Penny Stocks; So You Want to Go It Alone   by Mark Riid

in Finance    (submitted 2011-02-20)

You've admitted it to yourself, you're a know-it-all. You never ask for directions, when you take that exercise bike out of the box, you toss the instructions in the fireplace and just start screwing, you stop your doctor in mid-sentence, "That's ok doc…I'll be fine." So it's only natural that when you decide to invest(now that YOU have determined that the economy is rebounding)that you will go it alone. After all, if these bone-heads are experts, how come they didn't see the meltdown coming?

Read the Book

There's an old saying, "If you want to know something about something…read the book." Often times, if your reasonably intelligent, the best way to learn is to teach yourself. And when it comes to books, there is no shortage on the subject of high finance. From "Investing for Idiots" to "Freakonomics" to "The Wealth of Nations", there is a book for every facet of the financial world. Biographies on J.P. Morgan, Andrew Carnegie, Jean Paul Getty and other giants of industry and capitalism, are great reads as well. Also to stay on top of breaking financial news, it might be a good idea to pick up the Wall Street Journal a couple of times a week. For the knowledge and information it provides are well worth the price. Of course the internet is a vast pool of advice and information as well. Although you will have to sift through a lot of garbage until you find a site that speaks to you and your financial situation and goals.

Test the Waters

Some experts even suggest taking a dry run and invest with "play" money, so to speak. Especially when it comes to penny stocks. Pick out some penny stocks you have researched and invest the "play" money to give you an idea of how you would do. But no matter how much you learn studying and researching, never abandon your most valuable tool, your common sense.

About the Author

Mark writes for several financial blogs including penny stocks online. He trades regularly and helps his readers find success in the volatile penny markets.