Investing in Penny Stocks is one way you can make fast money on the stock market. Before you start trading here are 6 important facts you need to consider which any decent penny stock advisor should let you know.

1. The definition of Penny Stock can vary. Generally speaking a share in a Penny Stock will trade for less than $1. You may well come across other definitions which state less than $5 per share.

2. Penny Stock companies usually have a market capitalization below $500M.

3. Penny Stocks generally have a low number of shareholders and their average market trading volume is significantly lower than mainstream stocks. This is important to bear in mind as you may find it difficult to sell your shares.

4. Penny Stocks share prices can move dramatically in a day which gives opportunity for profit but equally you can easily lose your entire investment. Penny Stocks are considered a highly speculative investment.

5. One of the major difficulties facing Penny Stock investor is the lack of readily available information to judge a company. Most investors rely on word-of-mouth or Penny Stock newsletters. It always best to search Yahoo! Finance or another reputable financial web site for information on a Penny Stock company to verify the recommendations you hear about.

6. Penny Stocks are frequent targets of illegal "pump and dump" schemes. In these schemes fraudsters will talk up a stock on internet messages boards and through "spam" e-mail messages. Once they have made a profit on the shares they will sell, and stop promoting the stock which usually causes the stock price to fall leaving other investors stranded with worthless stock they cannot sell.

Convicted Spammer Makes Unsolicited Escape - Wall Street Journal

Eddie Davidson escaped from a Colorado prison over the weekend. Davidson pleaded guilty to tax evasion and falsifying information in an email – he sent hundreds of thousands of unsolicited messages touting penny stocks; he altered the emails so ...

Breaking News Alert Stocks To Watch - Transworld News

Stocks to Watch: VIPR Industries Inc. (PINKSHEETS: VIPR), First American Scientific Corp. (OTCBB: FASC), Oracle (NASDAQ: ORCL), SulphCo, Inc. (AMEX: SUF), Chesapeake Energy Corporation (NYSE: CHK) Featured Stock: VIPR Industries Inc. TORONTO, ONTARIO ...

Hedgeweek Comment: Absolute trouble - Hedge Week.com

Troubled hedge fund Absolute Capital Management has closed one of its hedge funds and its office in Mallorca as poor performance and a big loss for the year cast a shadow over the firm's efforts to reinvent itself following the abrupt exit of co ...

Active Stocks To Watch In The News: Vipr Industries Inc. (Pinksheets ... - Transworld News

WallStreetStockReview.com offers a newsletter covering companies traded on the OTC, OTCBB, PINKSHEETS and AMEX stock exchanges. Subscribers to our newsletter will receive up to date time sensitive press releases and profiles on featured companies ...

More Than Momentum: Stocks Rising for a Reason - Motley Fool

Even on the market's worst days, buyout news and other short-term forces can send individual stocks up by 10%, 25%, even 50%. For example, shares of Wells Fargo (NYSE: WFC ) rose more than 30% last Wednesday when it announced higher than expected ...

VIPR Industries Inc. (PINKSHEETS: VIPR) - PR Inside

in stable, mining-friendly and mineral-rich Tanzania. VIPR Industries' wholly owned Singida Gold Property is located in Tanzania's Singida Gold Belt adjacent to Shanta Gold Limited's newly discovered gold deposit. Drilling results from Shanta Gold's ...

You've got a fugitive - Rocky Mountain News Blogs

Trapped in federal prison? We can help! Our tested escape scheme can get you back on the street in no time. Spam king Eddie Davidson walked away from a federal prison Sunday and was last seen in Lakewood, report Bill Scanlon and Tillie Fong. Edward ...