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Stocks Under $1

Find a list of stocks under $1 trading on the NASDAQ, NYSE, and OTCBB stock exchanges. This penny stocks list is updated daily to search for top gainers and losers of the day.

Last updated: Apr 13, 2026

>> 10 Stock Chart Patterns That Tell You When to Buy & Sell <<
Symbol Chart Company Open High Low Close Volume % Change
CMCT Cim Commercial TR Cp 0.53 1.12 0.52 0.92 165.57M 76.92%
RCT 0.59 1.39 0.59 1.00 152.83M 75.44%
DEVS 0.66 1.00 0.66 0.95 9.86M 48.44%
VRAX Virax Biolabs Group Ltd 0.19 0.22 0.15 0.16 262.12M 45.45%
DLXY 0.50 0.87 0.50 0.69 68.35M 32.69%
SLNH Soluna Holdings Inc 0.71 0.94 0.68 0.93 5.27M 30.99%
GCTK GlucoTrack Inc 0.65 1.00 0.65 0.85 11.46M 28.79%
BNZI Banzai International Inc 0.52 0.70 0.52 0.69 1.46M 27.78%
CRIS Curis, Inc 0.48 0.63 0.48 0.62 1.03M 24.00%
ASNS Actelis Networks Inc 0.07 0.12 0.06 0.11 2.06M 22.22%
HXHX 0.52 0.75 0.45 0.61 8M 22.00%
GPRO Gen-Probe Incorporated 0.77 0.97 0.76 0.93 14.8M 20.78%
MGRX Mangoceuticals Inc 0.33 0.43 0.32 0.41 1.23M 20.59%
ZBAO Zhibao Technology Inc. 0.92 1.00 0.61 0.92 1.32M 19.48%
IINN Inspira Technologies Oxy B.H.N. Ltd 0.43 0.55 0.41 0.50 1.09M 19.05%
PRPH ProPhase Labs Inc 0.11 0.14 0.11 0.13 316K 18.18%
CHGG Chegg Inc 0.82 0.95 0.78 0.93 1.89M 16.25%
OLB Olb Group Inc 0.38 0.59 0.37 0.44 10.19M 15.79%
ENSC Ensysce Biosciences Inc 0.46 0.60 0.45 0.55 510.9K 14.58%
MRNO Murano Global Investments PLC 0.49 0.64 0.48 0.56 937.8K 14.29%
ZSPC 0.07 0.08 0.07 0.08 37.25M 14.29%

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ORBS 0.84 0.98 0.82 0.97 26.08M 14.12%
JSPR Jasper Therapeutics Inc 0.79 0.93 0.77 0.90 566.3K 13.92%
DFNS LGL Systems Acquisition Corp 0.53 0.59 0.49 0.58 1.48M 13.73%
TOVX Theriva Biologics Inc 0.24 0.26 0.22 0.26 2.11M 13.04%
TBH Brazilian Telecom HOLDRS 0.45 0.57 0.42 0.53 867.8K 12.77%
CREG China Recycling Energy Corp. 0.57 0.77 0.50 0.71 14.13M 12.70%
AIRE reAlpha Tech Corp. 0.25 0.27 0.24 0.27 1.52M 12.50%
MEHA 0.16 0.18 0.15 0.18 482.1K 12.50%
OMEX Odyssey Marine Exploration, Inc 1.00 1.07 0.89 1.00 7.06M 12.36%
ABVE Above Food Ingredients Inc 0.75 0.83 0.70 0.82 1.18M 12.33%
NXXT 0.35 0.38 0.32 0.37 1.99M 12.12%
SUUN SolarBank Corporation 0.57 0.66 0.57 0.65 633.5K 12.07%
CLDI Calidi Biotherapeutics Inc 0.27 0.30 0.25 0.28 2.91M 12.00%
RVPH Reviva Pharmaceuticals Holdings Inc. 0.77 0.92 0.76 0.86 681.9K 11.69%
FIGG 0.84 0.98 0.83 0.96 3.62M 11.63%
DCGO DocGo Inc 0.52 0.58 0.49 0.58 1.47M 11.54%
GIPR Generation Income Properties Inc 0.25 0.31 0.23 0.29 3.03M 11.54%
ALIT Alight Inc. 0.56 0.64 0.53 0.62 34.19M 10.71%
COSM Cosmos Holdings Inc 0.31 0.33 0.28 0.32 1.91M 10.34%
CDLX Cardlytics Inc 0.90 1.01 0.88 0.98 952.9K 10.11%
BYND Beyond Meat Inc 0.58 0.68 0.58 0.66 53.84M 10.00%
KALA Kala Pharmaceuticals Inc 0.23 0.25 0.20 0.22 4.43M 10.00%
NIXX Nixxy Inc 0.81 0.90 0.75 0.88 1.17M 10.00%
CANG Cango Inc ADR 0.41 0.47 0.41 0.46 642.4K 9.52%
WKSP Worksport Ltd 0.87 1.00 0.83 0.93 388.2K 9.41%
REKR Rekor Systems Inc 0.75 0.85 0.73 0.83 2.91M 9.21%
CGTX Cognition Therapeutics Inc 0.89 0.98 0.85 0.98 1.08M 8.89%
KITT Nauticus Robotics Inc 0.43 0.51 0.43 0.49 3.38M 8.89%
EXFY Expensify Inc 0.80 0.88 0.76 0.86 593.1K 8.86%
NOTV Inotiv Inc 0.24 0.26 0.23 0.25 569.1K 8.70%
USEG U 0.73 0.77 0.70 0.75 2.9M 8.70%
BZFD BuzzFeed Inc 0.60 0.66 0.58 0.65 360.3K 8.33%
UP Wheels Up Experience Inc 0.49 0.55 0.48 0.54 559.5K 8.00%
TPET Trio Petroleum Corp. 0.60 0.60 0.52 0.54 14.99M 8.00%
SBEV Splash Beverage Group Inc 0.53 0.60 0.37 0.41 31.01M 7.89%
SEGG 0.51 0.58 0.50 0.55 523.4K 7.84%
ARAY Accuray Incorporated 0.39 0.44 0.37 0.42 1.86M 7.69%
GNS Genius Group Ltd 0.40 0.44 0.40 0.42 1.15M 7.69%
ARAI 0.77 1.00 0.68 0.87 12.55M 7.41%
LOBO Lobo Ev Technologies Ltd 0.55 0.60 0.48 0.58 389.5K 7.41%
BLNK Blink Charging Company 0.58 0.61 0.55 0.61 1.9M 7.02%
EONR Eon Resources Inc 0.82 0.86 0.76 0.78 7.67M 6.85%
FURY Fury Gold Mines Limited 0.61 0.63 0.57 0.63 829.9K 6.78%
QSI Quantum-Si Incorporated 0.74 0.79 0.72 0.79 2.34M 6.76%
TNON Tenon Medical Inc 0.77 0.86 0.75 0.82 483.1K 6.49%
FFAI 0.33 0.44 0.30 0.34 103.2M 6.25%
HRTX Heron Therapeutics 0.87 0.91 0.82 0.90 1.44M 5.88%
AMZE 0.16 0.20 0.16 0.18 6.11M 5.88%
HLP Hongli Group Inc 0.86 0.92 0.82 0.92 383.8K 5.75%
GTBP GT Biopharma Inc 0.41 0.41 0.35 0.38 581.5K 5.56%
OPTT Ocean Power Technologies, Inc 0.37 0.39 0.36 0.38 2.91M 5.56%
JAGX Jaguar Health Inc 0.37 0.40 0.34 0.39 1.32M 5.41%
DAIC 0.20 0.21 0.19 0.20 399.9K 5.26%
EZRA 0.21 0.22 0.20 0.21 2.14M 5.00%
NXL Nexalin Technology Inc 0.38 0.45 0.35 0.42 569.2K 5.00%
GETY Getty Images Holdings Inc 0.84 0.87 0.82 0.87 623.8K 4.82%
ARBE Arbe Robotics Ltd 0.65 0.68 0.63 0.68 681.1K 4.62%
HUMA Humacyte Inc 0.62 0.70 0.62 0.68 4.16M 4.62%
CTM Castellum Inc 0.67 0.69 0.64 0.68 702.9K 4.62%
SLQT Selectquote Inc 0.66 0.70 0.64 0.69 915.5K 4.55%
NAKA 0.22 0.23 0.21 0.23 5M 4.55%
MMA Alta Global Group Ltd. 0.43 0.47 0.42 0.46 336.7K 4.55%
IPST 0.44 0.57 0.39 0.47 3.26M 4.44%
SKIN Beauty Health Company (The) 0.89 0.95 0.86 0.94 674.1K 4.44%
CAN Canaan Inc ADR 0.45 0.48 0.43 0.48 4.77M 4.35%
GUTS Fractyl Health Inc. 0.46 0.49 0.44 0.48 1.11M 4.35%
ATCH AtlasClear Holdings Inc 0.23 0.30 0.23 0.24 24.88M 4.35%
RANI Rani Therapeutics Holdings Inc 0.76 0.77 0.71 0.77 996.5K 4.05%
BRTX BioRestorative Therapies Inc 0.27 0.27 0.24 0.26 1.21M 4.00%
OTLK Outlook Therapeutics Inc 0.24 0.27 0.23 0.26 1.95M 4.00%
IVDA Iveda Solutions Inc 0.25 0.27 0.23 0.27 312.6K 3.85%
BIOX Bioceres Crop Solutions Corp 0.55 0.59 0.54 0.58 323.3K 3.57%
VTGN Vistagen Therap. Com 0.56 0.63 0.55 0.58 1.19M 3.57%
NRDY Nerdy Inc 0.88 0.92 0.86 0.90 333.2K 3.45%
AERT Advanced Environmental Recycling Tech 0.59 0.63 0.55 0.60 307.4K 3.45%
ELBM Electra Battery Materials Corp 0.61 0.62 0.58 0.61 416.8K 3.39%
WWR Westwater Resources 0.61 0.63 0.60 0.62 604.2K 3.33%
ATON 0.30 0.34 0.28 0.32 847K 3.23%
ABTC 0.93 0.99 0.91 0.99 6.89M 3.13%

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OTC Penny Stocks Under $1

The following is a list of penny stocks under $1 that are listed on the OTCBB market.



>> 10 Stock Chart Patterns That Tell You When to Buy & Sell <<
Symbol Chart Company Open High Low Close Volume % Change
ENFY 0.3990 0.9500 0.2907 0.8500 980.1K 126.36%
AURI Wellstone Filter Sci 0.0001 0.0002 0.0001 0.0002 643.72M 100.00%
CIVX Ctr Invts & Cnsltng Inc 0.0002 0.0002 0.0002 0.0002 13.3M 100.00%
INQD Indoor Harvest Corp 0.0005 0.0005 0.0001 0.0002 10.08M 100.00%
ECPN El Capitan Precious Metals, Inc. 0.0004 0.0004 0.0004 0.0004 547.2K 100.00%
AGYP ALLIED ENERGY CORP 0.0001 0.0002 0.0001 0.0002 7.05M 100.00%
CSSV Caspian Services Inc. 0.0008 0.0008 0.0008 0.0008 300K 100.00%
WNBD Winning Brands Corporation 0.0002 0.0002 0.0001 0.0002 157.9M 100.00%
UNRG United Energy Corp. 0.0253 0.0520 0.0253 0.0485 6.86M 86.54%
NWPG Newport Gold Inc 0.0065 0.0090 0.0049 0.0084 2.58M 82.61%
CEOS CeCors, Inc. 0.0051 0.0089 0.0048 0.0083 2.31M 80.43%
NSURF 0.1500 0.2649 0.1500 0.2531 389.5K 74.55%
SYRA 0.3737 0.7000 0.3499 0.5600 1.7M 68.88%
CECAF 0.1000 0.1100 0.1000 0.1100 317K 63.20%
STTX Stratex Oil & Gas Holdings Inc 0.0030 0.0039 0.0023 0.0039 399.3K 56.00%
XALL Xalles Holdings Inc 0.0003 0.0003 0.0002 0.0003 34.52M 50.00%
UMAV UAV Corp 0.0002 0.0003 0.0002 0.0003 41.11M 50.00%
NGCG New Generation Consu 0.0010 0.0012 0.0010 0.0012 1.74M 50.00%
RDAR Raadr Inc 0.0003 0.0003 0.0002 0.0003 2.94M 50.00%
INKW Green Concepts Inc 0.0003 0.0003 0.0002 0.0003 24.36M 50.00%
GTVH Golden Triangle Ventures Inc 0.0002 0.0003 0.0002 0.0003 488.93M 50.00%

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HADV Health Advance Inc 0.0002 0.0003 0.0002 0.0003 5.02M 50.00%
LNTO 0.0035 0.0048 0.0035 0.0048 597.1K 41.18%
OPTI OPTi Inc. 0.0004 0.0007 0.0004 0.0007 1.63M 40.00%
PCOGF PANCONTINENTAL OIL 0.0122 0.0122 0.0122 0.0122 505K 37.08%
PYNKF Perimeter Medical Imaging Ai Inc 0.2400 0.3400 0.2394 0.3170 423.2K 34.89%
SEGI ImaRx Therapeutics, Inc. 0.0003 0.0004 0.0003 0.0004 4.35M 33.33%
MWWC Marketing Worldwide Corp 0.0003 0.0004 0.0003 0.0004 29.74M 33.33%
EXMT ANYTHING TECHS MED INC 0.0002 0.0004 0.0002 0.0004 10.78M 33.33%
GZIC Gz6G Technologies Corp 0.0004 0.0004 0.0003 0.0004 2.41M 33.33%
GULTU Gulf Coast Ultra 0.0357 0.0547 0.0357 0.0475 824.3K 31.94%
IQEPF IQE PLC 0.7000 0.7460 0.6375 0.6438 5.21M 28.79%
ECOX Eco Innovation Group Inc 0.0015 0.0019 0.0014 0.0018 177.22M 28.57%
DBMM Digital Brand Media & Marketing Group Inc 0.0008 0.0010 0.0008 0.0009 8.37M 28.57%
AIBT 0.0007 0.0010 0.0007 0.0009 16.72M 28.57%
GBMCF 0.1581 0.2700 0.1530 0.2150 472.3K 26.55%
VMST 0.0267 0.0337 0.0249 0.0337 2.95M 26.22%
GBUX Givbux Inc 0.0355 0.0374 0.0293 0.0374 433.5K 25.08%
BIEL Bioelectronics Corp 0.0005 0.0005 0.0004 0.0005 13.07M 25.00%
FITY 0.0004 0.0005 0.0004 0.0005 5.2M 25.00%
DRCR DEAR CASHMERE HOLDING CO 0.0116 0.0135 0.0115 0.0135 505.1K 23.85%
BSNLF Blue Star Helium Limited 0.0065 0.0200 0.0050 0.0080 2.47M 23.08%
ITRMF 0.0079 0.0217 0.0079 0.0160 713.1K 21.21%
VYRE 0.0023 0.0024 0.0019 0.0023 1.02M 21.05%
QGLDF Q-GOLD RESOURCES LTD 0.2200 0.2650 0.2170 0.2601 699.9K 20.81%
NIOMF 0.5000 0.5000 0.3400 0.3900 590.9K 20.33%
HHSE Hannover House Inc 0.0081 0.0102 0.0078 0.0102 1.81M 20.00%
GGSM Gold and Gemstone Mining Inc 0.0005 0.0006 0.0005 0.0006 15.25M 20.00%
GTCDF GETTY COPPER INC 0.1350 0.1450 0.1350 0.1450 550K 19.93%
CYIO CYIOS Corporation, Inc. 0.0022 0.0026 0.0022 0.0025 1.44M 19.05%
BRKCF Barksdale Capital Corp 0.1514 0.1678 0.1425 0.1660 695.1K 18.57%
RMETF Rackla Metals Inc 0.1200 0.1298 0.1142 0.1298 313.5K 18.00%
ADMQ Adm Endeavors Inc 0.0354 0.0417 0.0354 0.0413 348.8K 17.66%
BTZI Bots Inc 0.0015 0.0020 0.0015 0.0020 810.7K 17.65%
GMNI Gemini Group Global Corp 0.0014 0.0014 0.0013 0.0014 934.5K 16.67%
MVNT 0.0219 0.0254 0.0200 0.0240 431.1K 15.38%
XERI Xeriant Inc 0.0049 0.0055 0.0048 0.0054 649.8K 14.89%
KNOS Kronos Advanced Technologies Inc. 0.0028 0.0034 0.0028 0.0031 377.6K 14.81%
BDCC Blackwell 3D Construction Corp. 0.0075 0.0086 0.0051 0.0086 429.3K 14.67%
AMFN 0.0396 0.0460 0.0350 0.0449 5.56M 14.25%
FRSPF 0.8000 0.8668 0.7500 0.8510 465.1K 13.47%
BYRG BUYER GROUP INTL INC 0.0014 0.0018 0.0014 0.0017 1.43M 13.33%
CYDY CytoDyn Inc 0.2900 0.3341 0.2900 0.3329 5.21M 13.27%
TLTFF THERALASE TECHNOLOGI 0.2175 0.2358 0.2100 0.2350 326.3K 13.25%
HBEIF Honey Badger Silver Inc 0.2107 0.2260 0.2100 0.2161 662.3K 13.08%
MGAFF MEGA URANIUM LTD 0.4697 0.5171 0.4519 0.5120 534.2K 13.07%
DRRSF 0.1910 0.2138 0.1890 0.2108 991.1K 12.73%
AVVH Avvaa World Health Care Products Inc. 0.0035 0.0036 0.0029 0.0036 1.08M 12.50%
CLNV Clean Vision Corp 0.0083 0.0095 0.0077 0.0090 12.86M 12.50%
KOAN Resonate Blends Inc 0.0018 0.0022 0.0018 0.0020 8.45M 11.11%
JNSH Jns Holdings Corp 0.0020 0.0020 0.0020 0.0020 951.4K 11.11%
UGIZ 0.0010 0.0010 0.0009 0.0010 2.58M 11.11%
VXRT 0.6400 0.6999 0.6258 0.6990 509.2K 10.95%
GRUSF Grown Rogue International Inc 0.2880 0.3100 0.2760 0.3100 887.2K 10.71%
ATWT ATWEC TECH INC 0.0010 0.0011 0.0010 0.0011 718.6K 10.00%
ELEK Elektros Inc 0.0091 0.0092 0.0054 0.0068 324.7K 9.68%
EXNRF Excellon Resources Inc 0.3165 0.3389 0.3060 0.3389 307.4K 9.61%
RVLGF Revival Gold 0.6514 0.6750 0.6239 0.6750 398.5K 9.56%
CTMCF CANTERRA MINERALS 0.1270 0.1415 0.1248 0.1367 919K 9.45%
UNVC UNIVEC, Inc. 0.0023 0.0024 0.0022 0.0024 552.3K 9.09%
BBLR Bubblr Inc 0.0030 0.0030 0.0023 0.0024 2.09M 9.09%
SFIO SMOKEFREE INNOTEC IN 0.0013 0.0013 0.0011 0.0013 604.4K 8.33%
PHSE 0.0850 0.0931 0.0751 0.0919 309.4K 8.12%
MMTIF Micromem Technologies Inc. 0.0250 0.0250 0.0226 0.0248 2.24M 7.83%
FOLGF FALCON OIL & GAS LTD 0.2101 0.2350 0.2101 0.2350 1.03M 7.70%
TXTM Echo Metrix, Inc. 0.0074 0.0074 0.0067 0.0072 7.72M 7.46%
GCUMF 0.2880 0.3146 0.2880 0.3094 458.8K 7.43%
AAGAF 0.5000 0.5409 0.5000 0.5299 586K 6.92%
SOUTF SOUTHERN CROSS 0.0500 0.0525 0.0499 0.0514 435.7K 6.86%
LGCXF Lahontan Gold Corp 0.2605 0.2880 0.2510 0.2801 881.4K 6.66%
RMSL Remsleep Holdings Inc 0.0062 0.0069 0.0062 0.0066 913.5K 6.45%
PTKN 0.0015 0.0018 0.0015 0.0017 14.64M 6.25%
RIINF Braveheart Resources Inc 0.0239 0.0277 0.0239 0.0274 567.6K 6.20%
ILHMF International Lithiu 0.0146 0.0165 0.0126 0.0151 306.9K 5.59%
PGEZF Group Ten Metals Inc 0.2334 0.2374 0.2200 0.2370 454K 5.05%
VREOF Vireo Health International Inc 0.3972 0.4129 0.3905 0.4099 344.8K 4.97%
AAGFF Aftermath Silver Ltd 0.5750 0.6080 0.5100 0.5974 488K 4.81%
IPSI Innovative Payment Solutions Inc 0.0073 0.0076 0.0065 0.0066 578.7K 4.76%
CWBHF 0.5830 0.6300 0.5587 0.6125 718.9K 4.70%
DMGGF Dmg Blockchain Solutions Inc 0.1762 0.2005 0.1762 0.1927 460.1K 4.61%

Free Dividend Stock Screener

How to Trade Stocks Under $1

Any stock trading under $1 is considered a penny stock. There are two kinds of penny stocks that are trading under $1. Those that trade on regular stock exchanges such as the NASDAQ, NYSE, and AMEX, and then the ones that are trading on the OTCBB market.

The ones that are trading on the regular exchanges are highly regulated and therefore much safer than the ones that are trading on the OTC market.

To trade stocks under $1, we must understand why stocks are trading below $1 per share. The reason is simple, most stocks that are trading under $1 are either having temporary financial difficulties or struggling to survive. There are very few companies with competitive products, making good money, and trading below $1 per share. The market is always right, so to invest in stocks under $1 in the long term is a very risky bet.

However, there is still money to be made when we trade stocks under $1 for the short term instead of investing in the company for the long term. We want to buy a penny stock and sell it within 10 days and try to profit from the price fluctuation of these 10 days. Penny stocks are volatile, so while it is easy to make a quick 20% gain on a trade, it is equally easy to lose 20% on a trade.

To trade stocks under $1 successfully, there are three skills that every trader should learn, mental discipline, a penny stock strategy, and trading rules.



Penny Stock Strategies

Our penny stock strategy is a simple one. You can adjust or modify it for your own needs.

We are looking for stocks that made big moves recently and then decline sharply and are approaching the previous support level.

These stocks have the potential to rally again in the near future, although they may not reach their previous peak, substantial money can still be made trading these stocks.

We will add a stock to our penny stocks to watch list if it meets the following criteria.

Penny stock criteria

  1. A stock must rise over 80% or more in a day or across multiple consecutive days, with at least a 30% rise on a single day.
  2. The day where the stock spikes should have much more volume than the average trading volume of the stock
  3. The stock is falling over 60% from the peak intraday high, or 40% from the peak closing price with very low volume.
  4. We are looking for stocks that are falling and are approaching the previous low, we can only buy a stock when it is within 10% from the previous support when our stop loss is 10%. The closer the price is to the support, the better because then we can set smaller stop losses. In other words, we can buy the stock when it is only 5% from the support, but we can't buy a stock when it is 20% away from the support.

Profit Target
Set a target price of 30%, and you can adjust this number based on your own trades.

Stop Loss & Time Exit

  1. Set 10% stop loss
  2. Set time exit of 10 days, if a stock didn't make any move in 10 days, and did not hit our stop loss or target price, we will exit the trade.

To learn more about this strategy and get all the details, read the article How to Buy Penny Stocks.





How to Trade Penny Stocks

Following are some examples of how to select winning stocks using our penny stock strategy.

On June 1, AESE was trading at a peak of $5.94 which is over a 300% gain from the closing pricing two days earlier. In addition, the stock went up with huge volume, almost 80 million shares were traded that day which is much larger than the average volume of 100,000 prior to June 1. The stock then declined to a low of $1.96 in about 10 trading sessions.



Following our trading system above, we would have added the stock to our watchlist when the stock declines 60% from the 6/1 intraday high of $5.94. The technical setup looks good because the stock is approaching the previous support which is $1.83 from May 28's closing price.

  • Assume we buy the stock when it was 9% from the support which happened on 6/17, which makes our entry price $2.01.
  • Set stop loss of 10% which makes our stop-loss price of $1.81
  • Set profit target of 30% which makes our exit price of $2.61

The stock hit a low of $1.96, so it didn't hit our stop loss and the stock gaped up on June 18 at a price of $3.26. If we sell it at the open, we would have made a profit of 62% the next day even though our profit target was only 30%.

Another recent success example is BYFC. The stock hit a new high of $7.23 on June 19, which is over 400% gain from the closing price two days ago. The stock spiked over 150% on a single day with a volume of over 170 million which is much higher than the normal trading volume for the stock. It then retrieves over 65% with light volume, and that's when we add the stock to our watchlist.

However, we won't buy the stock until the price is within 10% of the previous support or $1.7. In other words, if our stop loss is 10%, we want to buy at a price so that it doesn't hit our stop loss at the support.



  • Assume we buy this stock at the price of around $1.82 which is about 7% of the support of $1.7. We would have bought the stock on June 26.
  • Set stop loss of $1.64 which is 10% from our entry price.
  • Set profit target of 30% or $2.5

The stock gaped up two days later at $3.16. We would have made a profit of 73% on this trade should we follow our strategy.

To learn more about this strategy, read penny stock strategies.





Recent Winners

Following the penny stock trading strategies layout above, here are a few recent winners, IGC, MOGU, NTN, and MPT. Please note none of the penny stocks are meant to behold for the long term.

Once a stock pops and hits our target, we should sell it right away because there is a good chance that the stock will dip again the next day. We can't afford to miss any chance to exit a profitable trade. I always set a GTC (good till canceled) limit order to sell just in case.

Sometimes, I adjust the price of my limit orders intraday when the trade is already working in our favor. I use a mental stop-loss order for my losing trades.



Mental Discipline

To gain an advantage in trading penny stocks, a trader must study technical analysis and stock chart patterns, and develop the discipline that is needed to succeed in penny stocks trading. Remember, in order for a trader to make money on trade, another trader must be losing by taking on the opposite side of that trade. Nobody wants to lose money in the market, yet most people who trade loses.

Among the ones who lose money, many are very intelligent in their own fields, such as lawyers, doctors, engineers, and others. The key to winning in the stock market has nothing to do with intelligence or your education level. It is about how much time you dedicated to studying the market and yourself. Studying the market is obvious, but studying yourself might not be obvious.

Most beginners never realized trading psychology is more important than any tool, method, or trading system you have. In order to beat the market consistently, you need to control your emotions and have the proper trading psychology to make money in the stock market.

Traders without discipline may be able to make a few profitable trades following certain stock chart patterns, but they will eventually give it all back plus some more. This happens frequently to traders who have ego problems. They want to brag to their friends and families about their trades, and their stock-picking skills. Whenever they are in a losing position, they just allow the losses to get bigger and bigger until it crushes their whole portfolio.

Two traders who follow the exact same strategy may produce dramatically different results. To improve your trading results, you must know your inner self and upgrade as you gain more experience.





Penny Stock Rules

You don't need a complicated trading system, method, or strategies to make money in stocks. However, you need to be able to develop the mental attitude and discipline to follow through with your trades and the rules that you set along the way.

Following are a few basic rules that you need to follow before you put on any trade.

  1. Stop Loss - You must have a stop loss for all your trades. I personally use a 10-12% stop loss for penny stocks trading because low-price stocks are more volatile than regular stocks. You can use a small stop loss if you want, but we don't recommend anything higher than 12%. Once your stop-loss is hit, exit the trade no matter what the market tells you.
  2. Profit Target - Set a maximum profit target for your trades. You can set a profit target of 30%, but if a trade doesn't feel right, you can always exit early.
  3. Time Stop - If a trade doesn't move in 10 trading days, you should exit the trade no matter what. The longer we stay on a trade, the riskier it gets. As we stated above, most low-price stocks tend to go bankrupt in the long run.
  4. Never risk more than 5% of your total portfolio on any trade.
  5. Take a break from the market if you are experiencing a bad day, week, or month.
  6. First survive, then thrive, which means you need to first learn to cut your losses short. You can't go broke with small losses. Most traders got wiped out because they were taking too much risk and had no stop loss.
  7. Focus on becoming a better trader instead of money. I know, I know, the goal of every trader is to make money. But that's the primary reason why most traders go broke. You should focus on being disciplined and follow your rules all the time, and money will come naturally.
  8. Be patient - If the patterns that your strategy requires don't show up, be patient and wait. Do not force a trade because you feel bored. Depending on the market conditions, sometimes your pattern just won't show up in a long time.
  9. Focus on the pattern - Based your trading decision on the patterns, and not how much money you want to make or lose from a trade.
  10. Add your own set of rules as you gain more experience.


How to Find Stocks Under $1

You can use the penny stock search, or best penny stocks to find low price penny stocks with a volume filter. You can also use the Top 10 Penny Stocks to get trading ideas.



Final Words

The examples we showed above were winning trades. But you will find yourself with many unsuccessful trades, either the stock hits your stop loss or fails to make a move before your time exit. Do not let a 10% loss be turned into a 50% loss or even bigger loss.

Trading is not science, a lot of times we will miss a potentially profitable trade by placing our entry price only a few cents too low. Other times, we may set our stop loss too tight and see a stock rebound right after our stop loss is hit. There is no need to kick yourself or be emotional when that happens. Missing out is part of the game, and you will just have to learn to live with that.

The hardest part of trading is not the time it takes to develop a winning strategy, it is the time that it takes to develop a winning attitude. It is easy to study stock charts and technical patterns to come up with a pattern that works, but it is ten times harder to take a loss when the pattern fails on some trades.

Have a plan before you enter a trade and follow your buying and selling rules. You can adjust and optimize a trading system and strategy as you gain more experience. However, one thing you should never change is the stop loss and time loss. Once your stop loss or time loss is hit, exit the trade.

Trade with logic, not with your emotions. No matter what or how you feel, the market won't respond to your feelings or emotions. It doesn't care if you are getting hurt or crushed. Therefore, you must develop the mental discipline that is required for success in trading the stock market.

Always remember our goal is to first protect our capital and then profit. We don't want to take excessive risks in any trade. Being emotionless is important in trading, and the only time that you can be emotionless is when you are trading with the money that you can afford to lose. Do not take out a loan or borrow money to trade. It is risky enough to trade stocks, and it is, even more, riskier to trade penny stocks.