Prof. Tyler yamazaki

Chapter 5
Tips and Tricks
As a beginner, you may be a bit worried about getting started with Penny
Stocks. These are going to take a different route compared to working with
traditional Stock Market and sometimes it is hard to find the information
that you need about the company before making the investment that you
want. With that being said, it is possible to be successful when using Penny
Stocks, you just need to be careful with the decisions that you make in
Penny Stocks and take your time to really see results. Some of the tips that
you can follow when you get started with Penny Stocks to help you be
successful include:
Ignore Some of the Success Stories
When you first getting started with Penny Stocks, you are going to get a lot
of information and emails about the success stories of others who have done
well with Penny Stocks. These are found on social media sites as well as in
emails, but often these are unusual circumstances or the information is all
made up.
Instead of focusing on this, you need to look at the Stocks on their own and
see if they are going to work for you. Just ignore all of the success stories
since most of these will not repeat. Do your own research and learn about
the market to determine which ones are the right ones for you.
Read Through the Disclaimers
If you are receiving a newsletter about a Penny Stock, you need to be
careful about the tips that you are reading. There is nothing wrong with
picking i[ some of the Stocks from these newsletters, but you should be
aware that most of them are sales tips and to give exposure to companies

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that, for the most part, are really bad and could end up making you lose a
lot of money.
Most of the newsletters that you are reading won’t give you the full story.
The people who are writing them will do so in order to pump out the Stock
Price and they are not going to tell you the right time to sell the Stocks.
They will work hard to get you to purchase their Stocks, and then you never
hear from them again. It is fine to read through some of these to get some
information, but when the disclaimers state that these are written as a
promotion for one company or another, you know that the tips are more of a
sales pitch rather than a good investment advice.
Sell Quickly
One of the allures that you will hear about with Penny Stocks is that you are
able to get a huge return on investment, up to 30 percent, in just a short
amount of time. If you want to make a return on investment like this with
Penny Stocks, you will need to sell your Stocks quickly after you purchase
them. Unfortunately, instead of being happy with the 30 percent or so,
people will get greedy and will look to make an even bigger return.
Considering Penny Stocks are sometimes getting pumped out and the
industry is volatile, you should be happy with what you get or you may lose
out on a lot of money.