Video 1: Why Penny Stocks
- Tim is showing the graph of a stock UOMO, where a bunch of newsletters have promotesd this stock into a 20 million volume
- Then two other stocks showing morning spikes and morning drops
- most people think penny stocks are sooo illiquid, but with these newsletters they can get millions trading
- strict technical analysis does not work in penny stocks because you need to know the catalysts
- what gives the sign that the stocks are gonna drop _ VOLUME
- when the volume shows a drop, it cannot sustain its trading level
- its better to short because if you are long, its very difficult to get out of your position during the drop
- most pumps last a maximum of 3 days
Video 2: How To Research Stocks
- on yahoo.finance you are looking for the biggest % gainers in your price range with a decent volume
- now we need to click on it to find out why it was the biggest % gainer
- Check out the chart and see the pattern and how quickly it spiked and where
- then look at the headlines
- in this particular headline, which happened two months before, there is an announcement for a Research Report by a Research Company
- when a company announces a research report about itself its kind of sketchy
- it brings you to the article, but you really want to see the report, so click the link that will bring you access
- find the report, and if possible, other things they have researched
- view the report
- skip all the fluff, which is the report and go straight to the DISCLAIMER
- All you want to find is where they say they have been compensated
- companies do not want to show that they are being paid to promote
- they will usually try to hide it in the disclaimer by not using numbers
- this specific example, the disclaimer shows that this company was paid $8,000 by the company to promote it
- Now you want to go to the chart
- go to the 1 year chart and look at the spikes and the volume
- see if the headlines have spiked the price
- put on the watch list and be on the lookout for when there is an opportunity that opens up
Video 3: How Pump & Dumps End
- big 3 up days followed by a few big down days
- the pattern is the same and consistent amongst the pumps
Posted Oct 17, 17 1:43 AMbyMerestetrades
Received 9 Karmas
Nice work with all the notes! Watching the videos myself, great to have additional info to reinforce everything!
Thanks Man! Happy to help.
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