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Originally Posted by Rui Z
Not a fan of pump and dump Penny stocks. I got roped into tryin it a few times by my friend. I saw a transaction that got posted on Nasdaq.com After Hours for $700,000 , which is a lot for a penny stock. My friend didn't think much about the transaction. I smelled something fishy, so I got rid of everything first thing in the morning. Sure enough an hour later the thing dropped over 50% and kept dropping from then on out. My friend got screwed and we never went back to penny stocks after that. Be careful.
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That is a GREAT catch for you, but ashame for your buddy. That is the thing, you never know if say there is a lot of dilution going on, and that the "CEOs"/ MMs are just selling off an absurd amount of their stock at a high and making it run, while knowing it is going to fall. I always try and think, for every sell, there is a buy, and every buy, there is a sell.
Quote:
Originally Posted by Rui Z
Have you had a lot of success with penny stocks? Any horror or victory stories?
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Haha best of both worlds I guess. I have had a few nice catches, last year I lucked out tremendously getting into a stock at a dip that shot up more than triple in a day. But on the other side of the spectrum, when I take a glance at all the RED in my portfolio, it seems that that any big gains are smothered by any overall negatives.
Here and there, especially on Fridays, I like to take any minor gains that I can. So $150-$300 here and there adds up over time. Like most, I will just reinvest, but it honestly is a hard thing playing without emotion and the thought that you are going to strike it big. (we all hope)
Yesterday I was up 100% within one of my pinkeys w/ news which was very uncharacteristic. I decided to keep the shares in it and see where it goes. Maybe today ill sell some off in hopes to get back in at a low on Monday.
