Monday, February 6th, 2012

How I made $62,500 with an investment of just $2,500 in Penny Stocks

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Around two months ago I thought it was time now to learn more about penny stocks and small cap companies in the stock market. I have heard from extraordinary gains in those shares and decided to do some stock trading on my own.

I soon discovered that investing money in stocks is rather difficult. The Trader has to consider a lot of factors and spend hours if not days with education. Technical analysis alone is a field that will take an inexperienced trader months to understand. And there is no guarantee that he will make profits with the stock trades.

There for I thought it would be best to look out for share picks and recommendations. I came across a website that claims to have a proven record of their share recommendations in the past. The profits reached from 100% to 800% according to the website. I was tired of looking in the Internet and because their recommendation is for free I decided to give it a Go and signed up.

The following day I received a phone call from a Mr. Lynn who presented himself as an analyst for a brokerage. Over the next hour Mr. Lynn explained the basics of his analysis and under which criteria stock trading recommendations are being made.
He replied to all my doubts and I decided to give it a Go and invested $2,500 in small cap gold share.

Within the next trading days the stock didn’t move much and it wasn’t until almost a month until the stock suddenly started to climb in an extreme way. The rise was that sudden that my stock climbed from 0,03 to around 0,40! I didn’t trust my eyes but after confirming on the established financial websites it was clear that my stock made me a gain of around$40,000 in less than four weeks.

I decided to call Mr. Lynn and ask him for his advise. He recommended to hold the share for some more time and sell at or around $0,45. I agreed and gave him the order to sell my stock at that level not knowing that the stock would reach it already the NEXT DAY!

After selling my stock I am looking at a profit of 2500% or $60,000 thanks to Mr. Lynn.

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