Choosing the right penny stock broker can help make or break your successes and your profits. You want to watch out for certain red flags that are a sign of a questionable broker all while considering some of the basics like required minimum account balance. In this equation there are three specific things you should research before you commit to a broker. Understanding these three things and why they are important will help you increase your profits in this fast-paced niche of stock trading. Continue reading
Penny stocks are the home of brilliant traders and gamblers, honest entrepreneurs and scammers, honest value driven penny stock brokers and broker pond scum. The dichotomy of risk and reward are the greatest in the penny stock investments. The siren call of huge returns brings many investors who are looking for fast riches.
Just because this niche draws some less than reputable types doesn’t mean you shouldn’t invest in it though as there are great reasons for trading and investing in micro caps. If you’re looking to get into penny stocks you just need to learn how to pick your penny stock broker wisely.
Penny stock trading can be a fun business with great potential, but unfortunately there are a number of scams associated with niche, as well as penny stock fraud. Here we take a serious and professional look at online penny stock trading and aim to provide quality information on this specific market.
Many people get involved in trading penny stocks because they want a way to get rich quick. There is no easy way to get rich quick. There is money to be made in this market, but it doesn’t necessarily come easily. There is a learning curve, and there is plenty of risk.
Comparing penny stock brokers is one good place to start if you are serious about getting into this market. We’ll discuss various online brokers and the differences between the types of brokers. We also explain how to trade penny stocks as well as stock trading software.
This site provides a good look into penny stock trading, providing tips on what to do and advice of what to avoid. Continue reading
If you are just getting started in the business of penny stock trading you’ll need to know where to buy penny stocks. But before you even ask this question it is important to understand more about this specific market and these stocks to see if this is something you really want to consider.
There is a simple and a not so simple answer to the question of where to buy penny stocks. There are a number of brokers who can help you buy and sell penny stocks, but to get the most out of your time and money you want to choose the right brokerage company. Each of the online stock brokers offers different services, has a different minimum balance and charges different fees for each trade. You may initially want to go with the cheapest broker but this isn’t always the best way to go, at least in the beginning.
Besides choosing a broker you need to know where to go to find and research these stocks so you can monitor them and determine which ones to buy. Continue reading
One of the important aspects of any type of online stock trading involves finding the best online stock broker for your needs. Keep in mind you may not want to use the same brokerage account for long term investments and penny stock trading because they are two very different types of investments. Choosing the right broker can help you save money and maybe even make more money.
There are full service brokers, discount brokers and a little of everything in between. As the name suggests full service brokers provide more tools and services, but these tools and services usually come with higher account fees or trading costs. Discount brokers are cheaper in terms of fees but they don’t offer much in the way of help. There are also options in between, that offer a few services without high fees. It is important to evaluate everything from fees, minimum balances and services provided as they all add up to create a good or not so good overall trading experience.
This guide will discuss ten of the top online brokers from big names, like Charles Schwab and Fidelity to lesser known players like MB Trading and Scottrade, offering a summary of the services provided, account fees, account minimums and trade fees. Continue reading
While you can get your stock quotes online or in the paper if you want to be successful at trading penny stocks you will need to check stock prices more often then after the market bell at the end of the day. Instead you may want to look into penny stock quoting systems to provide you with more up-to-the-minute quotes and further capabilities.
There are a few different levels of quotes with different degrees of detail and other functionality. Level I stock quotes are similar to the information you get on the news, while Level III stock quotes include quotes on stocks as well as the ability to execute trades and send out a notice that trades were executed.
Since the price of penny stocks can change so quickly and so frequently throughout the day, the more information and capability you have with stock quoting systems the better chances of your success with penny stock trading. This is an already tricky market so all the tools you can find to help can make a big difference. Continue reading
In this segment I will offer an abbreviated summary of the actual penny stock trading process. Learning how to trade penny stocks is not that challenging from a technical perspective, however it is important to consider a number of things before you begin investing your money in this risky niche market.
The first step is to create a stock trading account with one of the online penny stock brokers. You will find many online brokers offering different services and charging different fees. The most common online brokers happen to be E*TRADE, TD Ameritrade and Scottrade but this does not mean they are the best brokers for each and every situation. Some contend that Zecco is a decent choice for novice traders because it is so inexpensive, but you need to look at each of the brokers to make your own decision of who is best for you.
Once you have your trading account set up you can start getting into the fun part of penny stock trading. Continue reading