Community

Share knowledge. Find answers. Ask questions.

Online Share Trading

Engage and learn about markets and trading online

Penny stocks

Reply
vrod
Occasional Contributor
I am fairly new to trading stocks is there anybody that can advise me on good penny stocks to buy.
0 Kudos
Reply
10 REPLIES 10
Super Contributor
if ye new stick to top40
0 Kudos
Reply
Super Contributor
Given the state of South Africa and the ZAR - there is a very good chance that the small/microcap market is broken!
0 Kudos
Reply
Super Contributor
Start investing...trading comes later, much later.
0 Kudos
Reply
Frequent Contributor
If you cannot do it yourself, it is a good idea to acquire the services of a reputable penny stock advisor. Someone that has the knowledge to research these companies. This works well for me.
0 Kudos
Reply
Super Contributor
Reputable penny stock advisors falls into the same category as "military intelligence." Oxymorons rule - KO!
0 Kudos
Reply
Super Contributor
I would suggest looking for what you think are "good" companies as opposed to any Cap or share Price value for what might be considered a penny stock. Some really good (by my definition) companies are penny stocks as are some really bad ones - I have owned both types.
0 Kudos
Reply
vrod
Occasional Contributor
Thanks for the feedback can anyone recommend a good pennystock advisor?
0 Kudos
Reply
Frequent Contributor
first figure out what you mean with penny stocks, if you talking about the small 1c, 2c things, just know you will lose money for a long time before you make anything (if you make), especially in SA where the liquidity is super low.
My advise would be to stay away specifically from the REAL penny stocks
However you can follow Keith McLahlan who runs the Alpha Small cap fund
He has his own blog and good track record.
It focuses on small caps which have a slightly better following at least.
http://smallcaps.co.za/blog/home/

0 Kudos
Reply
Not applicable
I don't know about that so much? Keith Maclachlan has been doing an excellent job in this sector for years. http://smallcaps.co.za/blog/home/ Admittedly small caps though, and not penny stocks. With regards to penny stocks, this is a difficult sector to trade. The strategy has to be based on a 7 out of 10 will fail, philosophy, which is fine, if one of the 3 is FGL or Sacoil (in its heyday). But the rest of your bets you would have to be prepared to lose it all (as per Beige, RBL, Platmin, etc etc.).
0 Kudos
Reply
Super Contributor
There are fewer and fewer companies that will "make it" in this environment - or for that matter survive. As for MacLachlan - he isn't a penny stock pundit - as you admitted. Regardless, I don't give him much chance in this market (going forward.) His track record???
0 Kudos
Reply