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Beware of Those Hot Stock Picks

Many people define the best penny stocks by how much they cost per share. It is not reliable to pick a penny stock based on this method. There are much better criteria for analyzing such high risk stocks. Even if you do find the greatest stock pick in the world there is still risk involved. So dont ever think that any stock is a sure thing. Learn a bit about the stock market first and understand fluctuations. Then understand that those fluctuations are amplified ten fold or more with penny stocks. No joke.

There are quite a few companies out there selling services offering advice on penny stocks. The number one out there is Mr. Peter Leeds. Think about this for a second. How did he become number one? Is he stock market savvy? Does he really know what he is talking about? Yes and no. The point I one to make here is that of course his picks are good picks. Think about itFree Reprint Articles, he is so well known now that tons of people follow his picks and jump on them at a moments notice. This of course causes a demand and price surge in any stock he recommends as penny stocks take relatively little activity to react in a positive direction. So it always looks as if he has a flawless record of stock pick recommendations and his service subscriptions continue to sell like hot cakes. Here at Best Penny Stocks and Picks we track hundreds of penny stocks and make judgments based on sound analysis and then email this out to a select group of individuals every morning before the stock market opens. We do not profit from out services except to charge for advertising and promotion. We have relatively few clients in comparison who range from very savvy to completey uneducated concerning stocks. The common thread among all is they dont just jump on every recommendation we make. Thats completely fine with us and we advocate such investment behavior. There is nothing wrong with sitting and watching to see what would have happened to your money IF you had invested in any particular stock. We have recommended all along that you take your time and get to know the stock market and have even recommended using practice trade accounts. These are accounts that use fake money to trade with using real stocks. It really helps you get a feel for the market and see what you are comfortable with. Its ok to follow other peoples recommendations if you yourself dont have the time to do the research. You just have to make sure you have been following a reputable service and not someone just trying to make a quick buck. Penny stocks seem to be alluring to all the bad guys on the internet. Its not uncommon to come across an email or website purporting to be just the source of information youve been looking for. Just take you time and be cautious until you get a feel for whats legit and whats not.

Article Tags: Penny Stocks, Stock Market

Source: Free Articles from ArticlesFactory.com

ABOUT THE AUTHOR


John Elton owns and operates a Best Penny Stocks Picks website to help other investors with their stock decisions. He also operates a Home Based Business earn money online site to help entrepreneurs gain experience and wealth.



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