A highlight from Best Penny Stock Trading Strategies of 2021
Hope you're doing well in this episode. I'm gonna. I'm over the best penny stock trading strategies at work here now in twenty twenty one all right so these are going to be real well executed tested and back tested methods. You can implement today if you're looking to be able to make profits from stop trading and specifically penny stocks so let's get right into it and as always if you can please subscribe if you wanna make sure that you get these Episodes delivered straight to your phone as soon as they come out all right. So let's get into the first and most important one when it comes at any stocks in that is avoiding the hype or the story of the penny stock right so every now and then you're gonna have people come to you talking. About how penny stock tips or you know. Something that's gonna just shoot up or some press release That's a dropped on concern penny stock. You have to understand that that might be catalyst meaning something that influences the price of a stock. It's not necessarily the right way to about it. all right. Penny stocks are notoriously known for having their information or their marketing or the press you know inflated and manipulated by actual stock promoters. I know because people have actually come to me in the past To do that and it all haven't done any and probably won't ever and again. This is an investment advice purely educational. But the key thing here is that you have to understand that just because you read an amazing article about a certain penny stock. That doesn't necessarily mean that you should just put all your portfolio in throw in a bunch of money all right so what you have to do is just use that as like a scoring method right. There's a basic scoring technique of pros and cons that you want to put together for any stock so if there is news that's great but that's not really all that there is in order for you to successfully implemented just for that specific stock. You know what we teach at in penny stock is called the double cadillac strategy. So what you need to do. Basically is combine. Say that piece of news which are referred to as fundamental analysis right. It's pr it's press. It's marketing it's news In some type of fundamental promotion and then mix that in with technical analysis right. And that's probably the next best strategy for trading is really understanding technical analysis. All right that is actually just understanding that when you look at a stop stop chart and when you look at the price history you can actually tell their certain signs and certain charts that occur again and again and those are important to know all right the next strategy that i would probably recommend is analyzing the volume right where you have to keep an eye out for. This happens in penny stock still every day but also in the crypto world is people. Think that just because a certain stock goes up all of a sudden that that needs to be something that they buy into right. You need to keep an eye on the volume that is the amount of shares that are traded per day. Usually what i recommend is the daily volume and you can see this on your Whatever platform you used. Weather's robin hood whether it's yahoo finance e. trade weeble whatever stock trading platform you use. You can actually look at the volume underneath v. o. l. or sell. And usually when you're looking at a price chart for a stock that little second chart at the bottom you might not know what is forward that shows the volume that means the amount of cryptocurrency or stocks and that was traded that day or on average depending on you know what metric there is so that is a good type of metric for you to use their in order to understand that Let's see what else. Now what i would recommend as the next best method or strategy would not necessarily fully day trading but swing trading all right so that concept is basically whenever you have a certain variants in the stock price. That you're able to definition means you know you do a based upon the dips and the buys.