Many people claim that penny stocks are inherently risky due to their low trading volume, price and market cap. For those investors willing to live alongside risk, the volatility of penny stocks can be extremely profitable. Recognizing the patterns of pump and dump schemes and betting against them can leave investors on top.
If you want to know why penny stock is worth, then check this PDF.
I put together this infographic to show why I invest in penny stocks. Click the image below to view.
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Penny stocks are not for your retirement account. Volatility means you must track your investments to the minute and stay on top of the numbers. With the right strategies in hand, and the knowledge to recognize patterns, this same volatility that scares away lesser investors could make you rich. Use the information at hand and recognize the trends and penny stocks can pay off in a big way.