By now you have probably noticed that I have featured a few penny stocks here at BestOnlineTrades. The question that comes to mind is does a site lose a lot of credibility when they combine discussion of major market indices and more mainstream stocks with penny stocks?
I think this may be the case. But my attitude towards all securities is basically the same whether it be mainstream stocks, commodities, penny stocks, or indices, or ETFs. That is, that I believe they are ruled by price and volume and the patterns which they clue us in on.
There just seems to be this stigma with penny stocks that they are ‘bad’ or only to be bothered with by pump and dump groups or who knows who else. But why? They trade. They have price. Volume. And at least some type of business model. Last time I checked, a lot of biotech stocks and alternative energy stocks are also concept type stocks too that merely trade on potential, not hard core earnings.
Anyway I didn’t mean for this to turn into a rant. I just wanted to clear the air in case there was any air to clear.
The funny thing about the most recent bear market we had in 2008 is that many mainstream stocks actually turned into penny stocks and a lot of them were removed from the exchange because they could not meet listing requirements.
Heck you just heard me talk about CEMJQ this week, a multi billion dollar chemicals company that just happens to be trading under a dollar.
Ok I’m done with my rant. As far as BestOnlineTrades is concerned we will feature all types of stocks, indices and commodities here. No discrimination. We are an equal opportunity good technicals seeking site. 🙂