I sold my little investment the other day .165. I have a buy order for 3200 shares at .098.
I own BICO, but I never look at it or try to trade it because the brokerage is too high when you buy and sell 1000's of shares of a penny stock. In the trade you mentioned, I find it hard to believe you could actually walk away with any profit after paying brokerage and capital gains taxes on that small of an amount of shares. is there a firm that offers very cheap fees to trade pennies? If so, can I ask you who your brokerage firm is ?
FYI this is what it would cost if I did this trade........
BUY 3200 BICO @ .098 = 313.60
SELL 3200 BICO @ .165 = 528.00
Profit = 214.40
Commission in = -75.00
Commission out = -75.00
Cap Gains tax = -42.80*provided it was held over 1 year
NET PROFIT =$21.60
I have to negotiate commission when I deal an OTC issue, otherwise the commission costs are too overwhelming and make the investment counterproductive. That doesn't even take into account what happens when you go in and buy or sell 'at the market.' The spreads just kill investors in these penny issues and put $$$ in the MM pockets. Maybe I'm missing the big picture in your scenario, but I hardly think you can make big bucks trading a few thousand shares of BICO.
On another note though, it will be nice to see FDA approval for the Diasensor here in the US. We all know it will take off if and when the approval gets announced. Hopefully there will be enough interest to soak up the 950,000,000,000,000,000 shares in the float! LOL |
