Thread: Basics to start trading

Results 1 to 5 of 5

  1. #1

    Default Basics to start trading

    Hello all you traders,
    I am a fresh new face in the world of Penny Stock trading and just want to know where to start. I have not yet made a portfolio because I simply have not figured that out yet. I know you have to open an account with a broker (online or offline) to start trading and wanted some recommendations as well as steps to execute that. Thank you all for your feedback and assistance!
  2. #2


    The best thing to do is create a plan... Think about what you're really trying to accomplish. I remember when I started out, I had unrealistic expectations, that's why it's important to ask other people with more experience for advice. People generally will try to help if you ask specific questions.
  3. #3


    Penny Stocks SUCK. It's a rigged game, most retail traders lose. Only those that control the 'float' win. If you don't know what the 'float' is, you're not ready to trade yet.

    You better learn fast and be able to adapt your trades on the fly depending on the action. You'd be better off learning to play small cap Nasdaq/NYSE's first to learn some price action.
  4. #4


    I appreciate that people are drawn in by dazzling testimonials about huge profits on little investment. But these are all stories and exciting news because they so rarely actually happen. But now that you are interested I would hope that you would look into the advice of the people who actually do this. Yes you can make money trading....but if it were easy everybody would be doing it ...right? As you start learning you may go down many paths but eventually you will find what appeals to you. I would hope, even though we have dashed your hopes of turning 100$ into 1m$ in 6 months upon the rocky shores of despair, that you will not be deterred. I strongly believe that everyone should at least have some understanding of managing their own money even if they do not plan on pursuing it as a career.
  5. #5


    A note about penny stocks.
    Potential gains are a function of risk and probabilities. To get large gains you will have to sacrifice probabilities. Returns are directly related to risk. However the further you get away from 1-1 ratio the less the pot odds become. Means....if you risk 1 to make 1 your probabilities are usually wrapped around 50 (give or take) in a fair and efficient market. However when you risk 1 to make 100 the probabilities become highly inefficient and start to work against you. Means for example instead of winning 1 out of every 100 for a 100 return you might actually end up winning only 1 out of every 120 to make 100. Then stack on how inefficient penny stock markets can be it gets far worse....and then figure in the corruption that can happen in those markets then the little guy barely has a chance.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts