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I had an Idea to take about $2,000 in play money and purchase 1,000,000 shares each of 20 different .0001 stocks at $100 each and sit on them - ...see what happens.
Would that be just plain stupid, risky, or what? Has anyone here tried anything like this? What was the result? Any suggestions? -predictions?
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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You're right .... it is stupid and risky. -paper first then.
Why don't I go ahead and set it up. I'll come back here and post the stocks that I pick and give a progress report as I go.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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OK, I tried the scanner at stockta.com and smallcapcenter.com. You guys are right ... There aren't many .0001 stocks that pop-up. So I changed my plan: I'm taking my $2,000 and buying 20 stocks at $100 each using two characteristics for my decisions: They must have the lowest PPS, and at least 15,000,000 in trading volume - the more the better. To even the playing field I bought each stock on the ask at the end of the day 1/13/06. Only one stock was showing an asking price of .0001 - GFYD. I paid my broker $9.99 per trade, (some pay more, some less).
Right now I'm showing that I'm $557.78 in the hole. Subtract the $199.80 I spent on trades - that leaves me $357.98 in the negative for the day. The value of my portfolio is $1,642.02
I'm going to watch my portfolio as best I can (I have a 40 hour per week drain on my freedom but do have access to a computer) and will sell all shares for a profit when I can. I will abandon all other positions in one month on February the 13th EOD.
Maybe I'll give a weekly tally of my results or something. This is a test - This is only a test. No dollars will be harmed during this experiment.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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Etrade is not so great with penny stocks. With Etrade you're forced to place your stop loss at least 5 cents below the ask. If I was ultra-serious about this penny stuff I'd open a different account - maybe I will someday.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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hey stinky i thought the very same thing when i started trading. i never had the balls to try it and i never even thought about doing it on paper first. lol. i would love a daily update on your progress. how long do you plan on holding?? i was thinking a month or two then liquidate and see where i'm standing. or if i really didn't need the money one year from date of purchase. what do you think? feel free to pm me.
-------------------- I'M GONNA BE RICH BEFORE I'M 30!!!! Posts: 502 | From: spring lake, nc, usa | Registered: Nov 2004
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Allrighty there Airdoo, I've got all the balls - I'm just a little foolhardy most of the time. It would have been stupid of me to do this will real cash first, I'm glad I posted my first message - It gave people a chance to talk some sense into me and do this on paper first. That BuyTex fella' always seems like he's got his head screwed on straight - I like him.
LET ME DIVULGE THE REAL REASON I'M DOING THIS:
I’m relatively new to Penny Stocks (the whole stock market is new to me really). I tripped over this board on my way through some internet research on the subject, a while back, and have stayed here since. There have been a few good folks who have answered some questions for me and gave me good advice. I've been studying and practicing and getting better, I'm getting better at reading charts and picking good stocks - I'm starting to show some small gains. All along, I've been reading the posts on the micropenny stocks category here. Somebody posts that they have a winning stock and everybody jumps in and posts and cheers each other on .... I've been watching mostly - I post a little too. Most of what I see happening is a lot of nothing really. Most of these stocks that have 30 or 300 pages of posts are trading flat or tanking. I think that most people who post on that board are losing money or lying about their gains most of the time. I found a pretty good little stock last week that was showing promise - I posted it there ... "QTEK ... Your Opinions?" was the name of the post. It just sat there - no one wanted to look at it, reply to it, participate - nothing. That's OK - I'm fine with that. At the end of the first day of trading it was up 15%. I posted a little bump .... no reply. The second day it was up another 17% - I posted a little bump .... still, no reply. The third day, I sold, took my gains to the bank and the stock corrected.
I thought to myself ... "Is there anyone on this board that is actually interested in making money?" Meanwhile, the GZFX post passed 300 pages. I looked at the next 10 posts that proceeded to pop up over my dead post and checked the performance of the stock for those posts. It turned out that 5 out of the 10 stocks were losing value, 3 of them were flat, and only 2 of them showed small gains. I tipped these guys into a good stock that showed good gains and they were more interested in watching GZFX tank under a penny.
After awhile, I thought about how unfair it is for me to think about folks this way so I decided to do a little study. THIS STUDY!
It turns out that many of the stocks that are in my little Fantasy Portfolio are the same stocks that people are posting in the micropenny board. By reading the posts on that board, it's really hard to figure-out which are doing well and which are are not. Putting them all in one portfolio and watching them all in one place at the same time should solve the mystery. Is anyone on that board really making any money? I'll get a better idea in a month.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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By the way, As for the performance of the portfolio for today:
SFTV was a pump and dump that I sold out of at .0089 for an $88 gain.
SVXP did a 1000 to 1 reverse split on Monday, while we were sitting ducks. I'm not real sure about this reverse split business but I think I now own 84 shares of SVXA. ( any help here is welcome).
Everything else is pretty flat, a very small gain on USXP but nothing sell-able. I'm down to 19 stocks.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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I sold 200,000 of USXP today at .0008 for a profit of $40.01 after fees, up from a purchase price of .0005.
CNES changed its sympol to CNESE.
Everything else is staying pretty flat. BKMP gained 11% with good volume, -nothing sellable though. Still holding 18 of the original 20 stocks.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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quote:Originally posted by Stinky: By the way, As for the performance of the portfolio for today:
SFTV was a pump and dump that I sold out of at .0089 for an $88 gain.
SVXP did a 1000 to 1 reverse split on Monday, while we were sitting ducks. I'm not real sure about this reverse split business but I think I now own 84 shares of SVXA. ( any help here is welcome).
Everything else is pretty flat, a very small gain on USXP but nothing sell-able. I'm down to 19 stocks.
Stinky, any profits on SVXP I would take. Look for this to tank. You may possibly want to buy buy back around bottom whenever you think that may be, or just never look back on the stock if you made a profit.
The E means that the company didn't get they're earnings report out in time, look for at least a dip in the share price until it's filed.
-------------------- Buy Low. Sell High. Posts: 10754 | From: The Land Of The Giants | Registered: Feb 2005
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Tex and Peaser .... Yes the "E" means that they are late filing their bullcrap. I just figured that one out. A "Q" means bankruptcy etc .... (I'm learning)
I'll proly sell SVXP at a loss to stop the bleeding and get out.
Peaser, read through the thread again - I'm not trading real money on this portfolio - just running a little financial/social experiment here in pennyland is all.
Everything flat or losing slightly. Holding.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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Just wanted to check-in with anyone who may be paying attention. Everything is trading flat or maybe losing value so far. Normally I would sell out of many of these and take a small loss to get my money into something that's moving, but that's not what this little exercise is about - I'm long on these. We'll tally up the booty on Feb 13th.
Posts: 125 | From: Cincinnati | Registered: Oct 2005
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10% gains or losses are still 10% gains or losses, share price aside. Any reason for .0001? If it moves, obviously it moves well - if the spread isn't something stupid to where you could never 'sell' it and nobody would ever want to buy.
-------------------- Well done is better than well said. Ben Franklin Posts: 718 | From: Bay Area, CA | Registered: Aug 2005
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