Penny stocks are high-risk, high-reward investments. If you’re looking to take a risk on the stock market to make some serious money, then penny stocks might be for you. However, finding the best penny stocks to buy can be challenging. Today we’ll show you ten different ways to help you find the best penny stocks to buy this year! You don’t need special scanners or screeners. You need to take a little time and know where to look. Using public information to your advantage can help you make money in the stock market.
Finding The Best Penny Stocks To Buy in 2022 [10 Secret Methods For Top Traders]
Like anything worth learning, it takes time to perfect the methodology you use. It’s also worth noting that even after identifying different ways to find penny stocks to buy, there’s a learning curve for understanding exactly how these things play into market movement. Taking the time to practice your strategy – even using a trading simulator – can give you a massive advantage over novice traders.
Learning how to trade, in the first place, is critical. To help, here are a few articles to check out:
Let’s check out some of the “Secret” ways top traders find penny stocks to buy.
1] Penny Stock News
News is one of the first and more apparent catalysts for certain penny stocks. Companies release updates via PR wires to inform the public about recent achievements or upcoming events. In many cases, penny stock news will give a broad overview of what companies are up to. However, the thing to remember about headlines is that they might also avoid mentioning other, more refined details.
For instance, if a company secured a new deal with a “Top 100” company in their industry, specific dollar amounts or contract periods may not be mentioned. This isn’t intended to hide anything from investors in most cases. It’s usually because a company wants to give the highlights for excited investors to read quickly. They’ll usually tie this PR with a public filing called an 8-K, which will provide more specific information.
2] Corporate Filings For Company Events
In light of that last paragraph, companies will also choose to file certain statements with the Securities and Exchange Commission. An 8-K, for example, is filed with the SEC after a significant event in a company. In general, there’s a 4-day grace period for a company to file the 8-K.
Keep in mind that just because a company files one of these 8-Ks, they aren’t required to release a PR. So, another “secret” way to find penny stocks before the crowd is to look for corporate event filings. Many companies will choose to file the 8-K before the formal PR or elect only to release the filing.
3] Penny Stocks With Upcoming Earnings
Tying together the first two “secret” ways to find penny stocks to buy, you’ve also got what I’ll call “pre-event hype.” This is most frequently observed in companies that announce the date…