Investing - Online Penny Stock Trading

How to Read Stock Charts

A stock chart is simply a pictorial view of the price of a stock over time. Virtually all common styles of stock charts can be generated for free online or through your online stock brokers. Just generating charts is not enough. You need to learn how to read stock charts in order to gain any value from them. Learning how to read stock charts can be broken down into understanding the timescales, understanding the price scales, and knowing the different charting styles.

If you are buying penny stocks, you need to determine if you’re looking to capitalize on day trading or if you’re just looking for a diamond in the rough to stick with for the long run.

Penny Stock Quoting Systems

by Charles

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.

An Introduction to Currency Option Trading

by Charles

Before you think about trading currency options you should understand the basics of how currency options work. A currency option is the right to exchange two currencies for a predetermined rate at some point in the future. If the exchange rate exceeds the contractual exchange rate before the deadline, you win. If not, the contract expires worthless. Of course this is a simplified explanation; before you get into this market you want to understand why other investors buy and hold currency options and what type of risk is involved in this type of trading.

What Are Penny Stocks?

by Charles

Sometimes known as micro-caps, nano-caps, small cap, or OTCs, penny stocks are securities of small private companies, often with less than a penny per share, that generally trade at low prices. They may be purchased and held for short periods and then delisted by the market where they’re listed, and then traded in again. Some penny stocks are overvalued, while others are undervalued. Many investors,