(IMO), If an answer can be made, I believe it could have several parts. This is some of my understandings about what I know, and how I play the penny market just for myself.
(1). I don't know any of them at all. Some us have dug deep into anything we can find to try to put this thing together to try to form some solid opinions.
(2). So far, you can read our past post(s) and DD, and you should know what we feel we know.
(3). Any life from the old MISM and CLSI (not related-sister company), gives me hope and some enlightenment for the new company, FTRS and OBCN (not related sister company).
(4). I take the above information and try to combine it to what I believe I know about penny stock trading, my business education and experiences.
(5). From my experiences, penny stocks normally work (formed) opposite of how NASDAQ and NYSE traded stocks are formed, even though some penny stocks eventually make it to those exchanges by beating the challenges a penny has to go through. (Penny's can be compared to a small fish where some do go on to be trophy wall hangers, and most others just get eaten).
(6). A penny has to stay out of sight in order to get moved up to the big boards. Sometimes before doing so a lot of shares have to be used, or ready to be used as a defense. There are a lot of companies just waiting to knock it down or buy up all its stock to take it over or retire the competitors. Survival of the fittest. (The Darwin Theory). Others are just cons, pump and dumps.
(7). A small fish is easy to swallow, but a whale won't even be considered. I use that same mentality to with accumulating shares. A small penny company uses it's shares to purchase things and companies. Sometimes a lot of shares are needed to get those companies that HATTER is talking about into a position to be moved up into the big boards. (One can only hope, but it does happen).
(8). Sometimes all those shares need to be issued to keep even bigger fish away. (It's called protection). And those shares maybe RS reverse split at or before the big fish is ready for the big board. In most cases, shares should be minimized and the stocks per share value increase to and maintained to protect it form the next group of larger fish called, the Blue Chips!
(9). I have no real way of telling how this all pans out, but if you don't play, you can't win. This is really a Casino. Each company owner(s) and managers develop and adjust accordingly to get there.
(10). The best way to try to learn a winning strategy that works for you, is to paper trade, active trade and take notes of what is happening and learn how to interpret stock trends or cycles. It is harder to do here in pinky land. But you can win sometimes. (The key is to minimize your over all losses and increase your long term gains).
Wish you luck.
Naturally everything here are my opinions only.
GO-FTRS
