Chapter 1: What Is A Penny Stock? Terminology
One thing that makes penny stocks so, well, frustrating to learn about is that they are often called by various different names. You may have heard them referred to as micro stock, nano stock, micro cap stock, small cap stocks and many other names. If that sounds confusing, just remember that they are generally all terms that rely simply on the fact that the stock is priced below a dollar to five dollar range. In other words, penny stocks are quite affordable, low costing stocks.
This will help you to understand if in fact the penny stock is the right type of stock for you, specifically.
Pennyshares
The bottom line is that most of the time, the stocks history will begin to repeat itself.
Not all penny stocks are traded on NASDAQ that much you should know for sure. Most of the time penny stocks can be traced back quite a way. To help you, the next sections will cover some of the important decision making factors you need to keep in mind when it comes to penny stock investing.
|