DNA Brands Inc (DNAX)

[Stock Steward]

Ya, investing in penny stocks is probably one of the most foolish things you can do.

However, I have a short story about investing in penny stocks which I think will shed some light on why people continue to "invest" rather than to trade penny stocks.

A few years ago I bought shares of a company ticker symbol LBGE. Stock was pretty much dormant but there were rumors of a reverse merger about to happen with an unknown company in the supplement industry.

It underwent a reverse merger with Creative Edge Nutrition inc. and became FITX. Then this CEO began to make all these promises in the supplement industry that never panned out. Over the years the stock began to go down and dilution was rampant as it is with all penny stocks. Then the CEO announces the company is getting into medical marijuana. A few months later the stock takes off like a rocket the day that Washington and Colorado go recreationally legal for marijuana sales.

I ended up making a fortune because I held for years as a long investor. but in reality I could have never known they would announce the MMJ or the regulatory framework that would follow. I simply got lucky. And that is no way to make investment decisions. blind luck. I was in it for the supplements but waited so long watching my investment dwindle that it actually made money. I think others have had a similar experiences and that is why they continue to treat these types of stocks as investments rather than trading vehicles. How many times could you have been in and out with a profit and gone to bed happy instead of hungry? waiting for that one big thing that may never happen?

Plus you learn more about the stock market trading and monitoring stocks than you do buying and holding and forgetting and hoping.

Good luck to you sir.

-Stock Steward