HOLLYWOOD STOCK EXCHANGE
THE ENTERTAINMENT MARKET
THE ENTERTAINMENT MARKET
You Understand Correctly.
Commissions are HEAVY Percentage-wise for the Penny Stocks. At the 0.10 Level, it is 40% Commission to Cover (0.02) & BUY (0.02). Addittionally, the Trade could cause the Price to Move, possibly Moving to 0.11 on the COVER & 0.12 on the BUY, in effect making the REAL COST 0.16.
As you can see, due to the Commission Structure, there is really not much to be Gained when a Penny Stock moves between 0.10 and 0.25. While there is a 0.15 Spread there, the 0.08 Total Commissions amount to more than 50% of the 0.15 Spread.
Efforts are better spent elsewhere, IMHO. Best Wishes.
A question about shorting and covering. May 10, 17:50
Answer INSIDE. May 10, 19:17
Ok, so if I'm understanding correctlly May 10, 21:53
You Understand Correctly. May 10, 23:18
Thank you! I thought I was on to something and bought about 100 peny stocks.... doh {nm} May 11, 05:03
Spudboy, outright buying penny stocks to hold is not a bad strategy. May 11, 06:43