| Unless you've been living under a rock, you've no | | | | valuations; it doesn't matter if its a bull market or a |
| doubt noticed the action taking place in the penny | | | | bear market or a bull rally in a bear market. The right |
| stocks sector. There are a few things to take | | | | stock promoter will always be able to work within |
| particular note of: | | | | the confines of a free economy. |
| - The action isn't discriminating against any penny | | | | So Does the Promoter Matter? |
| stock company or favoring any penny stock sector | | | | Absolutely. The reason I keep mentioning the right |
| - Its happening during what some call the beginning | | | | "stock promoter" is because the wrong one can |
| of a bull market | | | | completely destroy a company. Its been proven in |
| - Its happening during what some are calling a bull rally | | | | the past that SPAM does work, for the spammers. |
| in a bear market | | | | These days, most often, once a stock is spammed, |
| What this tells me, and what it should tell you, is that | | | | pink sheets puts out a skull and crossbones on the |
| money doesn't discriminate among penny stocks. So | | | | stock and large online brokerages like Ameritrade, |
| the big question in your mind should be what makes | | | | Etrade, Scotttrade and Schwab will not allow online |
| some penny stocks move, and others not? | | | | trading in the stock. So the company hiring the wrong |
| It's not the charts; every penny stock has a | | | | promoter really does suffer. |
| different chart...and a different capitalization structure. | | | | Where's the Advantage? |
| Every company, if it wants to can tell a compelling | | | | Unless you've been investing in penny stocks for a |
| story. Most of these penny stocks are similar in | | | | long time and know the game, its hard to tell the |
| terms of their income statements and balance | | | | players without a program. You could sign up for |
| sheets. | | | | anyone of a multitude of free penny stock pick sites, |
| So what is the elusive difference? Simple: penny | | | | but generally you'll get what you pay for. These |
| stock promotion. While some companies out there is | | | | companies are paid to tout stocks having done |
| trying to figure out whether we're in a bull market, or | | | | almost no research, and without even looking at |
| a bear market, penny stock companies that have | | | | management. |
| employed a good stock promoter are increasing their | | | | |