This is happening all the time. I use that example, because that was my gem!
So What Exactly Is A Penny Stock?
On December 13, , the Company released assay results for its drilling program at the Idaho-Maryland mine. The results indicate several new targets including a 52 vein area assay with Employees receive a Mastercard or Unionpay payroll card, and can conduct banking transactions through its mobile app.
Tethyan Resources is a junior exploration company operating in the Balkans. The Company holds sq. The Kizevak zinc-lead-silver project, located in the vicinity of a past-producing open-pit mine, completed a 1,m drill program on August 22, The Rednica project contains two copper-gold-molybdenum porphyry centres over a 1. Hemisphere Energy is a Canada-based oil producer operating in eastern Alberta. Currently, the Company targets high growth in the bioplastics space by leveraging the increasing demand for plant-based packaging and products.
Power Metals is a hard rock lithium explorer focused on its flagship Case Lake property, comprising 38 mining claims for 7, Ha, located km north of Kirkland Lake, Ontario. An all-seasons access road encircles the property.
Although limited to 83 current drilled holes, work-to-date indicates that spodumene pegmatites may occur throughout the property in dykes hosted by domes. There are nine dome targets on the property, and only one has been drilled to-date, the Henry Dome, which hosts the Northeast and Main Dykes.
Following the results, the Company has permitted the area for a stripping and drilling campaign which gives the Company a second highly prospective drilling site to pair with the Case Lake property. Hence, look at the track record of the executives running the firm. Learn to identify promotions: There is a difference between proper equity research reports, which are not really common with penny stocks, and advertisements. Such information can be found in the disclosure section of the newsletter report.
There are two main ways to make money using penny stocks in Canada — trading, and investing. Investing in penny stocks for long periods of time is not recommended, as you cannot follow the Warren Buffett strategy. It simply does not work because almost all penny stock companies cease to exist after a short period of time. But if you can identify scams and those diamonds in the rough no pun intended , then it is possible to make huge returns, sometimes in thetriple digits with Canadian penny stocks.
Another caveat when it comes to trading is constant monitoring. You would be glued to your computer screen, and constantly looking at charts to determine when to buy and sell.
Hence, trading penny stocks in Canada is more or less like a full time job. There are credible ways of making money penny stock trading. However, look at it as small-cap and micro-cap stocks. The same care, research, and sourcing of information is needed just like any other type of investing. Canadian penny stocks do have certain advantages for new investors. If you limit yourself to companies that provide proper documents, then this is also a good place to learn to read and interpret financial statements, because they are most often short and not that complicated.
It can also be benefical to invest in penny stocks inside of a Tax Free Savings Account , as those huge returns will not be subject to tax inside of it. Make sure you understand the company you are buying. Approach with hesitation, and question everything.
This will make you a more confident and analytical investor, which will help you avoid some of the scams out there. I wish you some exciting, wonderful, and prosperous trading! An active dividend and growth investor, Dan has been involved with the website since its inception.
Dan Kent is primarily a researcher and writer here at Stocktrades. He has become an authority figure in the Canadian finance niche, primarily due to his attention to detail and overall dedication to achieving the highest returns on his investments. Investing on his own since he was 19 years old, Dan has compiled the experience and knowledge needed to be successful in the world of self-directed investing. Dan Kent is a co-owner and writer for the Stocktrades. Hello, I would like to know where which broker can I trade the following three stocks: Hey Judith thanks for the comment.
You can definitely buy these stocks through Questrade. Let me know if you have any other questions. I need help on trading l need to start am new to trading so l need some one who knw nd walk with me the whole process. I need this am aged 34 yrs so am here to make money.
Hey John, thanks for commenting. The best way to learn how to trade is simply education through books,articles, websites such as us etc and a practice account. Head to any broker, most all of them offer paper trading accounts and start to learn there. We voted Questrade our top discount broker of for some obvious reasons we state in our broker review article. You can view that article here: Don't let anyone tell you that all penny stocks are nothing but scams.
Many of them are technology stocks that were once trading 10 to over 50 times what they are now trading. Many of the best of these will rise again. That is why I keep repeating to screen for penny stock that have a history of at least 3 years. These are your greatest proof of what they were, and are, and could be in the future. Exploration stocks are a fad right now, so most are going to be overpriced. Research will most likely be difficult and time consuming.
If precious metals were just beginning a resurgence in interest, then obviously that would be the best time to find great deals to invest in. Now is not that time. If you have the time and desire, then research, in depth, the exploration mining stocks as well. Mining companies are gaining greater technology and are becoming creative in finding new precious mineral and oil reserves and other sources of energy.
Sometimes the small companies with knowledgeable techie management strategically position themselves to find precious reserves where larger companies fail. This is happening all the time. The TSX Venture is home to such high potential exploration penny stocks. Such stocks could still make you 5 times your investment or more even in a fad market like precious mining and precious metals.
Obviously these start ups do not have the history to research, but you can call them, and research them.