Hello fellow traders. My name is Jerry and I have been frequenting Stockhaven chat since early March. When I arrived that first week I have to say I was extremely lucky and blessed. Not lucky in the sense I made a good trade. But lucky in the timing of everything that happened to me. I was blessed to have found the site for I have been following the market for 2 years before I arrived. I learned more that first week then all my previous knowledge combined. I found Stockhaven the week before I arrived; one of his YouTube videos was in the recommended videos list. It was his "How too Play the Bounce" video where he demonstrates this technique on the former runner STEV. The first thing I noticed was Stockhaven was using something called Level 2 quotes. I HAD NO IDEA WHAT THAT WAS! I learned quick that it is impossible to be a successful penny stock trader without LV2. Point. Blank. Period. Any who, I want to share some thoughts and insights I have on the penny stock market right now. I will begin by telling my experience I had my first week in Stockhaven chat.
I just opened an E*TRADE account and I was on Spring Break the week I first came into chat. That same week BFLX and SNPK were released. I sold BFLX day one because it was my first profit and I was so giddy with excitement I did not take a position overnight. I wanted to say I made that money. Therefore I did not suffer the tank it had next day. SNPK came out later that week and I bought and held until Monday because it was being promoted by the same group who did NSRS. Needless to say it was a good week for me and anyone else who was in chat.
The reason I bring up that experience I had in my first real days of trading is the fact that I made money without really having a clue what I was doing. It seemed that there was plays happening all the time. I even told myself I would never learn options because I am doing great with penny stocks. For two months after there was great plays like NEOM, SEFE, and STVF.
Well I have come to learn that there is times that the penny stock market kind of slows down. However, when I say that it slows down I do not mean it does not have plays. I get the feeling when I am in chat or Twitter that people believe the penny market is dead when there isn't a multimillion dollar promo going on. It is my opinion that this is simply not the case. There is always a market. We simply must adjust our strategies. It could be we need to hold a position a little longer. Or look at certain type of companies that are hot such as the marijuana stocks as of late. Or we pick a certain type of play that is trending such as sub-penny to penny plays. Cam's watch lists are testament to this.
Stockhaven has told us many times that the penny stock market does follow the larger market. If the market is down, there is a good chance the penny stock market will be cold. If the market rallies, promo newsletters can talk all they want about how their pick is beating the S&P 500.
The penny stock market has been perking up lately and making a sort of 'recovery.' With the 'successful' runs of TAGG and PWEI. The Winter season is usually a great time for penny stocks.There has been a few one day busts out there such as SLIO. With that being said there is a few picks coming out this week. One should not expose the bulk of their account overnight just in case these picks turn out to be a one day pump. It is unwise to put the bulk of your account in any penny stock for that matter. In my opinion lock in profits day one and keep the overnight positions on day one small. If a pick is pulled after market hours expect a huge gap down. Also, if a stock has a weak close that should be an instant indicator to not taking any position overnight.
I hope that whoever reads this finds it insightful and gainful in some sort of way. I am actually in the process of learning options and I am learning so much thanks to the great minds in the Stockhaven community. Penny stocks remain my strong suit but there is awesome potential in options. Thanks so much for any feedback you guys give me on my article.
Happy Trading Everyone