If you are down big from trying to to penny stocks on your own. You may choose to turn this process around, and start by getting tips from online articles, newsletters to find cheap stocks to buy. Here, the source of the information matters the most. The majority of such articles and newsletters have other interests than making you rich. Or they are simply bad analysts with garbage picks; you will find those even on the most reputable websites and TV channels.
Try to identify the real reason behind these recommendations. Find out what is really driving those people. Maybe they are paid promoters of certain penny stocks.
Do your research and try to find independent reviews of these web sites. This way you will be able to choose reliable and unbiased sources. You should look for web sites with a published track record at least a year back. Yes, these records can be manipulated, but they will certainly help you in the decision making. The track record should show consistency both in up and down markets.
A great way to check the trustworthiness of a newsletter’s trading performance is to follow along with its picks for some time. Are they putting all their picks on the track record page and recalculating the results?
Your Own Top 10 Penny Stocks
In the end, you cannot exclusively rely on the opinion of others. The final list of quality penny stocks should always be yours, and you should take full responsibility for the trades you make.
Whether you use a stock screener, or subscribe to a newsletter, or both, you must conduct due diligence and do manual research to finalize your list of penny stocks to invest in. You absolutely have to take each individual company, and review it from head to toe. This is a time consuming work, but you will never become a successful penny stock investor if you fail to do it.