Penny Stocks Trading

Are penny stocks worth it?

I’m going to be talking about penny stock. So I want to talk about not just the attractive things about penny stocks. But like many of you guys know the risks involved. First of all, one of the things that I want you guys to know, is that in no way do I, you know, trade penny stocks, by any means now, right? I have a huge focus on ETFs, I would not encourage trading ETFs for everyone, just because again, the underlying risks when it comes down to trading, especially in my experience, leveraged ETFs, just as there’s, you know, a form of risk in every single market, one of the things that are very glorified in the stock market, or the day trading of these like very aggressive moving penny stocks known as like pump and dump stride momentum stocks, and it’s usually the lower cap stocks that tend to be the most attractive for beginners. Right?

Why do so many people start trading penny stocks?

So, I wanted to talk and kind of highlight some attractive things about you know, Penny stocks, but also the risks involved. And I think that’s kind of the best of both worlds. One of the first things I want to talk about is maybe why do so many people start trading penny stocks? Why are they so attractive? People think that because you’re starting originally, right? If you’re someone that’s just getting started an absolute beginner, one of the first questions you’re going to ask is like, How much money do I need to start making like $100 a day, right? If you have $1,000, to your name, and then you see how, you know, maybe an ETF moves or how a normal stock moves, like, well, this thing only moves like one or 2% if that a day, I’m not going to be making very much with $1,000. I understand because these penny stocks sometimes move, you know, 1020 100% 1,000% I think that it’s very important, and I’ll talk about the risk later, but I can 100% see why people find them to be so attractive. Can you make money trading penny stocks? Of course, you can make money doing anything, right? Can you make money trading penny stocks consistently? That’s a better question to ask. And I’ll answer that question a little bit later, in my experience, one of the other things that you know, why I find that people just begin with trading penny stocks is because not just because of how much it moves and the potential that you can make, right? But there’s so much hype, there’s so much hype behind these lower cap stocks. And one of the things that I need you guys to understand is that the stock market as a whole does not have a huge success rate. Right. And I just think it’s very, it’s very, very, like crucial to your success in any market to not just think about, you know, what can go right. But what can also go wrong, right? And there’s no question that there’s a small success rate for the stock market.

Trading penny stocks is not that easy

So if you already know that kind of like, you know, stat, right, and then on top of that, you put yourself in a position where you’re just trading kind of like higher-risk stocks, then I just think that it’s something to potentially, maybe consider when being so sold, that all you can focus on are trading penny stocks, I don’t think that there’s anything wrong, right? If you’re an absolute beginner, and you’re intrigued, right, you’re intrigued by penny stocks, what it has to offer that you’re intrigued by pumping dumps than 1%. I’m here to empower you to pursue whatever you see value in. But what I need you to understand, and what I want you to understand is to also understand the risk involved just as much money as you can make, you can quickly lose, right, especially in these like higher risk, high reward markets, if something has greater profit potential, it probably means it has a greater form of risk involved, it doesn’t mean that it’s impossible, right? It just means that there’s a higher form, right? options. options are something that’s that are very lucrative for a lot of people because they have a huge return on your investment or your trade. At the end of the day. I know people that have completely drained their accounts by trading options, people that have completely drained their accounts, right, trading penny stocks, and it doesn’t mean that later on, you can’t find some form of success in those markets. It’s just a little bit more difficult. Right. And I just think it’s super important for you to become aware of both sides. But the good, right, but also the risk involved. One of the last things that I want to cover is we’re talking about the hype, right, why penny stocks get pumped and dumped. And it’s not even like, you know, there’s this infamous platform called stock twits, right, and it’s all these people that are pretty much just trying to convince you to trade whatever pump and dump that they’re trading at that point, I don’t want to like, that was kind of me and I don’t want to like subjugate, like stock twits. And then because I know some people do utilize doctors in a very effective way. But people that follow certain people on like, you know, Twitter, and they’re like daily or weekly watch lists of stocks to look for, or there’s all these like email services or people that will be like, hey, like, subscribe to my, you know, weekly watch list or something of that sort. And this is just my opinion, and I need to Yes, know that. But if trading was that simple, like everyone, would be successful in day trading penny stocks, that’s like, all like, everyone would follow this one person. And what I want to empower you to be is to be someone that’s like, self-sufficient, and like, just self-aware of what’s going on. It’s, you know, if it was that easy, everyone would be successful. That’s one thing that you know if it sounds too good to be true, it just has to make sense, and even
With the way that I trade, now, I trade live every single day with the Learn plan profit group, you know, I trade leverage-based ETFs. But I also traded the $100,000. Because my experience, again, is much more than someone that’s just getting started. So my risk is much more but so are my, you know, green days, right, it only takes one or 2%, for me to make one or $2,000. And that’s very attractive for me, and maybe for someone that’s just getting started. But for someone that’s just getting started with maybe $1,000, that monetary reward just not going to be as great.

Learning frou your mistakes:

So again, don’t just always think about like, well, if he’s doing it, then I can do it to be aware of what’s going on. And what I want to make sure that you guys are all aware of is that you know, all these people that are showing all these different stocks and all these different kind of like watch lists, that’s First of all, even if it is a rightful watch list, something that they see value in which I’m sure there are people out there that share weekly watch lists or daily watch lists that they truly do see value in it, they’re growing a following. And that’s great. I, you know, I think, you know, there’s a mutual benefit there, what I need you guys to understand, is the idea of like, most and like the biggest losses that I made when I was first getting started was just trying to copy people. And then this is something that people think that they can enroll and learn time profit, and just copy my trades, I only trade live for about 30 minutes to an hour every day, my trading sessions for myself last about two to three hours. So again, you’re not going to be able to copy everything that someone else does. And on top of that, it’s the understanding, you need to understand what you are doing because either two things are gonna happen, you’re going to make a profit, and you understood what led to your success. Or Second thing, you make a mistake, you take a loss, but you can at least grow from it. You can learn from that mistake. If you copy someone, and you simply throw your money at something that someone else talked about, you know, trading, just like a lot of beginners do just as I did, right? When I first got started, you’re not going to understand what happened, you’re not going to understand, like, What went wrong? All you’re going to feel is this emptiness, this feeling of regret. Why did I do this, and the stock market is something that I never want to partake in. Alright, so the second part cut off. So I have to film the second half here in a way. But what I want to leave you with is one of the biggest misconceptions that people have is that because you have maybe $1,000 to start trading with that you think that if you experience 10% growth with a lower cap stock, that because you can buy more shares with a penny stock, you can then make more money trading penny stocks. And that’s just not how it works.

How to succeed in penny stocks trading?

I think that again, there’s a big disconnect that people just focus on the dollar amount, and not on the percentage growth. So all I’m here to leave you with is that if a normal stock that is valued at $1,000 per share, meaning that you can buy one right with your $1,000 trading account, or if there’s a penny stock that is $5 per share, regardless of how many you can buy, and that increases 10% as well, they both incurred the same type of percentage growth mean that you would have made the same amount of money. All I want to remind you is that there is no email list. Think about this and test it out, test it out with paper trade, I’m challenging you, right, if you’re so certain that these email lists that send out these top penny stock gainers of all last week, we experienced 200% growth. All that happens during pre-market hours. And a majority of that action is something that a beginner usually cannot take part in. And that’s just from experience, I challenge you to practice it, open up a simulation trading account, search up paper trading, search up simulation trading on YouTube, figure out how to open up a free paper trading account, and practice everything that you learn, I can almost reassure you that you will not find consistent success because that’s what we’re here to do not get lucky once a week, once a month, but consistent success and understand what it is that you are doing. This is one example that I want to leave you with was your goal when you were learning how to drive to always have right as you have your permit, right in the United States, you have to have someone with a driver’s license over the age of 18 or 21 on the passenger seat, right? Because they need to be there to assist you almost like hold your hand as you’re learning to drive was your goal, to go through the rest of your life to be told what to do? No, right. Your goal when you were learning how to drive was to learn how to drive so then you can become self-sufficient and do it yourself and maybe even teach others. The same goal when it comes down to any market that you want to be successful in. One of the first things that you need to understand is that all these markets, all these very unique and creative markets are not easy to be successful. And so if you think that you can copy someone step by step, that’s just not how it works. You need to be a problem solver and you need to be self-sufficient. And you need to work towards finding your way out of things. If you are just looking for the easy way out. But I’m challenging you to practice it not with real money. But to practice it with simulation trading or paper trading, I can almost reassure you that you will not find consistent success and understand what it is that you’re doing with those lower cap stocks. In my experience, there might be a few of you, and 100% I want to empower you, you know just because of the way you’re wired and how you can achieve that. But all I want to leave you with is to have a reason behind every action.

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