You may be asking yourself... Why Penny Stocks?  The reason is very simple.  Small Cap Stocks offer something other investment vehicles do not which is "the ability to generate a 100-1000%" return on investment when either short term or daytrading.

According to the SEC, The term “penny stock” generally refers to low-priced (below $5), speculative securities of very small companies. While penny stocks generally trade over-the-counter, such as on the OTC Bulletin Board or in the Pink Sheets, they may also trade on securities exchanges, including foreign securities exchanges. In addition, penny stocks include the securities of certain private companies with no active trading market.

Before a broker-dealer can sell a penny stock, SEC rules require the firm to first approve the customer for the transaction and receive from the customer a written agreement to the transaction. The firm must furnish the customer a document describing the risks of investing in penny stocks. The firm must tell the customer the current market quotation, if any, for the penny stock and the compensation the firm and its broker will receive for the trade. Finally, the firm must send monthly account statements showing the market value of each penny stock held in the customer’s account.

Penny Stocks are more or less speculative stocks, which trade on the OTC-BB & Pink Sheets. 

Blue Chip Vs. Micro-Cap

Generating The Highest Return On Investment In

The Shortest Amount Of Time

While you may be skeptical about purchasing higher risk penny stocks, the fact is that your return on investment has a higher probability of being more than if you were to buy into a blue chip "big cap company".

What stock investing really comes down to is workable trading capital.  You can not expect to earn a significant ROI buying into a stock trading at $50 share when you only have a $1,000 to invest.  In order for you to turn your $1000 worth of shares into $2000, the stock would have to jump to $100/share.  For blue chips that are trading at $20-$100, it is an unlikely scenario in the short term. It just doesn't occur as often as in the Penny Stock Market.

If you are a long term investor who is concerned about risk, then blue chips maybe for you as there is a lesser risk since listed companies offer solid financials and credible press releases.  Blue Chips that trade on the Big Boards "AMEX, DOW" must meet strict requirements to maintain their listings so you'll have the comfort of knowing that there is strong regulation and therefore a relatively more safe trading environment.  Stocks Listed on the otc-bb & pink sheets are regulated, but oversight and listing requirements are minimal, so buy and selling stocks is really is like the wild west in many regards.

But, unlike Blue Chips, penny stocks will allow you to turn $1000 into $2000 or more in a single trading day in the OTC-BB, Pink Sheet & Foreign Markets.

Additionally, the OTC-BB & Pink Sheet Markets boast one of the largest concentrations of high volume micro-cap stocks that are constantly fluctuating between set resistance and support levels under .10  Market Makers & seasoned daytrader's are making six-figures a year playing the pennies.

Within our eBook, we provide a list of all OTC-BB Penny Stocks and resources for you to find picks that are in play that are showing positive momentum.

Using our guide, you will easily be able to search online databases & compile your own unique list of penny stocks that will enable you to identify stocks that are showing patterns of price fluctuations.

A Penny Stock can jump from .01-.02 within a day or a few days, and your return on investment will be 100%. That's right, there are thousands of stocks that do this daily, and penny traders are earning a very healthy income by placing buy/sell limit orders where they don't have to be online for their order to execute when the stock reaches their target buy price.

To make money, the BID price of the stock you purchase has to obviously increase.  But, remember, in order for you to make any profit at all from your investment, the BID price has to exceed the ASK price "which is the price you purchased the security at".  This is why you must pick a penny stock that had decent volume, news & a minimal spread "the price difference" between the ASK and BID price.

If a stock is trading a .05 with a BID price of .04, you will obviously buy at the ASK Price.  To realize a 100% return on investment, the BID price would only need to hit .10/share which is only .05 from ASK Price..  These fluctuations occur daily.

Once you find a penny stock that is showing volatility, and you have identified the support and resistance levels, simply set your 24-48 hour buy/sell limit orders through your online brokerage account, and leave it on autopilot until the stock activity comes to a crawl.

You will usually be able to able to ride the wave of momentum numerous times, cashing in on every buy/sell order execution.

Our original trading methods are known and in use by the most successful penny stock trader's to day, and our patented small cap classification techniques have been published in the most prestigious books, magazines & investment web site over the years.

Micro-Penny Stocks

As we had mentioned before, there are different classifications of penny stocks.  A Penny Stock defined by the SEC is under security trading under $5/share which includes stocks that are trading at under .01.  Millions of shares are bought and sold daily that trade for a fractino of a cent per share.

YOU WILL BE ABLE TO GENERATE HUNDREDS OF PERCENTAGES IN PROFITS BY SIMPLY TRADING STOCKS UNDER .01 A SHARE.

You can buy a penny stock at .001.  This stock would only have to jump .001 for you to double your investment amount.  Tens of thousands of stocks fluctate between these points.  With our guide, you may use the online portfolio managers to track stocks and identify micro-penny trends so that you will be able to make 100-1000% in profits within a few short hours.

The Benefit of Margin Accounts

We can't stress enough how important a Margin Account is for penny stock traders.  With a margin account, you will be able to double the buying power in your account so that you can magnify your profits when you place your orders.

The way it works is that your broker lends you "the account holder" cash to purchase securities.  Unlike a cash account, a margin account allows an investor buy/sell securities with money he/she does not have. This is basically a way of leveraging your money to provide you with more buy power.  If however, you begin to lose money, you will have to deposit money into your account to keep it from being frozen.  The Federal Reserve limits margin borrowing at 50%.

So, if you find a penny stock that you believe will do well, you may amplify your order by borrowing money from your broker.  This is a great way to increase your accounts value.

The Nature of Penny Stocks

News, Volume, Investor Awareness, Financials are just some of the factors that influence the price of the stock.  To be truly successful buying and selling penny stocks, you must know how the moods of investors and the market in general will effect the overall price of a stock.  Every stock is unique and should be traded as such.  By using our tutorial, you will learn how to determine which penny stocks should be traded at the ideal price points and when, based off of our press releases & stock momentum.

For example:  A stock jumps from .02 to .06 cents per share due to news.   As the stock jumped to .06, the speed and the fashion in which it increased is key.   Did the stock jump to .06 as soon as the market opened, or did it gradually rise to .06 throughout the day.  Those are the factors that you have to analyze.  If it was an immediate jump, chances are the stock won't stay at .06, it will most likely drop due to the way the market pushed it up.  To take advantage of that stock, you would wait and let it drop to its low, or even below the low, and then pick it up. The outcome is usually a nice profit from the bounce, when it hits its low. Now, if you see a gradual rise in price, then that is an indication of a good Daytrade.  The news comes out, the stock starts climbing slowly.  By the end of the day, you could have a double, triple on your hands.

If you understand penny stocks like we do, you'll have a major intellectual advantage over other penny investors.

Herd Mentality is something that we show you that will work in your favor.  According to statistics, nearly 90% of traders observe what other traders are doing, and relying on information posted by 3rd parties that are often inaccurate.

Our trading methods take you step-by-step in identifying the uncontrolled, domino-like buying frenzies that most impulse small cap traders get pulled into, and provide you with PROVEN techniques to profit from when the sellout starts and the stock loses money.  You see, you WILL BUY, when they sell.

Whatever type of penny stock you're looking to play, whether it be a dead-cat bounce, rolling penny stock, speculation play, short or long term hold or a heat of the moment push to buy, we show you how to go against the grain and win most of the time.

Foreign Market Investing

We are one of the only web sites to discuss International Small Cap Diversity.  If you've been to any other penny stock web site, you will know that they fail to talk about this.  There are millions of investors worldwide buying and selling securities in the U.S. Markets, because that's where they believe all of the money is.  The fact is, there are hundreds of thousands of penny stocks that perform the same way as U.S. stocks do, and best thing about it is that there are less people influencing the price of the stock and their losses and gains.

Our featured eBook provides resources that you can use to find foreign penny stocks that you can play that in most cases pose a lesser risk than U.S. penny stocks, that will yield more of a return on your investment.

We are serious about penny stocks, and are dedicated to providing the essential resources & tools needed for traders of any experience level to improve their chances at making phenomenal gains in the Domestic & International Small Cap Market.

Fundamental and Technical Analysis

While we agree that Fundamental and Technical Analysis are critical when buying and selling penny stocks "as mentioned and covered in our guide"; you should not rely on these alone.  There are many factors that cause a stock to fluctuate.  You must know how to sense what the market is doing.  By taking time to observe the market conditions, only then will you be able to make an educated decision on how you should play your next stock in the market.  Remember, not everything is black and white.  We've spent years analyzing penny stocks and one thing we can tell you is that it's not all about complicated techniques, formulas and news.  It's about feeling the market, and getting a gist of what traders are looking for.  If you use your own mind, and employ our simple stock market analysis techniques, you will see an increasing number of trades.

A Solid Reputation

We are a group of individual investors & analysts that have dedicated our time to providing the most useful & profitable penny stock trading information to small cap investors.

With over 10 years helping traders make money trading U.S. & Foreign Penny Stocks, you can rest assured that you have found a reliable and trustworthy source of educational information.

How Can I Get Started?

We receive hundreds of emails a week from new investors asking us what they need to do to get started trading these unique securities.  Most have never placed a trade in their life, and are intimidated by the thought of putting their money into the markets.

The fact is, you can start with as little or as much as you want.  You don't need to be an expert trader with a $1 Million in your account.  All that you need is an individual brokerage account with an online broker, and a minimum of $50-100 to begin buying shares.

We always insist that new traders start small and get a few trades under their belt before move on to larger trade amounts.

As a bonus to customers who purchase our guidebook, we offer a list of the most popular Online Market & Stock Simulation Web Sites that you can go register with for FREE where  you can practice paper trading using REAL-TIME market data.  Whatever you do, we ask that you do not pay for this service as they are FREE.

Within our eBook, you will find a list of Online Stock Brokers that specialize in penny stocks that you can place orders with.  To open an account, simply fill out their online application form, and mail it in.  All that you will need to present is a National ID Card & Passport from your home country.  No Social Security Number is required with some brokers if you are a non-resident of the U.S.  Others require a Social.