Penny Stocks Trading

Penny stocks vs Forex

A lot of people ask me why penny stocks? They’re hated all over the world. They’re all scams. Why not do something like options or Forex or binary? Where do I begin? Okay, forex, your odds of success are atrocious, five out of six forex traders blow up and lose everything in their first six months. Yes, you could be profitable.

Okay, there’s a 1/6 shot. And actually, most traders anywhere lose money. The problem with forex is that you use vast amounts of leverage. So when you lose all your money, you can also go into debt. And many people do because forex is the biggest most liquid market in the world. So that means you have the smartest, richest people in the world as your competitors, big-time hedge funds, very good proprietary traders who have made millions, 10s of millions, hundreds of millions, maybe even billions of dollars in trading. I don’t want to compete against that. And plus, the markets move so fast. Based on the news that you don’t have access to there’s no edge whatsoever. The key to my success in penny stocks is that because the whole world hates on it. I’m very thankful. Only people who trade penny stocks are like degenerates like they think that these penny stocks are going to be the next Microsoft. They actually believe in these stories. And I have made that mistake in the past I once upon a time believed in a penny stock. I ignored my trading rules. I wanted to be like a cheerleader.
I learned the hard way not to trust penny stocks, Penny stocks should be hated. If you look at them the wrong way. If you look at them, like lotto picks were like, oh, I’m gonna buy 10 pennies, darts, and maybe one out of 10 will make it? No, it’s more like one out of 1000. And those are crappy odds. The way that my successful students and I make our money is by understanding that almost every penny stock will fail eventually. And yet, there’s enough volatility up and down to profit. A little bit made 10% here 20% 30%. Here, we don’t have the competition that forex has options. We had an options newsletter on properly, it’s very difficult because you cannot cut your losses quickly. Rule number one for me in penny stocks is to cut your losses quickly. If I’m wrong, I lose 123 4% I don’t let a small mistake turn into a potential big disaster with options. It’s impossible. There’s not enough liquidity. So we had an options newsletter on profitably. A lot of people were like, Oh, this is great. I made like 75 grand, I made 40 grand. And then you know, a day later or a week later, they’re like I need to cancel and I was like, what’s wrong with you? You just sent me an email you made 75 grand, this should be the best newsletter ever. They lost 200 grand A little while later. You cannot control your losses, they move too fast. And binary. Binary Options are a scam. Okay, they are getting outlawed in more and more countries, the companies that do binary they’re getting shut down or they’re overseas. They’re based in Cyprus. They’re based in these tax havens where it’s very difficult to sue the company, you sign away pretty much your entire life. In these forms, the odds of you winning are so low. The people who do binary you know these binary brokers, they are laughing, they’re laughing that so many people actually believe this crap. Nobody really in casinos, except binary actually has better odds.

If you look at the math and the statistics, so stay away from the competition of forex stay away from the ridiculously poor liquidity in options and obviously penny stocks. Many of them have bad liquidity. I only trade the most active penny stocks. I don’t want to trade a penny stock. I don’t care if they have the best technology in the world. If they’re only trading like five or 10,000 shares a day. It’s too illiquid. And stay away from binary completely. And to those of you who are Binary Options Brokers or if you’re like the one guy who made it, God bless you, but for the majority of people, you have to recognize the ins and outs, pros and cons of each market. You know, there’s always going to be.

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