Penny Stock Roulette

More fun and easier than any casino

With stocks trading around $100 a share and above on average (and just another way to make the rich feel rich and the others feel less than they are what with inflation and all)

While the newly minted billionaires command the lion's share of attention, a few people are looking at cheaper alternatives that could also become $100 stocks and make themselves millionaires.

That’s a real bull market where the leaders lead, and the cheap stocks start to jump like popcorn.

Some will be duds, but now and then a few will be true champions.

The problem is that most don’t use any money management, having a dream isn’t a strategy, and that is the difference between someone who tilts the percentages in one’s favor to a scatterbrain approach.

Everyone has a favorite cheapco.

My doctor friend loved a Zinc miner at 14 cents

A PhD bro loves some out-of-the-blue Oil company at 60 cents

My banker friend buying what Trump’s kids own

The electrician who has a broad selection of potential drone breakouts

What these companies all have in common is the potential of a brighter future.

What they don’t have is investor confidence.

So, as a result, most penny stock hunters follow 5-10 accounts that provide lists of stocks they buy obediently, expecting one to pay off.

How did it work with shitcoins?

I really don’t believe that’s the ticket. When the markets don’t do what you expect, you won’t know what to do.

I’m not saying you need to think. But what I am saying is to see what’s popular in life and in the market. Not what someone else is telling you.

And yes, you will need to look at a price chart to identify points in time when the stock presents an opportunity.

If someone tells you they never look at a price chart, then they are either wrong in that assessment or someone in their circle is.

I shared a post that ABAT 0.00%↑ had the potential to continue its breakout but it turned out to be dud.

But if I was interviewed, I would say “I got in early”

I never say “wrong” because that means I’m wrong and no one wants to be wrong. So I’m early.

And , in reality, if you are wrong, so what?

There are plenty of other fish in the sea or a better opportunity at a later date in that name.

Most people I have met, even the ones with bad luck, aren’t always wrong. Everyone has a perspective that works for them. So you just need to be in the game long enough for the market to come around to your viewpoint.

So what about fundamentals?

I think the fundamentals of a cheap stock are important; that’s why I always recommend subscribing to writers who have the time and wisdom to share their views on a business.

It gives you confidence that if a reversal occurs, it won’t halt trading or go to $0 overnight, which is never fun.

And it’s affordable and entertaining. What’s the point of dry numbers if you can’t enjoy it?

Did you know NVDA was once a penny stock?

And the famous value investors Third Ave had a big stake in them?

But the fundamentals guys will tend to sell out 10,000% too early in any fabulous run, so you have to be a bit whimsical.

Have any cheap stock you want to share? Great Substack accounts that share information on companies?

I’ll be sharing this one in the chat

Here is a satellite company with growing revenue but a stock price of $12

Happy hunting for Big Game

Eric