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Getting into Penny Stocks?

Discussion in 'Shares' started by LongeCrK, 13th Dec, 2014.

  1. LongeCrK

    LongeCrK Member

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    So I've read this article on Verge and now all I can think of is investing into penny stocks. What do you guys think, is it possible for a total newbie to actually make a little extra on the side trading penny stocks? Anyone with experience?
     
  2. LongeCrK

    LongeCrK Member

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    Anyone? I can't possibly be the only one
     
  3. Tropo

    Tropo Well-Known Member

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    Especially newbies should not invest in penny stocks. This is an easy and fast way to lose money.
    Penny stocks are very unreliable and can go both ways (up and down) very quickly.
    Also without a robust risk/money management system/rules in place, your chances to survive in the market are almost nonexistent.
     
  4. LongeCrK

    LongeCrK Member

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    You have confirmed my doubts. As interesting as it sounds, I won't be diving into this sort of this anytime soon. Do you perhaps know a great site/book where I can start learning about penny stocks? It seems like most of the sites are scams with promises of making you millions in just a few days :mad:
     
  5. Tropo

    Tropo Well-Known Member

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    Well...if you are a newbie (as you said), you should get good general knowledge about stock market (forget penny stocks for a while).
    Read books...
    On this forum there is a lot of information on this subject (check shares/trading thread).
    Consider attending some seminars but run ONLY by professional traders with proven track record !!!
    Do not waste your time and money talking/asking financial advisers/planners/stockbrokers/TV "gurus" etc what you should do!!
    Simply - educate yourself. Try to make some money yourself as NOBODY will do it for you !!! :cool:
    Check this site...How to buy shares in Australia |Share Trading | The Trading Game
     
  6. Christianrenel

    Christianrenel Active Member

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    Sydney
    Penny Stocks

    Penny stock, is an interesting area of the market, and is a place where an individual can lose the shirt in process.

    When looking at penny stocks first have daily volume turnover, this may give a starting point on where others are putting there money into the market.


    Kind Regards

    Christianrenel
     
    Last edited by a moderator: 27th Sep, 2016
  7. Investment_writer

    Investment_writer New Member

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    Does Warren Buffett invest in penny stocks... hmmm?

    The general idea with investing is to: a) preserve capital and b) get a fair return on your money, and if smart, c) get leverage into a solid investment.

    This seems to negate investing in speculative stocks. If you like the idea of getting in early on a winner, why not look out for companies like SEEK (not SEEK but like it) in the early days when they seem to be taking over their marketplace. Or if small amounts, try ETFs for diversification.
     
    Last edited by a moderator: 27th Sep, 2016