Investing: Penny Stocks

All of you who follow my blog know that I volunteer to do research for people on a wide variety of topics. I consider myself a professional in this area as this is something I have done my whole life. While my field of work is in education, I have a wide array of areas that I dabble in. The stock market is just one such area. James sent me a request to research what I would consider to be hot stock tips in the penny stock area. While playing the stock market is mutifaceted, I will just concentrate on this one area for James to honour his request. Just a word of warning...these are my ideas which have come from following stocks and doing my own research. Never invest unless you are confident in your picks and you always should back that up with your own research.

First of all, if you are new to the stock market you should know that penny stocks are by far the riskiest type out there. For all the penny stocks, very few actually succeed. It is pure speculation as you are dealing with companies who have very little time behind them and very low market caps. So why would anyone want to invest in penny stocks. Easy...with greater risk comes potentially greater reward. If you buy a stock at 0.08 cents and it goes to a dollar, you can be a very rich person very quickly. Ok James, here are a few of the penny stocks which I have been following...and own.

Opawica Explorations (OPW) This is a gold play. it is currently at 0.10 cents. It actually jumped 25% on Friday because there is pending news about drilling results. There was crazy volume with this jump...a very good sign. It is expected that the news will be good and this baby may fly. I will be adding to my position tomorrow.

Pacifica Resources (PAX) I have owned this stock for a long time. I got in at .59 cents. It has been hovering around the .66 cent mark. It has got one of the largest zinc deposits in the world. it is only a matte of time before this company soars as well. The only holdback that I can see is that they are associated with Yukon Zinc which is no favourite of the market. If you can get this under .70 cents I would jump in.

Just so everyone knows, I do own both of these stocks. I own 10 000 shares of OPW and 2000 shares of Pacifica. I expect my position in OPW to be rewarded within the next few days.

Stay tuned and I will give progress reports.

Do you have questions as well? I own a variety of stocks in all the different sectors. I have been following the markets for years. If you want some tips, advice or opinions just ask and I will post it for you. If you could visit my sponsors while you do so it would be aprreciated.

Cheers,

Hope that helps James