Watch our video below on how to create a daily penny stocks list.
Are you looking for a penny stocks list? This sector is a huge drawing card for traders. New traders are especially drawn to penny stocks because they're inexpensive.
As a result, you need to make sure you've found good small cap stocks to trade. Learning how to trade them is extremely important.
The sector is both lucrative and dangerous; especially if you don't know what you're doing. People love to trade small cap stocks because they're cheap. Hence finding a good penny stocks list.
When you're starting out, many times you don't have a lot of money to trade with. As a result, not having to put up a lot of capital is quite an attractive prospect.
If you're looking for a penny stocks list to trade, you have to be careful. Unfortunately, this is a sector rife with manipulation. That doesn't mean you can't profit from it however.
In fact, when you learn what to look for and what to stay away from, the penny sector can be a good sector to trade.
Sometimes having a scanner works better than trading off a penny stocks list. The Trade Ideas scanner is going to pull up a small caps list as well as gappers.
As a result, you have full access to potentially good trade setups. Each morning, the Bullish Bears post a list of morning gappers and other momentum stocks to look at.
Those potential setups were all found using the Trade Ideas scanner. Scanners are great about filtering out stocks that wouldn't be good plays.
However, just because a stock pops up on scanner doesn't mean you should place a trade on it. That's where technical analysis and candlesticks come into play along with volume.
In fact, if you book mark the Trade Ideas Scanner page on our site, you'll have access to a large group of potential plays and stocks to watch along with a penny stocks list.
When looking for a good penny stocks list you have to be aware of the pumper. That's why finding small cap stocks that trade on the major exchanges are going to be the safest bet.
A penny stock is any stock that trades at $5 and under. Most of the sub penny stocks are not trading on major exchanges. As a result, they're not subject to SEC regulations.
That means there is a lot of fraud and pumping. Hence the need to be super aware of trading pink slip or OTC stocks.
Did you know that many of the people pumping them don't actually hold shares? Instead they're being paid to get other unsuspecting traders to bite.
Never believe the success stories. If it sounds too good to be true, it usually is. Pumpers want you to take them at their word instead of looking at the charts.
That's another huge red flag. Charts don't lie. Again, technical analysis and candlesticks can and will save your bacon.
Below is a penny stocks list of some of the best we've found so far for 2019. These are stocks that trade on all major exchanges. There are both bullish and bearish plays included.
It's important to be aware that while these trade on major exchanges, they still pump and dump. As a result, be careful trading them and only trade the best setups. Take a look at the penny stocks list below.
When trading from a penny stocks list, you want to find stocks with volume. Volume is necessary to trading in general.
However when it comes to small cap trading it's absolutely necessary. Sometimes it appears a stock is moving when you look at the daily chart. However, the volume may not be there.
As a result, the trade doesn't go anywhere. Look for volume when you're trading from a penny stocks list. If you've ever been stuck in a trade where volume is lacking, then you know it's like watching paint dry.
Since the small cap sector is rife with manipulation, things like volume are things to pay close attention to.
The bid/ask spread in small caps is also one of the most important things to pay attention to. That determines how and if your order is going to fill.
Typically with small caps, the bid/ask spread is large. As a result, that means your order most likely won't fill or won't fill at the price you want.
If you're going to trade stocks from a penny stocks list then look for stocks with a tight bid/ask spread.
You could have the volume but if the bid/ask are large, then your trade will have a hard time closing out or even filling.
Candlesticks and technical analysis are just as important to trading small caps as they are for all trading. Many times you hear from pumpers that the charts don't matter.
As long as you're trading the stock market, it doesn't matter what sector it is, charts don't lie. Never trade small caps that don't have good technical analysis and patterns. Make sure to watch our weekly penny stocks list videos on our Youtube channel to see how to trade these small caps properly.
These are the tools that are going to protect your brokerage account when trading small caps. When you pair candlesticks and technical analysis with high volume and tight bid/ask spreads, you can successfully trade small caps.
Open a paper trading account and practice trading from a penny stocks list. As a result, you can see how they work and how adding the tools mentioned above help you become a good and safe trader in a world of manipulation.
Take our ThinkorSwim Tutorial to learn how to open a paper trading account.
HOW TO RESEARCH PENNY STOCKS AND WHICH TO TRADE
HOW TO DAY TRADE FOR A LIVING AND GET STARTED
DAY TRADE FOR A LIVING AND GETTING STARTED
DAY TRADING FOR A LIVING AND HOW TO GET STARTED
DAILY PENNY STOCKS LIST UPDATED BY 9 PM EST
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