The US penny stock market has always been a Klondike for investors from all over the globe. More and more people are now getting rich with pink sheets as their value rose significantly from a year earlier. For example, such hot picks as Marijuana stocks could lead to a multi-billion industry per year as early as 2018.
Top penny stocks are usually the companies with reputable history, performing records and liquidity potential as per long-term outlook. Being a professional trader, I am aware of the risk associated with the volatile environment of this market. But I know how to handle it to make handsome profits and live a life of luxury. And you can do it, too!
I think that is the reason why you’ve been looking for this 2018 watchlist, right?
Below please find the top 5 hot picks in 2018 along with a short description. Hurry up traders! Today’s an excellent time to invest!
1. General Cannabis Corp
52-week range: $0.69 to $5.19
A respected company that offers different services and products to firms in the weed industry. The scope of CANN’s business solutions ranges from regulatory and operational consulting to finance and marketing products. The CANN’s sector covers cash and securities management, real estate, marketing and finance, consulting and advisory services. The current market cap of the company is $30.84m with shares outstanding nearly 20M. The one-year performance rate is 81.80% which is absolutely fantastic! This hot pick is among our leaders in swing trades. Stocks are currently hovering around $1.75 and clearing $2 can trigger an upside move to at least $3 (above $4.5 in the long-run). Further legalization of marijuana could technically bring it back up to historical highs of 2014 (over $50). I expect a continuous bullish move as the cannabis market 2018 must outperform the broader market.
2. Urbana Corp
52-week range: $2.11 to $3.79
A very interesting stock that deserves closer attention. Urbana Corporation is a well-known investment company based out of Canada. The UBAAF is a guaranteed investment fund as well as investment fund aimed at applicable securities laws. Its area of business interests includes investing into public and private equities. At the same time, the Company invests into a number of private companies across different industries, which is a huge chunk of their investment portfolio. Urbana has showed unbelievable bullish rally since 2015 when it has almost doubled its price per share. It is a hot pick which is now trading around $2.6 with the average trading volume of 3.04k. With the current market cap of over $127m the UBBAF reported a net income of $43.70m as of June 2017 and the diluted Earnings per Share for those three months ended in June reached $0.03.
3. Nemaura Medical Inc
52-week range: $1.4 to $9.6
Founded in 2009 the Company has yet made a revolution in treatments for diabetes symposium. In February 2017 at the Paris medical conference NEMAURA announced its very new sugarBEAT™ device that caused a mighty furore. SugarBEAT™ is a wireless and, what is important, non-invasive skin patch designed for those with Type I and Type II diabetes which can be also used for pre-diabetic purposes. NEMAURA is a holding company that possesses specialty medical facilities to develop and test such kind of devices to help cure various forms of diabetes. NEMAURA has reached an incredible $1bn of market cap in 8 years. As per latest June 2017 QE the net income growth constituted 17.4% and prices soared to over $9 per share in May 2017 from as low as $2 in April. R&D expenses dropped by 51% since 2016 as sugarBEAT™ is almost completed and waiting to hit the medical market soon. I’ll be keeping my eye on this hot pick until further notice. Their device will definitely screw the competitors. The share price seems to be undervalued though but I am looking to buy the dips below $5.
4. Fortress Biotech
52-week range: $1.88 to $5.07
Fortress Biotech Inc. is engaged in a biopharmaceutical business. The Company is currently working on the immunotherapy agents development to be used for the subsequent treatment of cancer. A full-fledged project that will change the biopharmaceuticals industry forever. Their new upcoming product is called CNDO-109. This is a lysate which includes cell proteins and cell membrane fragments aimed at activating donor NK cells. In more simple words, the company is looking to unfold CNDO-109 to fight leukaemia diseases. The FBIO is a penny stock trading around the $4.25 level. Back in 2013 the price skyrocketed to $11 followed by a massive selloff due to share liquidation. Incredible 1-year performance of 49.65% makes me keep the above stock on my radar list. The public float is over 27M with the average volume of 213K. Fast forward to 2018, the Company is looking to evolve its business as CNDO-109 may expect commercial success and push growth rate to new highs.
5. Cannabis Science Inc.
52-week range: $0.0129 to $0.1395
Our last top mover off the list is a company in the bio therapeutic drugs industry. Cannabis Science Inc. engages in marijuana R&D. All kinds of critical illnesses, which can be cured by phytocannabinoid-based products, is the primary goal of the Company. Creation of cannabis-based pharmaceuticals, both psychoactive and non-psychoactive effects, to treat diseases and for general health, too. They are now working on governmentally approved drugs, including CS-TATI1, CS-S/BCC-1 along with the development of neurological therapy. I am holding these shares (bought at $0.0435) with the further breakup and bullish moves up to the sky. Yearly performance rate is 241% (!!). The shares exploded in May and now pulled back a little. With a relatively small total revenue in 2016 (just $9.3k) the Company has a huge potential in the upcoming years amid US legalization ease. Balance sheet is improving so we can expect strong YE results by the end of 2017.
7 Sound Reasons Why The Penny Stock Market Is The Best Investment In 2018
This is the story of how I started my way as a binary options lame duck
and ended up being a guru in the penny stock industry!
Hey there! Have you ever been thinking of getting rid of financial pressure to become more free, self-sufficient and successful?
Do you belong those who have been constantly chasing money and thus working for it instead of making it work for you?
If your answer is yes, then my story is definitely of your interest. Check this out!
This Is How It All Began…
For as long as I can remember, financial stability has always been the goal that I was looking to obtain.
Although I was born to a mid-class family, my parents were very conservative and did not indulge me with pocket money, and taught me how to judiciously spend every single penny I had on me.
Of course, I wanted more! When I got older I promised myself to make reasonable money despite all the difficulties I would encounter within my life.
Like many young men, I started off with the catchy internet offers.
As a finance student in my early 20s, I became very
interested in the trading business, especially in the currency market.
The binary options caught my eye first. Their pros seemed to be very impressive:
- Over 70% payouts per one trade
- Minimum spreads
- 50+ instruments in one place
- Low initial investments
- Sweet bonuses
- Risk-free trades
My first binary options manager advised me to try out their welcome bonus but I did turn his offer down, as it seemed like an unsecured deal for me.
However, I was very excited to get started as soon as possible and I hit the books to familiarize myself with the algorithms, trend analysis, fundamental cornerstones and other relevant material.
Yes, I did prepare beforehand and highly recommend other rookie traders to do that before investing any funds!
At first, I was working hard to grasp the market sentiment to know where to enter and exit the market.
Systematically, I started receiving small payouts and each time I was increasing my lot size the payouts were increasing accordingly!
I became confident in trading binaries so I went further and invested more funds into my account.
Soon afterwards, I realized that the broker was playing unfair with me…
Too many slippages and enter/exit buttons glitches, reduced payouts, time frames shrinking, withdrawal delays and so on and so forth.
My manager was ignoring my email inquiries as well as phone calls and I finally came to conclusion that the broker was a plain market maker and did not intend to help me out in trading but made me lose instead.
It turned out to be a huge gambling scheme.
So I Lost My Money…
Well… I lost all the funds I kept on my trading account.
I felt very embarrassed and melancholy but there was not even a little chance to get a portion of the money back.
I played this game according to their rules and failed.
I did not even start a thread on forums to unfold the truth about this scammer because there were already so many of them and people desperately tried to seek compensation.
Oh, well, unfortunately the internet police do not exist yet to protect us from frauds.
Luckily, I am not that type of a person who bursts into tears after a failure…
My Second Chance
You have to keep moving forward even if life hits you hard. Think positively and keep it up!
Therefore, after a couple of weeks I came back into my ultimate idea of how to make money online.
The financial industry remained a gold mine for me so I knew for sure I would be doing trading again and I turned my focus onto the Forex market!
There were a bunch of brokers out there at that time so I thought that it would be a great idea if I picked a well-known licensed broker for long-term business relationships.
I did my due diligence and all the roads, reviews and feedbacks led me to one reliable UK registered broker.
I knew I had to start my trading journey completely from scratch but this turning point was a new step forward in my life experiences.
As days went by, I upgraded my trading skillset into a completely new level.
Discovering the Forex Market
The Forex market has become an essential part of my daily life and I completely forgot about any financial troubles.
I have become an expert in currency trading with the focus on the Majors.
High liquidity, volume analysis and classic price action techniques helped me achieve tremendous results especially in 2016.
Unfortunately, due to a number of huge economic and political events (Brexit votes, Trump presidency, oil supply controversy, etc.) of the last year, the currency market has been dramatically shaken up and thus, to some extent, it lost its former attraction and credibility.
Since the beginning of 2017, I have not seen reasonable movements in USD, EUR and their counterparties. The GBP has dropped significantly.
At some point, I realized that Forex trading was not doing that well and I had to search for other financial instruments to stay in the loop to keep making decent profits.
Since that time, I have read quite a lot of articles and books, gone through a number of market outlooks and eventually stumbled upon the penny stock market analysis.
Yes, you heard it right! A way different market nature, a very different investor’s attitude, much better profits and less-risky environment.
The trading business is mainly about monitoring the trends, sitting at a computer to spot a better entry price and set a trade.
This is exactly what I have been doing for over 5 years now and, to be honest, I got bored.
However, with penny stocks I have completely altered my approach to intraday trades.
No more tough analysis and speculative risk.
It is all about the stock market and thus industry analysis, competition, companies’ well-being, their financial health and profitability ratios.
So What Are Penny Shares Then?
Well, it is a type of publicly traded stock where investors have a chance to purchase it at a very low price (from $1 to $5 and sometimes for pennies, too) and sell it soon afterwards but with a ridiculously increased value.
In addition, you can achieve that all within one single trade day!
Here is my personal list of reasons why I keep investing into the
penny stock market in 2018
1. Penny Stocks Are An Affordable Investment
Yes, it is obvious but still one of the main reasons why people trade pennies and turn them into nice profits.
You have skills, knowledge and you understand the game, but you do not have sufficient funds to get into the ordinary stock market. What would you do?
Exactly, you could choose penny stock trading and invest wisely without putting in an enormous amount of money.
Let me give you an example: you invest $5,000 and purchase 10,000 shares of a $0.5 penny stock. A great budget deal!
It costs you the same amount of money to purchase more shares of a penny stock than of a regular stock.
2. They Have A Nice Return Potential
Penny stocks are considered to be a constantly growing market. There is plenty of new and promising companies listed there and they have room to enhance and increase in value.
You as an investor have a unique chance to get a higher return potential within a short-term perspective.
Let me get back to our previous example. Suppose you have purchased 10,000 shares of a $0.5 penny stock.
In the next couple of days, the price goes up to $1 per share and you will have received a 100% return or $5,000. And what if the price reaches $2?
Hell yeah, this is a very good deal and you should try it yourself!
3. OTC Advantages Over Regular Stock Exchanges
The capitalization of companies listed there is usually between $300mm to $2bn.
That could be both new joiners and mature businesses.
All the broker-dealers are connected electronically and since there is no standardized trading-floor, all the OTC listed companies have fewer requirement fulfilments as compared to the traditional stock exchange.
What are the pros of using the OTC bilateral contracts?
- First off, there are a number of NYSE and NASDAQ stocks delisted from the regular stock exchange and moved to the OTC side. Investors have a chance to purchase once-best performers for a much less price.
- They actually do that because they expect a comeback of the stocks and this is the time when the allure comes in. Many top-movers went under due to various financial downturns but have a potential to recover in the form of penny stock shares.
- All the OTC contracts run on a bilateral (buyer-seller) basis. It is literally a private deal with no need to disclose. The two counterparties have a right to agree on the stock price and quantity.
4. Due Diligence Helps You Achieve Great Results
Due diligence is an essential part of any investment or trading actions but it is very much relevant with penny stocks.
As mentioned above, pennies represent both small-size and medium-size businesses and literally a few minor news (likes personnel lay-off or customer service complaints) or press releases could have a significant impact on the stock price movements.
You have to concentrate on the company’s financial ratios and profitability drivers.
Do not forget the operational side of the business and its product positioning.
The more effective research you conduct the better your trading results will be. That is totally guaranteed!
While trading penny stocks all you have to be aware of the following:
- The name of the company
- The ticker symbols (uniquely identified shares)
- The price of the stock
- The fundamental and technical analysis
5. Penny Stocks Are An Understandable Market
The penny stock market is way less rumored than binary options or Forex.
It is just simpler! Believe me or not but Forex has gone so crazy that currencies spike or plunge just because of the alleged info or gossips that have no real supply or demand reasons.
Manipulation, news, rumors and the alike are now in charge of market volatility.
Unlike Forex, penny stocks are still following the classical supply/demand trends with little variances.
This is what I actually love about trading pennies. All you need to know though is how to trade those trends, spot market reversals and trade them all the way up (or down).
6. Penny Stocks Are Less Liquid and Leveraged
The ultimate goal of trading is of course making money.
Investors and traders seem to be taking risks to make as much as they can especially when we talk about the unlimited profit potential.
Do you know how those people usually end up?
Greedy people tend to follow the rules of the game in a highly leveraged market and eventually end up broke.
This is the only option they have. Not only did they lose all the money they had but owe funds to the once-best leverage provider.
Are you really interested in that? I don’t think so.
In the penny stock market, you don’t need to set high-leveraged trades.
The liquidity is low and so is the leverage. You simply buy shares on their way up and sell them on their down.
The chart patterns are easy to understand and you just trade conservatively and evolve over time.
7. The Chances of Succeeding Are Higher With Penny Stocks
The allure of trading penny stocks is that you can make a decent return within a short period.
Usually it is up to 30-40% in a couple of days.
My advice for all the people out there: if you reach that profit target, don’t go for more and sell the shares right away.
Yes, I mean it seriously! Sell them quickly as greediness may kill you and wipe out all your profits in just one single trade. No need to aim for 500-700% per day!
Of course there is a great probability of a stock to hit over 100% in a day but don’t go greedy!
Penny stock market has far less money as compared to Forex but you simply make this money and don’t get deluded. Your chances to succeed are very high here.
Why have I given preference to penny stocks over other
profitable financial market instruments?
A global financial market is full of handsome and attractive investments.
When I was doing my research, I came across the well-known and very reliable stock advisory service – The Microcap Millionaires™.
I was so impressed because those guys are terrific and really keen on what they are doing.
I would never ever trade penny stocks if Microcap Millionaires™ were not leading me.
Their unique system was designed to help all the members to pick the best movers and make tremendous profit on them.
Do you think that a 100% gain is still not possible, huh? Then go and check them out!