The good news is it is easy to avoid the catastrophic losses some investors make in trading penny stocks the reason most investors are wasting their investment dollars is they are buying the wrong stocks at the wrong prices and usually for the wrong reasons this leads them to hold on to such stocks for far too long. Invest in penny stocks a guide to profitable trading peter leeds introduces you to all the concepts needed to become a successful penny stock investor risk free paper trading tactics of the pros the best markets effective due diligence and much more investing in the right penny stocks is one of the most lucrative ways to make money in the stock market with the help of the penny stock . Like any equity investment its important that you establish the financial strength of the company when i look for stocks to invest in whether the share price is 5 or 500 i focus on . About invest in penny stocks a guide to profitable trading book pdf the appetite for penny stocks stocks that trade for less than 5 a share is greater than its ever been due to their potential for rapid change these investments can be both lucrative and high risk