Anyone found any success with this newsletter?

Question

I found an interresting penny stock trading newsletter. It looks like the recommendations in the penny stock newslater makes money.

Anyone using the newsletter to trade penny stocks?

Source http://www.squidoo.com/doublingstocks-review

Answer 1

The first thing to learn about ANY penny stock newsletter is the expression "pump and dump".

Assume a stock picker has a following of 10,000 subscribers. Maybe 1,000 are ready for the next tip. He recommends XYZ, which is selling at $0.001 (yep, tenth of a cent). Now XYZ normally gets maybe 3 or 4 trades every day or two, and they run something like 5-50 thousand shares a trade--chump change (notice the choice of words). But today, there are a thousand people buying ten-thousand shares each. WooHoo, don't you know that the price is going to fly!

Tomorrow, the stock picker sends an email, "That was good, take your profits and sell XYZ". Of course, the stock falls like a stone. The last people to act get left holding the bag of a previously almost-worthless company that is now worth far, far less than before.

The nice thing about newsletters, they often, certainly NOT always, are run by nice people who want their subscribers to legitimately profit, so they hail him (or the rare her) as a hero. He will put in a fair order himself, but usually at about the time everyone else has. He may send out the sale order to the subscribers, wait fifteen minutes or so, then place his own sale order. So he has gotten his profits, with a clear conscience.

But when you get those spam pieces, "We've got a runner!" or some such hyperbole from "Freda" although the email says "Fred", then I would bet good money that one thing has happened: They've already bought a bunch quietly before their campaign began. Of course someone has to sell the stock to this crowd of suckers--them. While the price rides up, they are unloading on you. Then, rather than just the last guys left holding the bag, everyone who heeded the unsolicited email is left holding the bag, which is called empty promises.

I hope that your newsletter is from someone like the former example. Subscribing to a newsletter from someone like the latter is a double-whammy, a two-fer in crime--now they have your name, address, and anything else their little online form could coax out of you. But if you are reading from a good guy, pay close attention to the directions. You don't want to be the last guy out when he closes the positions, now do you?

In fairness, however, and this is why I've bought into penny stocks. There are times when you do catch a good one. I bought into a company that had a novel way of making vaccines. They got a contract with a foreign country to work on something, suddenly my less than a penny stock was selling for between one and two dollars. It sort of makes up, though, for things like that VOIP company that the majority owners gutted (watch stock classes, it can kill you), so I got left with a shell that was sold to a tin mine in Nevada. A few hundred dollars for a couple hundred shares is now listed on my brokerage as 8 shares (reverse-splits can be awful) "worth" 6 and a fraction cents.

Dabble, have fun, but don't bet the farm, okay?

Answer 2

go here !!!
they help you not only track your investments but theyll give you tips & all !!

wouldnt trade without being part of this site

http://profit.ly/plans?aff=3125