My name is Tim Grittani (kroyrunner89), and I've been a full-time daytrader since the beginning of 2012. I've learned a lot along the way from my successes and failures and would like to pass along some of these lessons. This blog will hopefully save me time in answering the dozens of questions I get each week through Facebook and Twitter. If not, I guess I just created more work.
My basic trading philosophy can be summed up by one simple quote:
"Trade the ticker, not the company" - Nate Michaud
Sunday, February 9, 2014
Question: "How do you find and track penny stock promoters?"
It's always tricky advising people on which stock promoters they should follow or which promotions they should consider buying. The fact that they are con-artists and the stocks they promote are complete trash makes it very difficult for me to encourage people to buy promotions - unless they're absolutely certain they know what they're doing. However, it's this very strategy that jump-started my account, so I can't just avoid explaining it forever. Let it be understood that I am not, in any way, recommending buying promotions by any promoters that I will discuss. Also, please understand that just because an "effective" promoter is profiling a stock, that doesn't mean it has to go up! Take your time to learn, and please understand that playing these is not for beginners. I can't stress that enough.
The first thing we need to cover is how to find stock promoters. Here's the approach I took:
I created two new email accounts
The first account I used to sign up to ALL promoters that I stumbled across. Their results and track record didn't matter - I just wanted to be on their lists and be able to track their history or what current stocks are undergoing promotions of any level. Anytime I find a new promotion website I haven't heard of, I throw it on this email list. I save ALL of these emails. Currently I have roughly 100,000 emails in this account, dating back to early 2012. This way if I see an OTC stock trading unusual volume that looks like it might be a promo, I simply search my emails in this account and see if one of the sites I'm signed up to is sending paid emails on it. It is important that these emails are compensated (you can find this by reading the disclaimer section of the email). Many crummy promoters will email on the current "hot" stock randomly while in reality they have no involvement in the actual promotion.
The second email address I used to sign up again for the promoters that I determined can actually move stocks and are worth paying closer attention to. I separate these because I like to remove the best promoters from the rest of the clutter. It just makes it easier for me to keep track of what the best current promotions are without having to dig through the rest of the clutter. This is my "good" list, and I make promoters EARN their spot on it.
I utilized search engines
There are a few ways to do this. The first thing to keep in mind is that different search engines will bring up different results, so don't just limit yourself to one. Then just plug in search terms like "Hot penny stocks" or "Penny stock picks." Aside from going through the first 5-10 pages of results and signing up to all the sites, I paid extra attention to which sites were advertising. Don't just assume that advertising makes for a good stock promoter, but it increases the odds that they are of higher quality if they're willing to pay to get their name out there. Anytime I see a new site advertising, I immediately sign up to it and then wait to see what they email about.
I utilized helpful websites
I have to say, involving myself with the Promotion Stock Secrets team was one of the most helpful decisions I made while learning about the stock promoters, and it even helped in gaining a better understanding of how promotions work. The site is absolutely loaded with great information - even reading their free content can be educational. For those of you who would prefer free options, there are other routes to go. Penny Stock Rumble is a great tool to use to find out which websites were sending emails on the top OTC movers of the day. I subscribed to their email list and then signed up to the sites they mentioned in each of their daily emails. This was also a great way to help figure out which sites were connected. pumpsanddumps.com is also a good way to keep track of which sites are emailing on what tickers. I wouldn't rely on this site to give you alerts on promotions, but you can certainly use their information to find more promotion websites to sign up to. Their "Directory of Touts" is especially helpful, although a bit outdated.
Pay Attention to DETAIL
You have to notice the little things. pennystock.com is NOT the same promoter as pennystocks.com. Sites ending in ".com" and ".net" are DIFFERENT WEBSITES. Don't get confused by the minor differences. There are tons of crummy websites out there trying to look like the best promoters! You really have to have an eye for detail.
If you have 10 promoters emailing on the same ticker, that doesn't mean they're all related. Read the emails, see which emails are exactly the same. Related websites will send out the same emails, word for word. If two sites are promoting the same ticker but the emails are different, chances are they aren't the same promoter. Once you've began to figure out which sites are related, start a spreadsheet or some other tracking tool and keep track of who's grouped together and what their past promotions are!
I hope this advice on finding promoters will be helpful to all of you! See part two of my article, which details WHAT makes a good stock promoter and some of the promoters I currently believe to be most effective.