actually you can make money any way you like as long as you find a system that works for you..
most penny stocks have at least one surge in price per year.. so if you're in on the bottom and HOLD you can do well.. but it ties up your money and you have to be patient...
or you can try and time your buys/sells and get in on momentum swings and dead-cat bounces... last two years I've tried just holding and buying... and waiting... problem was when the stock went up I would get too greedy and would lose out in the end as it crashed..
so then one would say well, you can't get greedy.. take your profits if you see them...
well, then if you are going to be happy with 20 to 40% gains... then why wait all year for that?? might as well daytrade in and out ... if it goes up to 30% .. take profit.. if it goes down 10% sell at a slight minimal loss.. or some would say to average down if it becomes oversold..
me personally, I try to get in on volume spikes and upswings... ride the wave as long as level 2 shows support... take 15% profits to 30% profits.. (sometimes it runs so fast 100% profit comes before you can even get in touch with your broker)... and do this 25 to 50 times a month and hopefully it works out..
others like buying stocks under 50cents ..even 25 and 10cents.. and just holding them til that spike comes.. if it comes..
well, 1996,1997 and first half of 1998 i bought stocks.. held them... accumulated.. took $6,000 to $42,000 ; then held too long in MTEI, SGNC,EDII, and PRWT among some others.. (UGH the memories)
lost everything.. filed CH7 bankruptcy this year as a result of those losses and my wife losing her job and deciding to work minimally part time...
awhile back I sold the only stock I had owned since last summer.. TSIG and since that time.. late march 1999... in just 4 weeks, in 110 stocks trades (yes actively trading) I'm up 1000%. since I started with very little.. most of you would laugh at what I'm worth now though... but it's a start... now if I can grow 1000% from here by Christmas I'll be delighted..
my key to success is getting level 2 and watching the support levels form so you can tell which way the stock will PROBABLY run...
and making SURE to take profits when they show themselves...
WARNING!! I am doing EVERYTHING that the professionals tell you NOT to... so don't follow what I do... I'm playing with money i CAN afford
to lose.. since the CH7 we have no debt.. so this is play money for
me.. do NOT play the penny stock market with anything but money you CAN afford to lose... cuz you just might lose everything in exchange for learning invaluable lessons. I did.
The "big $$$$" as you say, comes in making it 1 dollar at a time ; few make it all at once. sorry for the speech.. felt compelled to share... SJIG, EDIG, WLGS, CCGI remain atop my watch list and plan on re-entering.. maybe even at higher prices.. who knows.
jim
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