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5 of the Cheapest Penny Stocks to Watch and Trade in 2024

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Written by Timothy Sykes
Updated 5/8/2024 14 min read

The cheapest penny stocks can draw in a lot of buyers. That’s because of their low prices.

These stocks can be a great way to grow a small account. It’s how I’ve made over $7.6 million in over 20 years of trading. And in 10+ years of teaching, my students have learned from my favorite patterns to become self-sufficient traders.

You can grow an account by trading the cheapest penny stocks…

But it’s not easy. That’s why I teach. I want to help anyone who’s dedicated become a consistent trader.

I’ve learned how to spot the best penny stocks to buy for my strategy and I want to help you do the same. Don’t think you’ll get rich quick. You have to set goals, commit, and study your butt off until you have the knowledge to accomplish those goals.

There’s no one thing that can help you learn to trade. It’s all about the process. So let’s look at how you can learn to find the cheapest penny stocks

What Is Considered a Cheap Penny Stock?

A penny stock is a security that trades for under $5 per share. Now, there isn’t a specific definition of a cheap penny stock … But I consider anything trading under $1 per share a cheap penny stock.

When a stock trades for under $1 per share, it will most likely be on an over-the-counter (OTC) market. They’re less likely to be listed on the big exchanges like Nasdaq, NYSE, or AMEX. For a company to list on any of those exchanges, the stock has to maintain a price of over $1 per share.

That brings up a good question…

Is It Risky to Trade the Cheapest Penny Stocks?

All trading is risky, no matter the niche. If someone tells you their strategy is 100% successful, they’re lying!

Ask if you can see all of their trades. Traders or ‘gurus’ like that aren’t transparent like me. I show all of my trades on Profit.ly.

And I’m determined to be real in an industry full of fakes. Because of that, I get a lot of haters. I don’t care. Some people only want hot stock picks. But I want you to learn to be self-sufficient. You need to learn to think for yourself.

If you blindly follow alerts and click the buy or sell button when someone says to, you’re not learning anything.

The volatility in the cheapest penny stocks can be insane. These stocks can move fast. That’s another reason you can’t rely on alerts alone. I send my students alerts, but that’s to help them learn the process.

This industry with the cheapest penny stocks is full of lies, pumps, and promotions. I want to help you learn to use that to your advantage. Never believe the hype.

It’s smart to be cynical in this niche.

When you’re cynical, you expect the worst out of every stock. And you’ll never be disappointed when you expect the worst.

Remember, most penny stocks are garbage companies that will fail. It can be risky to trade them, but they can bring so much momentum and opportunity. Be prepared so you can minimize your risk and take advantage of them.

Not sure where to start? I launched my 30-Day Bootcamp to help any trader build a solid foundation for the markets. For less than $100, you can start your trading education today. And you can work at your own pace. Get into the 30-Day Bootcamp NOW.

5 Cheapest Penny Stocks to Trade in 2024

My cheapest 2024 penny stock picks are:

  • NASDAQ: ABAT — American Battery Technology Co. — The EV Battery Penny Stock
  • OTCQB: GTII — Global Tech Industries Group, Inc. — 2022’s Best Penny Stock Pump
  • OTCPK: VENG — Vision Energy Corp. — The Back-from-the-Dead Penny Stock Pump
  • OTCPK: CLOW — Cloudweb Inc. — The Pump All-Star Penny Stock
  • OTCPK: EPAZ — Epazz Inc. — The AI Drone Government Contract Hopeful Penny Stock

My watchlists aren’t rocket science. They’re a product of paying attention to what’s already happened.

The stocks on this list are mostly former runners with recent news. That means I’m not the only one paying attention to them.

Here’s your disclaimer: there are a lot of factors to consider when trading penny stocks. The markets won’t forgive you if you trust in random chance instead of studying price patterns and trading selectively.

The best traders watch more than they trade. That’s what I’m trying to model here. Pay attention to the work that goes in, not the picks that come out.

Get my weekly watchlist sent to your inbox each Sunday by clicking here!

Top Penny Stocks to Watch Under $1

These are my top penny stocks under $1 in 2024…

Click here to see my top penny stocks under $1 to buy today!

American Battery Technology Co. (NASDAQ: ABAT) — The EV Battery Dip Buy Penny Stock

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My first penny stock pick under $1 is American Battery Technology Co. (NASDAQ: ABAT).

ABAT used to be called ABML… The name change is a trick you’ll have to get accustomed to in pennystockland.

Since September 2020, I’ve managed to profit $21,903 in total from this ticker (click the link for individual trades).

There’s a very unique trend in the stock market that most new traders aren’t aware of. And I use this trend to profit multiple times on stocks like ABAT …

Past spikers can spike again.

There’s no telling when, or how high. But when I’m looking to trade a volatile stock, I’m more confident in the setup if the chart shows a history of running.

Between September 2020 and January 2021, ABAT launched over 4,800%.

And since January 2021, the price has spiked at least half a dozen other times.

The EV sector is in hibernation mode at the moment. Translation: I don’t see many low-priced spikers.

But every day the sector grows, as big players like Tesla Inc. (NASDAQ: TSLA) and General Motors Company (NYSE: GM) compete for market share.

I think it’s only a matter of time until this stock pops off again.

Global Tech Industries Group, Inc. (OTCQB: GTII) — 2022’s Best Penny Stock Pump

My second penny stock pick under $1 is Global Tech Industries Group, Inc. (OTCQB: GTII).

It’s another former spiker.

In 2021 the price ran over 4,400%.

In 2022 it spiked over 1,300%.

In 2023 we’ve already seen a bit of action, but there could be more in the tank.

I’ve pulled $12,062 in profits from these runs (click the link for individual trades). And I’m only getting started.

Right now I’m waiting for a hot catalyst and some decent trading volume. Here’s why:

  • I don’t trade stocks unless there’s a reason for the move.
  • A high trading volume (above 1 million shares) shows the stock is liquid enough to trade and people are interested in it.

I’m always dropping little nuggets of information here and there. Make sure to take notes if you’re new to this.

When it comes to trading, the process is everything.

Vision Energy Corp. (OTCPK: VENG) — The Back-from-the-Dead Penny Stock Pump

My third penny stock pick under $1 is Vision Energy Corp. (OTCPK: VENG).

These spikes don’t last forever.

VENG spiked past $25 in 2022. But since then the price fell below $1.

It’s another important lesson you need to learn.

Yes, the spikes can be huge. Otherworldly even. But they always come crashing back down eventually.

That’s why I trade these cheap penny stocks, NOT invest in them.

These aren’t buy-and-hold stocks. 99% of the time, they will crash in the end.

I limit my risk exposure and sit in cash until I see a trade opportunity. That way my account isn’t subject to market volatility.

I teach all my students to trade like this, like a sniper. Wait for the perfect shot, get in, and get out.

I’ve sniped VENG a few times since December 2022. In total I’ve made $2,800 (click the link for individual trades).

This thing could wake up any day now …

Top Penny Stocks to Watch Under 10 Cents

These are my top penny stocks under 10 cents this year…

Check out my top penny stocks under 10 cents to buy today!

Cloudweb Inc. (OTCPK: CLOW) — The Pump All-Star Penny Stock

My first penny stock pick under 10 cents is Cloudweb Inc. (OTCPK: CLOW).

Out of all the stocks on this list, I’ve been trading CLOW the longest.

My first trade was in September of 2018.

And since then I’ve pulled $4,404 from the recurring spikes (click the link for individual trades).

Most recently, the price launched over 1,200% to end 2022.

In true penny stock fashion, it gave back all of those gains and then some.

It’s a perfect example of why we don’t hold and hope for higher prices.

And now that the chart pulled back, I feel better about trading the price action.

In 2022 I knew the price was going to take a dive but I didn’t know when. It made trading a little nerve-racking.

But now, the chart basically reset and we’re ready to rumble.

Wait for a catalyst and some volume before you trade.

Epazz Inc. OTCPK: EPAZ — The AI Drone Government Contract Hopeful Penny Stock

My second penny stock pick under 10 cents is Epazz Inc. OTCPK: EPAZ.

One of the best catalysts right now is artificial intelligence news.

The AI sector momentum started in early 2023 and it’s been hectic ever since.

Plus, we’ve only scratched the surface.

The technology is still new, but it’s expected to replace 300 million jobs globally and is drawing the attention of major players like Microsoft Corporation (NASDAQ: MSFT), Elon Musk, and Bill Gates.

EPAZ has already spiked more than 560% this year due to the sector hype.

And like I said … we’re just getting started.

I’ve already managed to profit $2,991 from this ticker (click the link for individual trades).

As the sector grows, EPAZ will remain on my AI watchlist.

What Is the Cheapest Penny Stock?

You can find penny stocks all the way down to almost $0. Some stocks list for as little as $0.0001.

Any stock with three zeros after the decimal point is known as a ‘triple-zero’ penny stock. Until they’re worth at least 1 cent, they’re known as sub-penny stocks.

Sub-penny stocks are one reason why people love to hate penny stocks. But they just don’t understand the rules they need to trade in this niche. If you know how to ride the momentum, even sketchy stocks can make for good trades.

Never buy a sub-penny stock without a plan. Otherwise, you’re just setting yourself up for failure. When you fail to plan, you’re planning to fail.

What Are the Best Brokers to Trade the Cheapest Penny Stocks?

Picking which broker to use for trading the cheapest penny stocks is important. For example, if you went with Robinhood, you’d soon be disappointed with your decision. Robinhood doesn’t allow you to trade OTC stocks.

When picking your broker, you need to do your research and ask yourself a lot of questions…

Are you a long- or short-biased trader? Do you trade volatile momentum stocks or slow-moving stocks? Are you looking for commission-free trading? How much money do you have to start trading?

All of those questions can help you hone in on the right broker for you. I go with the brokers that suck the least. Read more about the brokers I use and why here.

Conclusion: Should You Trade the Cheapest Penny Stocks?

The cheapest penny stocks can offer trading opportunities. But you have to put in the time and dedication so you understand how to play the patterns.

You need a well-rounded strategy to find the best penny stocks to buy now.

Penny stocks are risky, just like all other stock trading niches. Studying your butt off can help minimize that risk. I became a teacher to help traders learn to trade safely and manage their risk.

But you also need experience. That takes time. So be ready to do the work when you apply for my Trading Challenge.

I have so many resources available to help traders better understand the market. And I’m dedicated to being fully transparent as a trader and teacher in an industry full of fakes. I love being real!

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There have been so many opportunities in 2020 for prepared traders. It’s also a great time for traders to learn and get ready for the next hot market and the best penny stock trades. The market repeats itself. Study the present and the past to better prepare for the future.

Some of the cheapest penny stocks can have insane volatility and spike big. Study up and prepare your watchlist now.

What do you think about trading the cheapest penny stocks? Leave a comment below!

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Author card Timothy Sykes picture

Timothy Sykes

Tim Sykes is a penny stock trader and teacher who became a self-made millionaire by the age of 22 by trading $12,415 of bar mitzvah money. After becoming disenchanted with the hedge fund world, he established the Tim Sykes Trading Challenge to teach aspiring traders how to follow his trading strategies. He’s been featured in a variety of media outlets including CNN, Larry King, Steve Harvey, Forbes, Men’s Journal, and more. He’s also an active philanthropist and environmental activist, a co-founder of Karmagawa, and has donated millions of dollars to charity. Read More

* Results are not typical and will vary from person to person. Making money trading stocks takes time, dedication, and hard work. There are inherent risks involved with investing in the stock market, including the loss of your investment. Past performance in the market is not indicative of future results. Any investment is at your own risk. See Terms of Service here

The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

Millionaire Media 66 W Flagler St. Ste. 900 Miami, FL 33130 United States (888) 878-3621 This is for information purposes only as Millionaire Media LLC nor Timothy Sykes is registered as a securities broker-dealer or an investment adviser. No information herein is intended as securities brokerage, investment, tax, accounting or legal advice, as an offer or solicitation of an offer to sell or buy, or as an endorsement, recommendation or sponsorship of any company, security or fund. Millionaire Media LLC and Timothy Sykes cannot and does not assess, verify or guarantee the adequacy, accuracy or completeness of any information, the suitability or profitability of any particular investment, or the potential value of any investment or informational source. The reader bears responsibility for his/her own investment research and decisions, should seek the advice of a qualified securities professional before making any investment, and investigate and fully understand any and all risks before investing. Millionaire Media LLC and Timothy Sykes in no way warrants the solvency, financial condition, or investment advisability of any of the securities mentioned in communications or websites. In addition, Millionaire Media LLC and Timothy Sykes accepts no liability whatsoever for any direct or consequential loss arising from any use of this information. This information is not intended to be used as the sole basis of any investment decision, nor should it be construed as advice designed to meet the investment needs of any particular investor. Past performance is not necessarily indicative of future returns.

Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”