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Top Stocks Under $1 To Watch Now

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Written by Timothy Sykes
Updated 4/5/2023 9 min read

This market has shown us some CRAZY runners this year, and a lot of them are stocks under $1. Penny stocks are my preferred way to trade. If you stick to a solid trading plan, they can potentially offer great risk/reward.

The fat cats on Wall Street laugh at these low-priced stocks … but I love them. They can create some of my favorite patterns.

I think traders with small accounts can do well with stocks under $1. I even trade stocks at 1 cent … sometimes lower. Trading higher-priced stocks can be overwhelming, especially if you’re a beginner.

So build your knowledge by starting small and practicing the fundamentals.

Keep in mind, this is a WATCH list. There’s no guarantee that these stocks will run or that I’ll trade them. It’s all about understanding the process.

Now let’s look at the stocks under $1 I’m watching now…

How to Find Stocks Under $1

When it comes to finding stocks under $1, there are a few different approaches.

You have to do some research, right? Just be careful where you look. There are many forums out there, but they can be hard to follow. Every trader has their intentions … which can lead to misinformation.

Another option is a stock scanner. I recommend this tool for all day traders, and especially beginners.

Finding stocks under $1 can be simple. You can use stock scanning software to narrow down what you’re looking for. By setting preferences like price range, top percent gainers, volume, and so on, you can better sift out stocks that don’t fit your trading plan.

New to penny stocks? Start with my FREE online guide.

Check Out StocksToTrade

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Here’s just one reason I think StocksToTrade is such a great platform … I think it offers one of the best stock scanners out there. I invested in this platform because it’s built for the stocks I love to trade. It also has cutting-edge features like its paper trading tool, indicators, and beautiful charts.

(Quick disclaimer: I helped design and develop StocksToTrade and I’m an investor.)

And then there’s StocksToTrade’s broker integration feature. You can link a qualifying brokerage account and trade right from the StocksToTrade platform. Love Level 2? You can add that too.

Want access to the news that can spark huge stock spikes? Check out the Breaking News Chat add-on. It’s been a game-changer for my trading since it launched last year.

How do I find picks for my watchlists every day? I use StocksToTrade. That’s it. Check out a 14-day trial here and see how powerful it can be.

6 Stocks Under $1 to Watch

Stocks Under $1 to Watch #1: Masterbeat Corp (OTCPK: MSTO)

MSTO is a potential runner in the making, going from sub-penny to 2 cents on March 9.

There’s a ton of OTC stocks under $1, but they haven’t been as hot lately. I’ll approach this setup carefully. I’ll be watching for a strong continuation move.

We’ve seen several potential runners fizzle out these past few weeks. But now the markets look like they could rebound.

I’d like to see a morning spike with big volume … not much else will convince me. A news catalyst could make it even better. This run might not be over…

 

Stocks Under $1 to Watch #2: Labor Smart Inc (OTCPK: LTNC)

LTNC was a big recent runner, going from sub-penny to 4.5 cents throughout February. It had a huge panic about a week ago, but it’s been fighting back.

However, one of these days I think the price could fall off a cliff. If this stock has a weak open in the next few days, it could lead to a panic dip buy, one of my favorite patterns. I’ll watch closely but be ready to cut losses quickly if I trade it.

 

Stocks Under $1 to Watch #3: Global Technologies Ltd. (OTCPK: GTLL)

This stock’s coming off a BIG multi-day breakout. On February 5, it broke out into penny land on over 800 million shares. It ran up to 3.5 cents and has been pulling back since.

This run might not be done … I don’t think this stock has truly bounced yet. It came back to sub-penny but immediately shot back over 1 cent. Maybe it can bounce back to 2 or 3 cents.

I’ll wait for an A+ setup. That means ideally big volume, a morning spike, and hopefully a solid catalyst.

 

Stocks Under $1 to Watch #4: Atari (OTCPK: PONGF)

This stock is new to me. I didn’t know Atari traded on the OTC … and now it’s a crypto-related play!

I won’t let nostalgia get in the way of staying disciplined. On March 9, I bought this stock on news, but it turned into a rule #1 scenario. I got out for a small loss, but then it made its way to the high of the day.

The relative volume was NUTS. It traded almost 6 million shares, and it’s got a nice daily chart ahead. I think PONGF has the potential to be a multi-day runner.

Make sure you follow your own plan. If this pattern doesn’t fit your trading process, don’t trade it.

 

Stocks Under $1 to Watch #5: Barrel Energy Inc. (OTCPK: BRLL)

I’m sure traders saw this stock go crazy in February. This was one of the bigger multi-day runners I’ve seen in a while.

Once it hit penny territory, BRLL rocketed to 90 cents and never looked back. After that, it’s offered several dip buy opportunities and appears to have found support near 20 cents.

I think there’s tons of potential range for this bounce play. If it starts to perk up, I think a lot of traders could get interested because of its recent action.

However, it’s still far away from the 1-cent breakout level. If this support doesn’t hold, I don’t want to be involved. I’ll look for big volume and preferably breaking news.

 

Stocks Under $1 to Watch #6: Marijuana Company of America Inc. (OTCPK: MCOA)

Weed stocks will always have a special place in my heart. This sector always brings back memories of crazy multi-day runners. We saw it in 2018 and again the past few months.

But now in March 2021, we’re hearing rumors of marijuana legalization on a federal level. That’s the best kind of catalyst to reignite the sector.

MCOA was one of my favorite weed stocks during this past run. It always felt like clean price action. So if we do get some further momentum, this will be one of my top watches for the sector.

The daily chart shows a ton of room to bounce. But I won’t get speculative with this one. Without more major news, I don’t think it’s worth it.

 

See the Stocks I’m Watching

Subscribe to my no-cost watchlist to see what I’m watching every week. My top watches will land right in your inbox. Use these stocks to help you build your own watchlists and trading plans.

Let me repeat myself: the stocks on my watchlist are not a recommendation to trade. I’m WATCHING these stocks for potential opportunities. Always do your own research and due diligence for every trade. Never blindly follow alerts or picks. Ever.

Conclusion

I love trading penny stocks, especially stocks under $1. These small companies are often complete crap. But if you know what to look for, they can present amazing trading opportunities.

Even though they can be volatile, stocks under $1 can offer some of the best risk/reward trades out there. And they can be great for small accounts.

But know what you’re doing. Knowledge should be your top priority.

penny stock checklist

In my Trading Challenge, my top students and I constantly look for the hottest stocks. And I’ve now had several top traders start in my Challenge, hit big milestones, and now help moderate the chat room and teach beginners.* It’s an amazing environment to learn in.

I’m a transparent mentor AND trader. I post all my trades on Profit.ly. Study my mistakes … remember them so you can try to avoid making them yourself.

If you’re ready to join an awesome day trading community, consider applying to my Challenge. But be warned … I only accept the most dedicated students. If you aren’t a hard worker, you probably won’t cut it.

If you’re willing to put in the grueling effort, you might have what it takes to be my next millionaire student.*

(*Trading results are not typical. Individual results will vary. Most traders lose money. My top students and I have the benefit of many years of hard work and dedication. Trading is inherently risky. Always do your due diligence and never risk more than you can afford to lose.)

What do you think about trading stocks under $1? Let me know in the comments!


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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

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* 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 (205) 851-0506 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”