How to Quadruple Your Penny Stock Investments in The Market Today

Apr 6
08:06

2010

Toby Litrell

Toby Litrell

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Many traders use an analytical stock program to do just that and differentiate between the good and the bad. This article will identify more of what this technology is and why so many traders use them to quadruple their investments by finding the best penny stock investments.

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Today's recession has been a blessing in disguise in some aspects. For example,How to Quadruple Your Penny Stock Investments in The Market Today Articles many stocks are at rock bottom prices, so it's one of the better times in our economy's history to begin investing. The key is differentiating between the stocks which have fully bottomed out from the rest which is especially true with cheap stock which act with a great deal more volatility behind them.


Individual stocks exhibit very specific behavior as they progress in the stock market. This is important because analytical based stock programs are designed to pick up on little nuances and more specifically making use of well performing stock behavior of the past to determine how current real-time stocks are going to act.


So for example if you've got a stock which tripled in value over the course of a week and this happened several years ago, you can find a current stock which is exhibiting behavior similar to that stock of the past before it went on that jump and from there you can get a very realistic idea of how that current stock will act and perform. This is the basis of market prediction in the major trading investment houses among other factors. This is remarkably effective in anticipating market behavior, however, and the best programs base their entire algorithms on this.


I mentioned penny stock investments briefly in opening for a reason. These investments are great for day traders because of the quickness at which they jump and drop in value. The key is obviously differentiating between the well performing and those which will lose in value, hence using a program which exclusively targets cheap stocks. Penny stock investments are able to go on these bigger jumps because their lower prices leave them open to influence much more easily.


For example, a recent pick which I received from a penny stock investments specific program I've been using as of late was originally valued $.12. I invested 1000 shares for just over $100 and didn't stop to check back in on that stock till the end of that first trading day to find it had already sailed up to $.32, nearly tripling in value.


This is not what you should expect with every pick, but this is to give you an idea of the profit potential associated with these stocks. That next day I was more than active in checking on that stock's performance. Ultimately it topped off at roughly $.49 or more than quadruple in value. This just goes to show how volatile the cheap stocks can be and how powerful precise stock software and specifically penny stock investments software can be.