here's a good way to play pennies --->
or atleast a better way. average down!!
it has, over the last year been getting harder to find a bottom right off the bat. so i adjusted acordingly. i used to load up right off $1000-$2000, on chart techs. and did well until about 9 months ago. since then i have been getting my but kicked. charts dont seem too work anymore in penny land. with that said,
i start off w/ $200 per stk. 80% of them get a 50% haircut eventually(if it goes up and i get a decent gain i take it). so now im down $100(thats ok because thats what i want it too do. after all i would of been down $1000 a year ago)
ok, 50% cut now i buy another $200 worth and then every 25% it goes down from there. eventually, it gets to a level where you know how the stock trades and that it's at a rediculous level. then its load up time. it has been working well since i started 6 mths ago. my inital losses have decreased significantly and when it goes i have 10-20 times more shares from my first buy. be prepared to hold 3-6 months or whenever you get a nice profit and never buy higher than your last buy. good luck and be patient, every stock has a bottom even the pos's...
ofcourse unless you start seeing .0001 then your f'd. been holding a few of those for years. with alot of luck it might become a shell.
