I'll start out with my personal experiences.
I started by buying SVN (delisted) at 5/16. They went up and down and around and went bankrupt. That was when I knew nothing about penny stocks.
I also got in IDID (Comparator Systems, we all know them) at .75 and it's now on the pink slips. I might be lucky to get out at .005, on a good day.
Then I get the internet and start watching BB stocks.
My first attempt was the EUTO thing, which most people know about. Well I got in at the peak, on the wrong day, and I am unfortunately still in. I only put 250 bux in so no big loss.
Then I tried FAMH. Eventually sold them at a 4 cent loss. Again getting in late.
In the past two weeks I have pretty well figured it out.
1) Start out with a small amount of money and buy one or two BB stocks.
2) Pick one that is in the beggining of it's move, within the first day or two, on good volume.
3) Make sure that you know where you want out. If you only make 10 cents on a 20 cent stock, oh well. That's still 50%. Or try selling a partial amount of you shares, to ensure profit, and hold the rest till the stock looks topped out.
4) When the news is all over SI about the company, sell. If everyone here has bought, chance are, it is over.
5) Never give up. You can loose everything on 5 or 6 stocks, and just hit one and you'll be back to even. If you put a small amount in each one you have nothing to worry about.
Recently I have used this method succesfully on:
NETZ In at .344 out at .47
CSMA In at .73 out at 1.28 (could have made a lot more, but oh well)
NVXE In at .135
MMIC In at .36
The ones I messed up on recently were:
EUTO in at .27
AMGV in at 1.00
AGTI in at .13 (not doing too badly)
FAMH in at .25 out at .21 (it's up now)
The best thing to do is study these charts and others, to see what happens as the stock progresses. Use other threads to find the stocks that are beggining there run.
Find a good trading broker too. I use E*trade and they are pretty good for a BB momentum person. |
