New York, NY -- (SBWIRE) -- 11/21/2012 -- According to Investopedia, a stop-loss is a sell which gets triggered (either automatically or manually) when a stock falls to a certain price. For example, if shares drop 15% from the investor’s initial purchase price, a stop-loss order of “15% below the buy price” would result in the shares being sold. The purpose of taking the automatic and small loss is to protect the stock market investor from an even greater downside in the event the shares continued their slide.
"Given the recent weakness in the overall stock markets, I felt it would be the perfect time to revisit our stop-loss education and to also advise investors which penny stocks to buy. We also provide potential methods for protecting their invested capital if they decide on their own to approach trading penny stocks without the help of an advisor" says Mr. Leeds.
Peter Leeds continues, "Our hot list of penny stock picks all pass The Leeds Analysis. That means that they are all high quality, fundamentally solid penny stocks companies. In our penny stock picks we look for low debt loads, proven management teams, growing market share, and improving revenues, among other factors. Generally our penny stock picks are of such high caliber that even in the event of a significant price decline, they are still very healthy, and recover very strongly” says Leeds.
In today’s turbulent stock market penny stocks prices are being driven down to lower valuations. Some of our hot list penny stock picks and those in our penny stocks to buy reports are trading for less than their cash on hand value. Other stocks are falling with the overall market, despite the incredible leaps they are making operationally.
Leeds also says that blindly investing in the penny stock market and hoping to make above market profits is a complete waste of time and money. Knowing the fundamental differences between what are penny stocks and what are safe trading techniques for investing in them is essential.
About Peter Leeds
For over a decade, Peter Leeds has been helping investors learn about penny stocks. His recommendations and quotes have been printed by leading investment magazines and websites. His self-authored informative materials like the Penny Stock Guide and many other stock market e-books can be subscribed to directly from his website. To choose the right track for penny stock trading visit http://www.pennystocks.net