What Are The Best Penny Stocks To Watch Before Friday? 5 For Your List
5 Penny Stocks To Watch Before Friday
Penny stocks, blue-chip stocks, you name it, volatility has been a big influence this week. The broader markets have now sold off 2 days in a row thanks to a surge of new cases of coronavirus across the U.S. Things have now gotten to a point where New York State just enforced quarantine restrictions on California.
Furthermore, there are still many more questions than answers when it comes to the future of the proposed stimulus deal that was supposed to have a “deadline” of last Tuesday. Then let’s also not forget the general market volatility we normally see around election time. The trifecta of catalysts is in play right now so what does this mean for traders? Should they just go into cash?
While you should stick to the strategy you’re comfortable with, day traders are seizing major opportunities right now. Volatility is the lifeblood of big gains. When you throw the idea of penny stocks into the conversation, we’re now talking about big gains quickly. That’s something we’ve seen on an almost daily basis.
Trading VS Investing In Penny Stocks
For example, yesterday we discussed Insignia Systems Inc. (ISIG Stock Report) in our end of day article. Shares were trading around $1. Overnight, the penny stock ended up jumping 74% to highs of $1.74 during the morning session. The only problem is that if you weren’t in a trading mindset, it wasn’t much to talk about after 10 AM. While it’s still up about 28% as of Tuesday’s closing bell, the case for “trading” versus “investing” is important to realize here.
Everything has its time and place. Trading penny stocks and investing in penny stocks are things to learn how to do. It’s also important to understand when to utilize each strategy. If we’re talking about highly volatile, high volume penny stocks, taking up a trading strategy (most of the time) will pay off more than and investing strategy. On the other hand, when you have certain stocks with well-established trends, consistent trading volume, and less volatility, then an investing strategy or swing trading strategy (most of the time) will pay off better.
It’s all situational. So no matter what, if you find some penny stocks to buy, keep an eye on your active trades. At the very least, have proper backstops in place. This would be something like stop-loss orders and price alerts in case you can’t be in front of your screen for a moment. Heading into the rest of the week, there will likely be more “ISIGs” to find. But there might also be some stocks to watch for a longer period of time. Where do these sit on your list right now?
Biotech Penny Stocks To Watch: GT Biopharma Inc.
If there’s one thing that traders look for, it’s “cracks in the system’ – anomalies that don’t match up to broader trends. In this case, I’m talking about biotech stocks. If you look at the S&P 500 right now, you’ll see…