Invest in Penny Stocks E-Book

Peter Leeds

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Sprache: Englisch
• Veröffentlichungsjahr: 2011

Seitenzahl: 244

Beschreibung

THE APPETITE FOR PENNY STOCKS--stocks that trade for less than $5 a share--is greater than it's ever been. Due to their potential for rapid change, these investments can be both lucrative and high-risk. Penny stocks that pass the proper analysis can quickly multiply in value, dramatically outperforming every other type of stock, including so-called "safe" blue chips. Exciting, original, and inspiring, Invest in Penny Stocks is the only book of its kind. The Penny Stock Professional, Peter Leeds introduces you to all the concepts needed to become a successful penny stock investor: risk-free paper trading, tactics of the pros, the best markets, effective due diligence, and much more. He also reveals his 29- point Leeds Analysis, which uncovers the absolute best small companies with strong management teams, great upside potential, proven revenues, patented technologies, and rock-solid fundamentals. These premium penny stocks are more likely to outperform, and less likely to suffer downside price moves. Packed with nearly twenty of Leeds' favorite trading tactics and over forty real company trading charts, Invest in Penny Stocks can quickly help anyone become a successful trader. Using methods of fundamental and technical analysis developed over many years, Peter Leeds is consistently able to discover value in companies that others can't see. With Invest in Penny Stocks, he shows you how to take advantage of the opportunities that everyone else is missing.

Leseprobe

Contents

Preface

Experience Level Rating System (EL)

Chapter 1: The Big Business of Penny Stocks

Broad Appeal of Penny Stocks

The 5 Percent Rule

Penny Stock Phobia

Penny Stocks May Not Be for You

I Do Not Give Advice

Chapter 2: Getting Started in Penny Stocks

The Best Brokers

What Penny Stock Should I Buy?

How the Market Works

Market versus Limit Orders

The Best Markets

Chapter 3: Avoid Your Rough Start

The Birth of Leeds Analysis

An Overview of Leeds Analysis

Due Diligence

Stock Trades without Due Diligence

The 100 Percent Unbiased Guarantee

Why Peter Leeds Is the Leader

Paper Trading

Chapter 4: Leeds Analysis

Fundamental Analysis

Technical Analysis

Third Level Analysis

Chapter 5: Third Level Analysis

Overview

Branding

Positioning

Differentiation

Habits/Personal Life of Management

Brain Drain/Employee Poaching

Call the Company

Chapter 6: Fundamental Analysis

Financial Results

The Income Statement

The Balance Sheet

The Cash Flow Statement

Good Numbers

Accounting Magic

Trends in Financial Results

Financial Ratios

Trends in Financial Ratios

Additional Fundamental Factors

Chapter 7: Share Structure

Insider Trades/Insider Holdings

Institutional Holdings

Dilution

Buybacks

Acquisitions

Chapter 8: Technical Analysis

General Range

Current Trend

Trend Reversal

Trading Activity and Volume Considerations

Support Levels

Resistance Levels

Dips

Collapse

Temporary Spike

Permanent Spike

Topping Out

Bottoming Out

Consolidation

Conclusion: The Way of Penny Stocks

Acknowledgments

About the Author

Get More from Peter Leeds!

Index

Copyright © 2011 by Peter Leeds. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.

Published simultaneously in Canada.

No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, [phone], fax [phone], or on the Web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, [phone], fax [phone], or online at www.wiley.com/go/permissions.

Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

For general information on our other products and services or for technical support, please contact our Customer Care Department within the United States at [phone], outside the United States at [phone] or fax [phone].

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Library of Congress Cataloging-in-Publication Data:

Leeds, Peter.

Invest in penny stocks : a guide to profitable trading / Peter Leeds.

p. cm.

Includes index.

ISBN 978-0-470-93218-6 (cloth); ISBN 978-1-118-01327-4 (ebk); ISBN 978-1-118-01328-1 (ebk); ISBN 978-1-118-01329-8 (ebk)

1. Penny stocks. 2. Investments. I. Title.

HG6041.L443 2011

332.63’22--dc22

2010042168

For my wife—a heroic woman whose patience and wisdom are without equal.

Preface

“Most of the greatest stocks started small.”

—Peter Leeds

Imagine a company that was debt free, was extremely profitable, and owned an incredible new technology.

What if that investment was trading for pennies? You could invest a small amount, and walk away with a small fortune.

Would you be able to find that company? Thanks to Invest in Penny Stocks, now you will.

Let me take you on a journey into the world of high-flying penny stocks. Come with me as I walk through every aspect of these exciting investments, from the very beginning.

You will learn:

How to find the highest quality penny stocksWhich penny stocks to avoidHow to trade risk-freeThe best buying pricesWhen to take profits

I’ll also introduce you to Leeds Analysis. This system allows you to find penny stocks that are about to jump up in price, and helps you get involved before the rest of the investment world.

I’ve also included many of my favorite Trading Tactics, which could supercharge your investing results just as they have for me.

The appetite for penny stocks is higher than it’s ever been. Unfortunately, most people are buying the wrong shares and at the wrong prices. I’ve written this book to help you invest in penny stocks the right way.

Have fun, and at any point feel free to get in touch with me directly. I can’t wait to hear your success stories.

Best wishes,

Peter Leeds

The Penny Stock Professional

www.PeterLeeds.com

1.866.My.Leeds (1.866.695.3337)

Experience Level Rating System (EL)

Invest in Penny Stocks is meant to be a simplified, easy-to-understand book that explains a wide range of topics of varying complexity.

Given the various degrees of skill level of the readership, not all concepts need to be read by everyone. An experienced trader already knows the difference between market and limit orders, whereas that section will be very significant for new investors.

More experienced investors may want to skip some of the simpler sections if they already have an understanding of the topic.

Newer investors may want to leave the more complex sections for last, until they’ve gotten a grasp of the less-advanced supporting ideas.

Experience Level 1: There is no complexity or difficulty to these sections at all.Experience Level 2: Even brand-new investors will have no trouble with these ideas.Experience Level 3: These are very beneficial concepts that are not difficult to understand.Experience Level 4: Even experienced traders will benefit from these sections.Experience Level 5: These are the most complicated sections.

CHAPTER 1

The Big Business of Penny Stocks

PENNY STOCKS ARE BIG BUSINESS

They may sound small, but penny stocks are big business. The phrase “penny stocks” is one of the most popular financial searches on the Internet. In fact, it gets more searches than terms like “stock picks,” “stock quotes,” “New York Stock Exchange,” or “stock broker.”

This translates into tens of millions of investors in America, and millions more worldwide, actively searching for information and guidance on penny stocks. Unfortunately, hidden motivations abound, and misinformation outweighs the amount of proper analysis. As the Penny Stock Professional, I am actively working to change this state of affairs.

My team and I help people avoid some of the common dangers, and find the best penny stock companies with the greatest upside. You’ll find that it is quite simple—it’s extremely lucrative to get involved with the best 5 percent of penny stocks. These companies will have:

Strong management teamsGood upside potentialProven revenues