As someone who does not posses all the fancy tools that many big time stock traders use to help them in the market, we usually rely mostly on stock news and stocks list sites. The question is, is it really in our advantage to use stocks list, and or stock newsletter sites to pick our our stocks?
Let’s first start with the stock news. Note that I am not referring to the stock news alerts you can sign up and receive daily alert on which stock to pick, instead it’s about the news from a specific company. The free stock news alerts have many controversial over whether or not they are working in favor of their followers. I you want to read more about this specific topic you can click on Trading According to a Penny Stock Pick Website.
Trading in the stock market today is not an easy task, not that it was ever easy though; moreover, the penny stocks market is even harder. But the potential profits of penny stocks keep us bound around. If you are reading this article it’s because you enjoy trading just like I do, but keep in mind you should not trade penny stocks for fun because it is your money that’s on the line.
First of all, what do I mean by stock’ news? News released by a company could be either good or bad; this characteristic is depended on the outcome of the news. If the company makes more money through what they have announced from the news then it is a good or positive news. I know you are now wondering how could you predict the outcome of the news. Well, keep reading as I will share some of knowledge with you.
MONTRÉAL, QUÉBEC–(Marketwired – June 14, 2015) – International Paris Air Show – Bombardier announced today that, based on flight tests results, its all-new CS100 and CS300 aircraft are exceeding their original targets for fuel burn, payload, range and airfield performance. In addition, the C Series aircraft are on track to meet noise performance targets, making them the quietest commercial jets in production (Market Wired, 20125).
This paragraph above is an example of part of a newsletter that was released not long ago as you can see; it’s actually a real one. From this paragraph you can see that this company is doing well, which is a good news for them and their stock holders. As a result stock holders may see some improvements in their shares’ value. However, it does not always work like that, the news might be good but the result may not be in favor of the shareholders. This is something that happens a lot, I have no idea as of why but it is a possibility. Your luck will also has to play a little role in this case.
Nonetheless, when a company just start selling a new product and this product is being bought very rapidly, there is a great chance that stock holders might make some money. Always remember it is penny stock, sell as soon as you can because you don’t want to loose your gains just because you are being greedy. I’m not saying being greedy trading is bad, but if you go to an extent where you can loose your money, then it becomes a problem. No one would like to loose his or her hard earned money, I know you would not want that either.
To be honest, I don’t like trading according to news from companies, but I do like when they have new products. I think that’s the best time for a trader to buy stock from a company as there is a greater chance for profits. Never forget to do your research, even when there is good news, do yourself this important favor. Until then, trade smart and don’t trade with emotions.