Money Philosophy’s Penny Stock Picks
A few weeks ago Money Philosophy thought it would be a good time to get back into the stock market game after having been out of it for a few years. Money Philosophy was immediately drawn to stocks like GM and C (Citigroup) which had taken a huge hit since the stock market fell through the floor in the fall of 2008. These stocks looked like they were rebounding and he was excited about the chance that they may eventually reach their old heights.
The GM and C picks were extremely successful and that got him interested in looking for other stocks similar to them. He found a couple of penny stocks, CTIC and LJPC, that looked like they may break through with big gains.
That turned out to be correct as both LJPC and CTIC ended up being huge winners. They were even bigger gainers than GM & C.
He thought that he may actually be onto something big with the way he was selecting these stock picks so he decided to try to build a screener which would find more stock buys like them the moment before they were about to have big gains.
The reason I’m writing this article right now is because his first stock pick with this new screener reached a high 30% above it’s open today and that certainly impressed me.
I definitely don’t expect every stock pick he makes to have big gains. No way. It’s also key to remember that a gain isn’t “official” until the point where you actually sell the stock. Figuring out when to get out is equally as important as deciding when to buy. The really cool thing is that he also makes a post on his blog (and on his Twitter account) when he sells his holdings.
He doesn’t share the precise way he screens for these winning stocks as I guess he’s too selfish to share all of his trading secrets but he shares much more than most do.
He does not suggest that anyone buy his picks. There’s really nothing to gain from that. You should always do some of your own investigating before trading.
While I understand that it’s tempting buy The Day Trading Robot or Easy-Forex.com, I definitely think you would have better results just by following what he’s doing. And of course the really great thing is that it’s totally free.
One final note: It’s definitely a good idea to make “fake trades” before you start making trades with real money when trying a new stock picking strategy.
