Penny Stock Tips for 2024

We found 11 online brokers that are appropriate for Trading Penny Stock Investment Platforms.

Penny Stock Tips Guide

Analysis by Andrew Blumer, Updated Last updated - April 23, 2024

Penny Stock Tips

Investors who do not possess big enough capital to invest can easily get into share trading and trade penny stocks, because of the lower barrier of entry. Of course, there are certain strategies you should be following if you hope to make this a profitable endeavour. One of these strategies involves using social media to your advantage. You must know how to use social media in order to effectively promote a particular stock and help yourself earn a profit.

You should also understand that although a lot of traders think social networking and trading penny stocks is a very easy process, it is really not. It is important that you learn how to master the art of persuasion. In other words, successful social media users have mastered the ability to successfully persuade their friends to sell quickly in this sort of market. If you want to make the most of trading, you need to be able to persuade people to follow your lead when they see a great opportunity in motion.

Another one of the great advantages that social media gives us with regards to penny stocks, is that it makes it extremely easy to learn about the companies involved. We can get all of the current information about a company's business before actually purchasing its shares. This is a major benefit because it enables new investors to get the low cost information they need before making their decisions. There are some people who try to sell penny stocks even when they have not formed any clear plans regarding how they will make money from them. However, savvy investors realise that this is not usually a good way to make money.

Where To Trade Penny Stocks

If you are looking for penny stocks to buy, you will want to find out as much as you can before you commit to a trade. Penny stocks or penny shares, as they are commonly referred to, are an extremely popular stock which often trades for very little money on major stock exchanges. The low share cost means that the stock is more likely to be an extremely risky speculative investment. A penny share is simply a stock that is valued below $5; however, it can be expanded to cover all stocks which are traded on major stock exchanges. Because there are so many stocks that are traded on these exchanges, you will often find that penny stocks can jump up in value very quickly.

There are many people who will tell you that you can only make money in penny stocks if you buy them at the beginning of their decline. Others will tell you that you should never invest until they have been consistently making money for years. These two schools of thought regarding how to trade penny stocks are not completely wrong. However, by choosing the right stock exchange you may find that some of the best penny stock trading sites will offer you excellent returns on your investments regardless of the method you choose.

What To Know About Free Stock Picks

Before you begin penny stock trading, make sure you understand what you are getting into. Penny stocks are often quite lightly traded and loosely followed and are considered high risk due to their price volatility. This, coupled with their extremely low price per share, makes penny stocks the perfect vehicle for scammers and promoters. Some unscrupulous marketers will even buy tons of cheap, almost dead penny stocks, then use deliberate hype and exaggerations to drive the stock price higher than it should be.

If a company generates a high profit, it tends to be considered a good candidate for investment. However, this does not mean there are not some other common trends that investors like to focus on when looking at which penny stocks to buy into. One of those trends is abnormal volume. When there is an unusually large amount of new shares created on a regular basis, this can be seen as an indicator that the business could turn out to be successful.

Learning To Trade Penny Stocks

Learning to trade penny stocks is not an easy task. Penny stocks are typically very high risk. Apart from that fact, investors that get into penny stocks usually do not make millions trading them initially. They usually lose money in the first year. However, where some see risk, some find opportunity.

There are many penny stock promoters who want to take advantage of new traders and investors. Some start trading penny stocks by watching others trade them, and learning from their mistakes and successes. Penny stocks have low trading costs, but they also have high trading commissions. The reason for the high trading commissions is because the market is very volatile and any company can raise or lower the price of stock without warning.

Tips for Penny Stock Trading

Beware of Confirmation Bias

Many people have their personal biases to penny stock. How many people have you heard saying 'My investor bias makes me think positively about penny stocks' or 'I only buy penny stocks when I'm very sure about them'? Despite these personal preferences, there is one group of investors that are not biased at all when it comes to penny stocks and they are the institutional investors.

This group of institutional investors are the ones you hear about when talking about the stock market and really making money on it. The reason that they think they can be successful is because all of their investing is done through banks or large financial institutions. They do not have any personal investments in the market so they can only be as successful as the market is. In fact, if they make a bad investment, it will almost always be the market that loses out. It is just the nature of the business.

Use Limit Orders

When placing a limit order, you may be required to pay a brokerage commission or some other charges. This does not necessarily mean you should not do it, as it can be very helpful, but there are many strategies that will allow you to place a profitable trade without spending any money at all.

When you are trying to anticipate the behaviour of a stock, it is wise to try and determine what the market is likely to do before you place your order. You can do this by looking at previous market action. If there has been a lot of activity in one particular market, you will probably want to place a call on that stock.

Use Stop-Loss Orders

The use of stop-loss orders in penny stock trading is one of the most important tools any investor can use. Stop-loss orders are placed with an online trading firm. A stop-loss order is used to limit, or 'stop' trading at a certain price in case of a catastrophic event such as the drop of a trading penny, a stock price suddenly rising above and beyond the predetermined limit, a newsworthy event causing a surge in a particular stock or a security price rising beyond the acceptable range for a trading action.

Investors who place stop-loss orders should also be sure that they understand all of the details of the plan. The trading strategy that they use may not always yield the results that they expect, and using an incorrect order can cause serious problems. The most common reasons that stock orders fail to execute, include using the wrong exit strategy and not taking time to study stock trends. As long as the investor follows the plan exactly as it is written, there should be no issue.

We have conducted extensive research and analysis on over multiple data points on Penny Stock Tips to present you with a comprehensive guide that can help you find the most suitable Penny Stock Tips. Below we shortlist what we think are the best Penny Stock Investment Platforms after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching Penny Stock Tips.

Reputable Penny Stock Tips Checklist

Selecting a reliable and reputable online Penny Stock Investment Platforms trading brokerage involves assessing their track record, regulatory status, customer support, processing times, international presence, and language capabilities. Considering these factors, you can make an informed decision and trade Penny Stock Investment Platforms more confidently.

Selecting the right online Penny Stock Investment Platforms trading brokerage requires careful consideration of several critical factors. Here are some essential points to keep in mind:

Our team have listed brokers that match your criteria for you below. All brokerage data has been summarised into a comparison table. Scroll down.

Compare Key Features of Penny Stock Investment Platforms in Our Brokerage Comparison Table

When choosing a broker for Penny Stock Investment Platforms trading, it's essential to compare the different options available to you. Our Penny Stock Investment Platforms brokerage comparison table below allows you to compare several important features side by side, making it easier to make an informed choice.

By comparing these essential features, you can choose a Penny Stock Investment Platforms broker that best suits your needs and preferences for Penny Stock Investment Platforms. Our Penny Stock Investment Platforms broker comparison table simplifies the process, allowing you to make a more informed decision.

Top 15 Penny Stock Investment Platforms of 2024 compared

Here are the top Penny Stock Investment Platforms.

Compare Penny Stock Investment Platforms brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a Penny Stock Investment Platforms broker, it's crucial to compare several factors to choose the right one for your Penny Stock Investment Platforms needs. Our comparison tool allows you to compare the essential features side by side.

All brokers below are Penny Stock Investment Platforms. Learn more about what they offer below.

You can scroll left and right on the comparison table below to see more Penny Stock Investment Platforms that accept Penny Stock Investment Platforms clients.

Broker XTB AvaTrade SpreadEx Trading212 forexmart Robinhood hdfcsecurities icicidirect sharekhan Zerodha eoption
Rating
Regulation FCA (Financial Conduct Authority reference 522157), CySEC (Cyprus Securities and Exchange Commission reference 169/12), FSCA (Financial Sector Conduct Authority), XTB AFRICA (PTY) LTD licensed to operate in South Africa, KPWiG (Polish Securities and Exchange Commission), DFSA (Dubai Financial Services Authority), DIFC (Dubai International Financial Center), CNMV (Comisión Nacional del Mercado de Valores), KNF (Komisja Nadzoru Finansowego), IFSC (Belize International Financial Services Commission license number IFSC/60/413/TS/19) Australian Securities and Investments Commission (ASIC), ASIC (406684), Financial Services Authority (FSA), South African Financial Sector Conduct Authority (FSCA), Financial Stability Board (FSB), The Financial Services Agency (JAPAN FSA), Financial Futures Association of Japan (FFAJ), Abu Dhabi Global Markets (ADGM), Financial Regulatory Services Authority (FRSA), Polish Financial Supervision Authority (KNF), Israel Securities Association (ISA), British Virgin Islands Financial Services Commission (BVI), BVI (SIBA/L/13/1049), Central Bank of Ireland Financial Conduct Authority (FCA) Financial Conduct Authority (FCA) Firm reference number 609146, Financial Supervision Commission (FSC), Cyprus Securities and Exchange Commission (CySec) License number 398/21 Cyprus Securities and Exchange Commission (CySEC) Financial Conduct Authority (FCA), Financial Supervision Commission (FSC) Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange Unregulated
Min Deposit No minimum deposit 100 1 1 1 No minimum deposit No minimum deposit No minimum deposit No minimum deposit No minimum deposit 500
Funding
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
  • Bank transfer
  • Credit Card
  • Paypal
Used By 1,000,000+ 300,000+ 10,000+ 15,000,000+ 10,000+ 10,000,000+ 2,000,000+ 2,000,000+ 1,500,000+ 1,500,000+ 10,000+
Benefits
  • Allows scalping
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows scalping
  • Allows hedging
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows scalping
  • Allows hedging
  • Low min deposit
  • Guaranteed stop loss
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Guaranteed stop loss
  • Offers Negative Balance Protection
  • Allows scalping
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
  • Allows hedging
  • Offers STP
  • Low min deposit
  • Offers Negative Balance Protection
Accounts
  • Pro account
  • Demo account
  • Micro account
  • Mini account
  • Standard account
  • Islamic account
  • Demo account
  • Micro account
  • Mini account
  • Standard account
  • Managed account
  • Islamic account
  • Demo account
  • Standard account
  • Demo account
  • Demo account
  • Standard account
  • ECN account
  • Islamic account
  • Demo account
  • Micro account
  • Mini account
  • Standard account
  • MAM/PAMM account
  • Islamic account
Platforms MT4, Mirror Trader, Web Trader, Tablet & Mobile apps Web Trader, MT4, MT5, AvaTradeGo, AvaOptions, DupliTrade, ZuluTrade, Mobile Apps, ZuluTrade, DupliTrade, MQL5 Web Trader, Tablet & Mobile apps Web Trader, Tablet & Mobile apps MT4,WEB,desktop Web Trader, Tablet & Mobile apps Web Trader, Tablet & Mobile apps Web Trader, Tablet & Mobile apps Web Trader, Tablet & Mobile apps Web Trader, Tablet & Mobile apps DealBook (Desktop, Mobile, iPhone, iPad, iPod touch, Web)
Support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
  • Live chat
  • Phone support
  • Email support
Learn More Sign Up with
xtb
Sign Up with
avatrade
Sign Up with
spreadex
Sign Up with
trading212
Sign Up with
forexmart
Sign Up with
robinhood
Sign Up with
hdfcsecurities
Sign Up with
icicidirect
Sign Up with
sharekhan
Sign Up with
zerodha
Sign Up with
eoption
Risk Warning 76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. 71% of retail investor accounts lose money when trading CFDs with this provider Losses can exceed deposits CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Your capital is at risk Your capital is at risk Your capital is at risk Your capital is at risk Your capital is at risk Your capital is at risk Your capital is at risk
Demo XTB
Demo
AvaTrade
Demo
SpreadEx
Demo
Trading 212
Demo
ForexMart
Demo
Robinhood
Demo
HDFC Securities
Demo
ICICI Direct
Demo
Sharekhan
Demo
Zerodha
Demo
eoption
Demo
Excluded Countries US, IN, PK, BD, NG , ID, BE, AU BE, BR, KP, NZ, TR, US, CA, SG US, TR US, CA RU CU, IR, KP, SY, UA


All Penny Stock Investment Platforms in more detail

You can compare Penny Stock Investment Platforms ratings, min deposits what the the broker offers, funding methods, platforms, spread types, customer support options, regulation and account types side by side.

We also have an indepth Top Penny Stock Investment Platforms for 2024 article further below. You can see it now by clicking here

We have listed top Penny Stock Investment Platforms below.

Penny Stock Tips List

XTB
(4/5)
Min deposit : 0
XTB was established in 2002 and is used by over 1000000+ traders. 76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. XTB offers Forex, CFDs, Cryptocurrency. Cryptocurrency availability with XTB is subject to regulation.

Funding methods

Bank transfer Credit Card Paypal

Platforms

MT4, Mirror Trader, Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by FCA (Financial Conduct Authority reference 522157), CySEC (Cyprus Securities and Exchange Commission reference 169/12), FSCA (Financial Sector Conduct Authority), XTB AFRICA (PTY) LTD licensed to operate in South Africa, KPWiG (Polish Securities and Exchange Commission), DFSA (Dubai Financial Services Authority), DIFC (Dubai International Financial Center), CNMV (Comisión Nacional del Mercado de Valores), KNF (Komisja Nadzoru Finansowego), IFSC (Belize International Financial Services Commission license number IFSC/60/413/TS/19)
AvaTrade
(4/5)
Min deposit : 100
AvaTrade was established in 2006 and is used by over 300000+ traders. 71% of retail investor accounts lose money when trading CFDs with this provider AvaTrade offers Forex, Cryptocurrencies, Commodities, Indices, Stocks, Bonds, Vanilla Options, ETFs, CFDs, Spread Betting, Social Trading . Cryptocurrency availability with AvaTrade is subject to regulation.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, MT4, MT5, AvaTradeGo, AvaOptions, DupliTrade, ZuluTrade, Mobile Apps, ZuluTrade, DupliTrade, MQL5

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Australian Securities and Investments Commission (ASIC), ASIC (406684), Financial Services Authority (FSA), South African Financial Sector Conduct Authority (FSCA), Financial Stability Board (FSB), The Financial Services Agency (JAPAN FSA), Financial Futures Association of Japan (FFAJ), Abu Dhabi Global Markets (ADGM), Financial Regulatory Services Authority (FRSA), Polish Financial Supervision Authority (KNF), Israel Securities Association (ISA), British Virgin Islands Financial Services Commission (BVI), BVI (SIBA/L/13/1049), Central Bank of Ireland
SpreadEx
(4/5)
Min deposit : 1
SpreadEx was established in 1999 and is used by over 10000+ traders. Losses can exceed deposits SpreadEx offers Forex, CFDs, and spread betting.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Financial Conduct Authority (FCA)
Trading212
(3/5)
Min deposit : 1
Trading 212 was established in 2004 and is used by over 15000000+ traders. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Trading 212 offers Stocks, Forex, Commodities, Indices.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Financial Conduct Authority (FCA) Firm reference number 609146, Financial Supervision Commission (FSC), Cyprus Securities and Exchange Commission (CySec) License number 398/21
forexmart
(3/5)
Min deposit : 1
ForexMart was established in 2015 and is used by over 10000+ traders. Your capital is at risk ForexMart offers Forex trading, CFD trading, Social trading, Share Dealing, Crypocurrency trading.

Funding methods

Bank transfer Credit Card Paypal

Platforms

MT4,WEB,desktop

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Cyprus Securities and Exchange Commission (CySEC)
Robinhood
(3/5)
Min deposit : 0
Robinhood was established in 2013 and is used by over 10000000+ traders. Your capital is at risk Robinhood offers Stocks, Commodities, Indices.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Financial Conduct Authority (FCA), Financial Supervision Commission (FSC)
hdfcsecurities
(3/5)
Min deposit : 0
HDFC Securities was established in 2000 and is used by over 2000000+ traders. Your capital is at risk HDFC Securities offers Demat Account, Trading Account, NRI Account, Commodity Trading, Currency Trading, Mutual Fund Account, NPS Account.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange
icicidirect
(3/5)
Min deposit : 0
ICICI Direct was established in 1994 and is used by over 2000000+ traders. Your capital is at risk ICICI Direct offers Equity Trading, Derivatives Trading, Mutual Fund & IPO, Fixed Deposit, Bond, NCD, wealth products.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange
sharekhan
(3/5)
Min deposit : 0
Sharekhan was established in 2000 and is used by over 1500000+ traders. Your capital is at risk Sharekhan offers Equity, Commodities, Mutal funds.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange
Zerodha
(3/5)
Min deposit : 0
Zerodha was established in 2010 and is used by over 1500000+ traders. Your capital is at risk Zerodha offers Stocks, Commodities, Indices.

Funding methods

Bank transfer Credit Card Paypal

Platforms

Web Trader, Tablet & Mobile apps

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account
Regulated by Securities and Exchange Board of India (SEBI), Member of the Bombay Stock Exchange
eoption
(3/5)
Min deposit : 500
eoption was established in 2008 and is used by over 10000+ traders. Your capital is at risk eoption offers Forex trading, CFD trading, Social trading, Share Dealing.

Funding methods

Bank transfer Credit Card Paypal

Platforms

DealBook (Desktop, Mobile, iPhone, iPad, iPod touch, Web)

Customer support

Live chat Phone support Email support

Account Types

Micro account Standard account ECN account
Islamic account VIP account

Learn more Learn more about XTB.
76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
TRADE NOW Try XTB today
76-85% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.