2/1/2012
Should you short term trade in the Penny Stock market? Statistics say yes, indicating that this is a short term traders market; not a long term investor's market. Please note: As of January 30, 2012, 96.1% of our 126 initiate coverage research reports share prices have gone up 94.3% within 23 average days. We believe this price appreciation reflects dollars spent in a campaign, short term trading activity, and our research credibility. 86.0% of all stocks increased their volume while 82.9% reached their highest price within 30 days; 17.1% went up by more than 100%. Clearly this seems to us to be a short term trader's market. Sharp traders take their profits in short periods of time. The trading risks, however, are considerable.
Should you invest long term in the penny stock market? Statistics say no and indicate this is not a long term investor's market. What goes up normally must go down. Unless you believe a company will be adequately financed long term for about 5 years, it is highly risky to invest for the long term, especially in a recession. When investor awareness campaigns terminate, the majority of share prices historically go down; primarily from profit taking and lack of dollars being spent in a given campaign. Since 2002, we understand that there have been tens of thousands of campaigns.
Our 126 company initiate coverage and 3 update reports statistics indicate that 85.3% of all of our stocks are currently trading at 34.1% below initiate coverage prices. We are uncertain whether these prices are better or worse than the industry average; we suspect better. Many of the tens of thousands of companies have gone out of business; we do not know the exact number. The conclusion, however, is clear. It is highly risky to invest long term in any company in the Penny Stock market.
On March 1, 2009, we began recording our email marketing distribution and performance statistics (March 2009 – January 30, 2012).
STOCK PERFORMANCE:
1. Initiated coverage on 126 companies + Updates on 3 companies.
2. 96.1% of all stocks researched went up by 94.3%
3. 17.1% of all stocks more than doubled in price
4. 82.9% of all stocks reached their high price within 30 days.
5. 23 Average Days to reach their high price.
6. 86.0% of all stocks increased their volume.
Our past results do not guarantee future results or performance. Our detailed performance and distribution results are updated weekly and available to certain interested prospects or clients.