them for a while you will learn very quickly which websites have the best information whether it be stock recommendations, investing advice or just a nice forum with like-minded investors.
This brings us to the next tip.
2) Penny stock newsletters Through your diligence in the previous step, you will discover very quickly the websites that provide quality information or advice.
Some of these will offer newsletters either paid or free.
Whether you choose to pay for the newsletter or not is up to you.
We recommend filtering out the newsletter subscriptions you are going to purchase after reading reviews about it through a non-affiliated third-party such as Hulberts Financial digest and other review sites.
Don't subscribe to more than 2-3 newsletters at any given point of time.
Otherwise, you will have more information than you can act on.
3) Paper Trading The above two steps brings us to this final recommendation.
We believe that you will lose money while you are gaining experience.
It's a given.
But you don't have to lose 'real' money when you are just starting out.
In fact that's something you should never do.
Use a simulated traded environment where you trade paper money or virtual money.
Some websites provide valuable articles and let you monitor portfolios of various investors such as covestor.
com.
Other websites such as weseed.
com and wallstreetsurvivor.
com let you build a simulated portfolio where you can place orders like you would with a real brokerage.
The huge disadvantage here is that the pressure is very different in this environment because the money involved isn't 'real' so you are not going to experience the same roller-coaster ride as you would if this were money that you had invested with a stock broker.
But, the investing lessons learned here are just as 'real' as they can be.
You will learn about different order types, how to research companies, how to gauge the economy, technical trading indicators among several other things.
We think with the right combination of knowledge, application and investing strategy you will learn to enjoy investing.
The important thing is to view it as a learning process and keep getting better.
The principles are similar whether you choose to invest in largecap or penny stocks.
Penny stock investing can be very fruitful provided you get the basics right.
Here are some types to finding good penny stocks quickly: 1) News alerts Its real easy these days to keep tabs on anything you want to through news alerts such as those provided by Google news.
Enter keywords like 'penny stock' or 'new penny stock' and your inbox is going to be overflowing with the latest articles related to penny stocks.
After you keep monitoring them for a while you will learn very quickly which websites have the best information whether it be stock recommendations, investing advice or just a nice forum with like-minded investors.
This brings us to the next tip.
2) Penny stock newsletters Through your diligence in the previous step, you will discover very quickly the websites that provide quality information or advice.
Some of these will offer newsletters either paid or free.
Whether you choose to pay for the newsletter or not is up to you.
We recommend filtering out the newsletter subscriptions you are going to purchase after reading reviews about it through a non-affiliated third-party such as Hulberts Financial digest and other review sites.
Don't subscribe to more than 2-3 newsletters at any given point of time.
Otherwise, you will have more information than you can act on.
3) Paper Trading The above two steps brings us to this final recommendation.
We believe that you will lose money while you are gaining experience.
It's a given.
But you don't have to lose 'real' money when you are just starting out.
In fact that's something you should never do.
Use a simulated traded environment where you trade paper money or virtual money.
Some websites provide valuable articles and let you monitor portfolios of various investors such as covestor.
com.
Other websites such as weseed.
com and wallstreetsurvivor.
com let you build a simulated portfolio where you can place orders like you would with a real brokerage.
The huge disadvantage here is that the pressure is very different in this environment because the money involved isn't 'real' so you are not going to experience the same roller-coaster ride as you would if this were money that you had invested with a stock broker.
But, the investing lessons learned here are just as 'real' as they can be.
You will learn about different order types, how to research companies, how to gauge the economy, technical trading indicators among several other things.
