Small does count:
Small is not only beautiful and easy but it does count! Making millions does not mean one needs to invest in hundreds of dollars worth of stocks but one can achieve wealth and reap profits even by investing small priced shares. There actually is a very important aspect to this. Comparing with the high prized shares, the low cost shares can be bought even by small income groups and even a kid with a small pocket amount can invest just as a starter and make his way up to earning millions. But all this requires is some patience and a calculated move and the right decision at the right time. Even if you lose some, it will not be as disappointing as when you lose big money.
Until you learn:
As far as investing in stocks is concerned, there are the penny stocks to watch until you learn the in and out of the share market and when to make quick moves and when to keep away from making any moves at all.The small stocks or the penny stocks as they are called come under the category of shares costing approximately five dollars or thereof.
Watch the alerts:
However small the shares may be, the investor has to keep a keen eye on the market movements which would be much time consuming and that require the assistance of the stock experts. The subscription to a newsletter would be handy in this case. They alert you with the movements of the stock value and with the indications given you can either behave bullish or bearish, but of course no one is going to push you here and the decision is purely going to be your own.
The small stocks are listed in stock exchanges such as the NYSE, AMEX, NASDAQ and in some instances the pink sheets exchanges. Many investors do turn to the penny stocks for they are low risk as compared to the high cost ones.
The movement of the penny stocks range from fifty percent to hundred percent. Some of the listed stocks have gained from fifty percent to more than hundred and fifty percent. The entry and exit levels were also quite encouraging as far as the penny stocks are concerned. The movement of the penny stocks are fast when compared with the larger cap stocks. So, the time elapse also gives more than one cycle of buying and selling. What larger cap ones provide in three months time, the penny stocks can in half the time!
Read the rules:
Before investing in the penny stocks it is always wise to give glance to the rules of the game, how the experts operate, how the charges are calculated, the time point of the whole exercise etc, which would provide you with the confidence that you are making an informed decision rather than to feel having pushed into one. One thing to remember, after all the decision is yours.
As far as the penny stocks are concerned, the expert advice does take you to a certain distance but even when you are there, the decision has to be taken by you alone. It is beneficial to always be aware and to be alert and never to jump in at the first instance and if you see a stock moving up, wait till it reaches a maximum instead of selling it in a hurry. It might improve even further.
If investing is your strategy to riches, then you need to have the penny stocks to watch and invest wisely.