Believe me, good penny stocks do exist in life! Despite the bad reputation that shady stock promoters and boiler room operations have shadowed onto the world of stocks in the past. Companies like Dell and Microsoft had their beginnings as a penny stocks after all! Imagine the returns you would have had if you held on to them from the beginning!
Penny stocks are often overlooked by large media publications and analysts due to the work required to find quality performers. However finding the best penny stocks is no different than picking the best stocks of large corporations! Successfully well run businesses share many traits and usually are reflected in their share prices.
Now there's a hard and easy way for you to find amazing returns from penny stocks (I myself was able to make $850 US off of $150 CDN in my first 3 weeks after using my personal strategy which I'll discuss at the end of the article).
Here's the old and long way for you to find successful penny stocks:
1. First and foremost trade on paper: Until you can see results on paper, do not risk capital. This way you know that you have a clue of what you are actually doing!
2. Ensure Shares Trades in a Regulated Exchange: By trading in a regulated environment, companies show that they supply and meet the necessary financial information to its shareholders and other compliance issues. Reputable exchanges are the AMEX American Exchange and the NASDQ SmallCap Market.
3. Watch That the Company is Up To Date With Financial Reporting: This is a very important sign of the reliability of a company. It shows you that a company runs a tight ship with no secrets. To do the proper evaluations of penny stocks, the most current financial information is needed.
4. Strong Revenue and Profit Growth: The main reason to buy penny stocks is to get high returns. Capable management, a good business model and strong operating results are signs of a well-managed company. As long as the company shows they are continuously making more money than the precious year, the share price will likely appreciate.
5. Upward Trend in the Penny Stock's Share Price: When a company does well or struggles, the situation could go on for years, creating a trend. The fortunes of the company tend to be reflected in its share price.
So by manually practicing on paper, and spending hours analyzing companies you will see record profit returns!
However, I have managed over 103% returns on average for the past 3 months via the newsletter featured on my site
Pick Top Penny Stocks
But that's a story for another day!
Enjoy your success in the amazing world of Penny Stocks!
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Dexx Johnson is known throughout Penny Stock Investor circles for his website
http://PickTopStocks.com and the phenomenal returns it has averaged consistently via daily Penny Stock Picks of top performing penny stock.
