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Look
Familiar?
Peter
Leeds
http://www.pennystocks.com
Peter
Leeds, one of North America's leading Investment Coaches, is
a self-made millionaire who has created his fortunes on the
stock markets. He has also empowered thousands of individuals
to do the same. His personal success and incredible ability
to consistently pick money-making stocks has earned him a loyal
following of successful investors and has generated significant
attention from the financial world.
Don't I Know You From Somewhere?
If any of the following situations look familiar to you, you
may want to consider our quick fix. For every situation, there
is an appropriate response that can maximize your benefit, and
limit your loss. Take a look at some of these for example.
Holding A Dog
Your stock continues to sink, week by week. You keep thinking
that it can't go any lower, or that it will rebound eventually.
Volume dries up, the price flat-lines... Rumors of reverse splits
materialize. The stock is below minimum listing requirements
for its parent exchange.
Diagnosis: You are probably holding a sinking ship. You
may think it can't go lower, but it can. It can go to zero.
Usually after a reverse-split the price continues to decline.
If shares are bumped from their exchange two things will happen:
the price will take an immediate hit, and trading volumes will
dry up so it will be harder to sell shares. Usually in these
situations it is better to admit you made a mistake and get
what capital you have left out of the investment.
Worm-Tongue
Your associate tells you about a penny stock that is going to
make a serious move. They've got a patented technology that
sounds flashy, although even after he explains it neither of
you really understand what it does or how it works. It is going
to set a new standard in the industry, and the potential market
for their sales is in the billions. His tip comes from an 'inside'
guy at the company. He doesn't know the official title of the
inside guy, and he can't tell you the company's revenues, employee
size, management structure, or how long they've been in business.
Diagnosis: Your associate may be the victim of a 'promotional'
stock. Be careful! It's catchy. You are about to become the
next victim in the line, and you'll probably infect a few others
too. And when they tell the story of this miraculously undiscovered
penny stock, they'll be saying this news all comes from an 'inside
guy' at the company. Almost always these situations turn out
badly. Things are not as they seem. You aren't taking a gamble
on a stock with some potential. You are one of a hundred targets
in a carefully constructed and well-planned promotional scheme
to drive the share price up. These schemes are immoral, illegal,
and... they happen all the time.
Message In A Bottle
You read a detrimental comment in a chat room or message board
about a stock you hold or are thinking of buying. It scares
you and makes you second guess your investment decisions. You
see that other people have responded in agreement to the posted
message.
Diagnosis: Maybe there is some truth to it, maybe none
whatsoever. Check with some official sources to confirm or deny
the comments. Look at the latest press releases if it is a factual
matter. Call the Investor Relations department if it is a theoretical
or rumor-based matter. Consider all message board and chat room
information dishonest until proven honest.
Shooting The Moon
Your stock has been soaring, and your profits are significant,
although you still haven't sold your shares. You like the company
and had intended to invest for the long-term, although you hadn't
expected such strong performance. If the stock has spiked this
high, it's value must be getting recognized, so it could probably
go higher.
Diagnosis: The stock may be ready for a short term pull
back. Profit-taking sales are inevitable, and each time the
shares go a little higher the number of people thinking about
taking their money out increases. After a strong run-up shares
usually suffer some weakness, and if the rise was based on a
press release or rumor that won't significantly impact the company's
ability to meet their goals, shares may be prone to coming all
the way back down to their previous level. You may want to sell
half of your holdings to lock in your gains, and let the rest
ride. Learn more about investing in penny stocks by visiting
http://www.pennystocks.com
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